If you feel you are READY to run a business, make sure you are SET with the right skills and abilities, then Go for it.
Australia has no barriers to running a business – like parenting, no licence is required, nor is it compulsory to undertake any training or courses.
While this means anyone has the freedom to run their own business, the big question is: can everyone run their own business well? The answer to this is, unequivocally no.
The bottom line is that running a successful business is not easy and it’s not for everyone, and that is okay. Like many other endeavours, some people are more suited to certain things than others. The challenge for many potential business owners is to identify at the outset whether they are suited to running a business. But how do you know if you have never tried? You don’t always. It’s the same as other endeavours. Can everyone run a marathon? It’s when the rubber hits the road that the possibility becomes clear.
Running a marathon needs dedication… the sore feet and muscles, the early starts and overall discipline may not appeal. The same applies to running a business, and just like choosing not to run a marathon, there is no shame in choosing not to run a business.
Running a business proficiently requires certain skills and abilities as well as specific personality traits. Some can be learnt on the job, others not. Some people are comfortable with certain aspects of running a business, but they struggle or just cannot tolerate other aspects. The elements you can’t tolerate make it difficult at best, and in many cases impossible to continue as the personal toll may become too great.
For many people it is the stress of the unpredictable, changing nature of business, lack of a regular salary and fluctuating cashflow. For others it may be having the buck totally stop with them.
Over time you become accustomed to some of the initial challenges in running a business, but some people just don’t have the resilience to hang in there until that happens.
So, who can run their own business successfully?
1. Someone who can get ‘their head around a wide breadth of information and concepts.
As the business owner, you need to be able to navigate your way around financials, sales, people management, technology and legals. This is no mean feat. While you can find help to steer your own ship, you need to be willing to understand the fundamentals.
2. Someone who feels comfortable with a level of unpredictability and risk.
Learning to live with the natural ups and downs of business is important. You can’t control everything in business. Rather, you need to manage the risks that arise. This can be more comfortable for people who are accustomed to taking risks or have an ability to adapt well to change. Others who prefer a more ordered, predictable environment may struggle as a business owner.
3. Someone who takes responsibility and can make decisions.
One of the main reasons people cite for running their own business is “to be your own boss”. It sounds appealing, but not everyone truly wants what this actually entails. Many employees like the fact they can walk out the door at the end of the day leaving the business behind them. As a small or medium business owner, the buck stops with you. You make the decisions and are responsible for your actions. Whether your business survives or thrives depend on you.
Your house or family assets may be on the line, and often there is no one else to bail you out. This can be lonely and stressful, and not every-one can shoulder these responsibilities.
“Just like choosing not to run a marathon, there is no shame in choosing not to run a business.”
4. Someone who is self-motivated and organised.
You need to be able to motivate yourself in good times and bad, as well as undertake both your favourite and not-so-favourite tasks. Just like someone training for a marathon, you need get up and train whether you feel like it or not. It is imperative you are open for business when you say you are going to be open, come rain, hail or shine. You need to be organised so you deliver products and services on time, along with capturing the appropriate business records. Systems for time management and business processes can be developed to enhance organisational skills, but self-motivation is hard to learn. It just needs to be there in business owners.
5. Someone who likes people.
There are plenty of business owners who clearly don’t like people. I believe this actually hinders their business. Dealing with people, either in person or online, is a major part of running your own business, and people who like people have an advantage. The ability to network, provide good customer service and manage staff hinges on strong people skills. If you don’t like people, don’t run a business.
6. Someone who is willing to seek help.
To run a business you need knowledge across a wide range of areas, but it is impossible to be an expert in everything. You can’t do it all on your own. A positive quality for a business owner is to know when help is needed, and to be comfortable about obtaining that help. You need to have confidence in making decisions, and help can be a vital element in this.
7. Someone who is financially literate.
Business is all about money. If you don’t like money or don’t understand how to make a profit, business will be hard for you. The ability to ask for a sale and ask people for money for your products and services is necessary.
8. Someone who can manage their emotions.
Running your own business can definitely provide many opportunities for personal growth. Handling customer complaints, difficult customers, late-paying clients, unreliable suppliers or challenging staff can push buttons for just about anyone. A successful business owner must be able to keep their cool, act within the law and resolve difficult situations.
To continue to act professionally despite any stress can be one of the greatest challenges for business owners. Being able to do this keeps customers. A level of emotional intelligence is necessary to manage this challenge.
Everyone can run a business, but not everyone can run one successfully. The costs of a business failing to succeed can run high, so it is wise to consider carefully before taking the plunge. Just like running a marathon, you might start out thinking you can’t do it. but with some training, coaching, extra resilience and perseverance you might just beat the odds and succeed.
Ailsa Page, Director, AP Marketing Works
