In the eyes of an inexperienced observer, running a business may seem to be fairly simple. One takes a product or a service, upsells it to the buyers, and takes home the profits. In reality, however, there is probably no worse way to generalize and underestimate the true skills and effort that must exist in order for any venture to flourish. That is why the U.S. Small Business Administration reports that as many as 50 percent of all new companies fail within the first five years. If the process was indeed easy, the aforementioned figure would be much lower. So, what exactly does it take to run a business successfully? In other words, what skills and inputs will maximize the likelihood of surviving the start-up years and reaching longevity?
Patience
It is vital that anyone who wants to pursue the spheres of entrepreneurship possesses an appropriate level of patience. While it may seem fairly self-explanatory and even expected, the number of both inexperienced and seasoned sole proprietors who lack in this area is staggering. According to Dr. Donald Littlejohn, who has been a chiropractor for nearly 35 years, no virtue will trump patience when it comes to business growth and improvement. The reason why is that every market in the world moves at a predetermined pace that is borderline impossible to outrun.
In translation, attempting to take over and expand with overly aggressive strategies will seldom work. The only businesses that have managed to do so are trendsetters like Netflix, Uber, Amazon, and similar. And even these types of companies took a decade or longer to truly establish their dominance. For example, Jeff Bezos started Amazon back in 1994 while Reed Hastings and Marc Randolph started Netflix in 1998. Anyone who lacks the patience to wait as long as these billionaires did in order for their company to organically expand will most likely face failure.
Ability to Adapt and Learn
Operating any business comes with a ton of challenges even before all the competitors enter the equation. Once they do become a part of the conversation, however, the entire ordeal just gets a lot more challenging. This is why every current and aspiring business person should have the ability to adapt and learn. After the foundation of Netflix in 1998, most folks at Blockbuster did not think much of this new market entrant. A few years later, Blockbuster was struggling to barely break even whilst Netflix became the undisputed leader that revamped the way that people obtain DVDs. The ultimate downfall of Blockbuster, which took place in 2013, now serves as an outstanding message that showcases the consequences of not adapting to the developments in the world.
An Open Mind
After starting a business or an individual practice of some sort, Dr. Donald Littlejohn reminds that the most enjoyable advantage will be the limitless authority. This goes back to the way that sole proprietorships work in the United States. As the most popular professional entity structures, these organizations offer both unlimited authority and exposure. So, even though the owner will get to make every final decision, they will also bear the brunt of the losses that occur. In order to avoid those losses, it is crucial that every business owner leaves their ego behind and maintains an open mind.
For instance, when digital marketing took off in the early 2010s, many senior entrepreneurs were reluctant to use it due to their lack of familiarity. A lot of them saw this as an unnecessary upgrade that they do not need in their company. Soon afterward, a lot of them also witnesses their companies go bankrupt as more accessible organizations that utilize digital advertising took over the market. Hence why keeping an open mind to practically everything is important for anyone who wants to run a successful business.
Knowledge and Training
Obviously, trying to enter and stay relevant in any market will be completely impossible when the person lacks the knowledge about that market. Just consider, for instance, the odds of an athlete starting a successful CPA firm. Outside of the fact that the regulations would not allow them to do this, the absence of their accounting knowledge will ensure that they do not make it past the first month. Unfortunately, the number of marketers who now promote “simple” business ventures that proclaim how anyone can have their own company are incredibly high. These are some of the most common types of false advertising campaigns as there is literally no chance that an outsider will be able to get around the barriers to enter a new market and become dominant.
Luckily, sidestepping a situation where someone’s unfamiliarity costs them a lot of money is quite straightforward. Simply take the time to learn the ins and outs of some venture, think about getting a college degree within the area, or complete formal training by working for someone else first.
A Like-Minded Team
The final piece of the puzzle is often held by others. More precisely, other people will be the key to putting the business together and jump-starting it effectively. Why? Because even small ventures require a strong team of like-minded individuals to work alongside one another. After all, the timeless phrase “power in numbers” has become such a prominent saying due to the fact that it is very applicable to entrepreneurship. The best way to approach this requirement is to carefully hire each worker based on qualifications, goals, personality, or any other input that seems relevant.
Dr. Donald Littlejohn reminds that the aforementioned list is not a guarantee of success. That means that businessmen and women who have every single one of those skills or inputs could still fail. Someone might simply beat them due to a big discrepancy in experience or many other factors that people cannot control. Nonetheless, ensuring that all five of these criteria are present will significantly boost the chances of triumph.
