10 Common Misconceptions About Running a Small Business

There are many business misconceptions you need to avoid as a young entrepreneur. In this article, you will learn some of these many misconceptions about running a small business.

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Running a business is one of the easiest careers in the world. This is one of the many small business misconceptions out there. Many people think that anybody can start a business at any time, the idea of owning a business sounds easy and unproblematic. 

Also, some people believe entrepreneurs are individuals who are highly privileged, smart, and gifted with a great mindset. They think entrepreneurs are divinely unique.  

The majority of these ideas about entrepreneurship are wrong. But unfortunately, many of them are already circulating, incurring serious problems for young entrepreneurs, and destroying many good businesses. To salvage the situation, young entrepreneurs need to get rid of every business misconception they’ve been told. 

This article will discuss some of these misconceptions about running a business that young entrepreneurs need to avoid:

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Common Small Business Misconceptions for Entrepreneurs

  1. You Can do it All Alone

    The first common misconception about running a small business is having the impression that you can work alone. As an entrepreneur, you can’t run the business unilaterally. You need a team. Even if you have a good business idea, you can’t function properly without the help of people who believe in your idea and goals.

    By forming a team for your small business, your business stands a chance of growing faster in the industry. Also, you’ll enjoy the opportunity of using the opinions, ideas, and suggestions of your team to discover ways your business can be improved.

  2. You Must take Big Risks

    Many successful business owners took some big risks at some points in their entrepreneurial journey. However, that doesn’t mean you also have to take risks while running your business. You only have to be smart while taking risks. Desist from taking an uncalculated risk, else, it might incur unwanted consequences to your business.

    Also, focus your attention only on making decisions about things you’re knowledgeable about. This will not only help keep your small business safe but also save you from wasting your resources.

  3. Determination Leads to Success

    The saying that determination always leads to success is a lie. Not every time will your determination yield success in business. For example, If your business idea is poor, no matter the level of your determination in executing it, the outcome will always be a failure.

    So, know that determination in some cases doesn’t equate to success. To be successful there must be an alignment in what you’re doing. Every step you take in your business must be right and good for the kind of products you produce or services you render to your customers.

  4. You need Huge Funding

    Many people bury their idea of starting a small business because they’ve been told that starting a business requires getting huge funding. This is not true. You can start your small business without getting heavily funded. Raising your business capital is very easy.

    You can find your small business by reaching out to your close circle (family and friends) for assistance, by going after investors with your business plan for possible investment, or by approaching small business administration and traditional banks for SMEs (Small-Midsize Business) loan packages.

  5. You’ll be Free as an Entrepreneur

    Some people think once you have your own business you’ll be free. That you can do anything you like; resume work at your convenience and travel whenever you like. If that’s what you think, you’re 100% wrong. Entrepreneurs are busy people.

    As a small business entrepreneur, you’ll be so preoccupied with the affairs of your business that you’ll rarely have enough time for yourself. As a boss, your job is to listen to the complaints of your workers, contemplate ideas on how to increase productivity, and also keep track of the performance of your workers. These responsibilities are often tiring and worrisome.

    To fulfill all your tasks as the boss, you may be forced to work on weekends while your workers are at home resting. That you will be free once you’re an entrepreneur is nothing but a myth.

  6. Only a Good Idea Will make Success

    That only your good ideas will bring you business success is a big misconception. Though for you to be successful you need to implement good ideas in your small business, however, success is not built only on good ideas. Good execution of your ideas is the most important determinant of business success.

    This is why you need to work with a team of people of competence who can help you carry out your good ideas in the best possible ways for success to be attained.

  7. Execute Ideas Quickly

    Don’t execute your ideas instantly. This is a terrible way to run a business. Yes, there will be serious competition in the market against other brands, but when you get ideas on how to upscale your business, avoid implementing them instantly.

    Your business ideas and plans need thorough examination before taking any necessary action. Poor assessment of your ideas and plans before implementation may backfire sometimes, putting your business in a delicate situation. Therefore, think your ideas through before any due action.

  8. Success is Guaranteed by New Invention

    There is a misconception that if you invent something new, nothing can stop you from becoming successful in your business endeavors.  This is completely wrong. Introducing new inventions into the market is not a free ticket to success. This is because the marketplace is ever-dynamic.

    Your new invention will sooner or later be introduced by your competitors or other brands coming after you. The amusing part is that they may get to introduce a better fashion of your invention to your customers, turning the attention of your customers away from your brand. So, introducing new inventions doesn’t automatically make you successful.

  9. Being Kind-Hearted will Boost your Business Growth

    Being kind is one quality of leadership an entrepreneur must have to run a business. But there are ways this quality can affect your business badly. While running a business, you have to be firm and strict in how you deal with your workers and customers. Your business will be successful when you know how to relate rightly with your workers and customers.

    There are situations whereby you need to frown at your workers to correct their indiscipline and encourage diligence and dedication to work. Know when to hold them responsible when things go amiss. Be kind, but don’t treat your workers as family. They work to be paid, never forget that. Your business will grow when you learn how to balance the relationship between you, your workers, and your customers.

  10. Every Business Owner is An Extrovert

    Many people believe that every business owner is an extrovert or charismatic fellow. This is just a myth. Some successful entrepreneurs are not too socially inclined yet run their businesses pretty well. If you’re not a social bird, don’t be afraid to start your business, you’re not alone.

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Takeaway

Many entrepreneurs learn to become better in the way they run their businesses after falling into traps of misconceptions. But that doesn’t mean misconceptions are good in helping business owners to become better in how they handle their businesses. Entrepreneurs who know about business misconceptions and avoid them will always have the upper hand in running a successful small business.