How Entrepreneurs Deal with Challenges and Failure

by Thom Tracy

2 min read

It is not easy being an entrepreneur. You often face challenges not typically shared by people in other careers. However, once you learn how to deal with these challenges and failures, the entrepreneurial experience can be very rewarding.

Starting Over

When you become an entrepreneur and start your own business, you most likely have to leave your day job at some point and dedicate yourself to your business. The challenge of giving up a stable job and starting over is scary to say the least. One way to deal with this challenge is to start your business on the side and make sure it is sustainable before you make the jump to full time.

It also helps if you’re passionate about your business. For example, Ashish Toshniwal and his friend Sumit Mehra were very passionate about mobile app development when they quit their jobs to launch an app development business called Y Media Labs in 2009. They felt that mobile app technology would be the next big thing, and it was also what they loved to do. In 2016, Y Media Labs has more than 200 employees.

Financing

Getting funding is a major challenge for many new entrepreneurs. Due to financial risk factors, banks have high eligibility requirements for entrepreneurs who try to obtain loans and lines of credit. If you have difficulty getting funding for your small business, you can check if you are eligible for government financing. Alternatively, there are websites, such as Kickstarter and Indiegogo, that allow new entrepreneurs to raise funds through crowdfunding.

Loneliness

When you are just starting out, you may be a one-person team who does everything. While this may save you some money, the loneliness can lead to stress and even burnout. Rather than isolating yourself, try to find a partner who shares your passion and can complement your skills. For example, if you have a technology business, you can focus on the technical side while your partner can focus on the marketing aspect.

In addition, if you don’t have the resources to hire a full-time employee, you can outsource some of the tasks to freelancers to take some weight off your shoulders. Instead of spending hours trying to learn to design your own logo, hire a freelance graphic designer to help you.

Dealing With Failure

No matter how hard you try, you may not always succeed. Keep in mind that it is not the end of the world when your business fails. Treat your failure as a learning opportunity. Ask yourself what went wrong and how you can avoid the mistakes next time.

Before J. K. Rowling became famous, she spent countless hours at her local coffee shop to work on her Harry Potter novels. When she sent the first manuscripts to publishers, all she received were rejections. People kept telling her that no one would be interested in stories about a boy wizard, but she persisted. In the end, she found one small publisher that said yes, and the rest was history.

Information may be abridged and therefore incomplete. This document/information does not constitute, and should not be considered a substitute for, legal or financial advice. Each financial situation is different, the advice provided is intended to be general. Please contact your financial or legal advisors for information specific to your situation.

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