Virtual Entrepreneur

Reasons Not To Be An Entrepreneur

March 25th, 2008 | Author: MrsMoney

Business Pundit:
1. Dealing With Negative Feedback – Who will you turn to in times of stress? Who can you trust? As an entrepreneur, you have no real support system to turn to, which can spell disaster for many budding businesses. You need to create a culture where negative feedback is a good thing, in fact, it should be encouraged and fostered into acceptance. If you want your product to be taken seriously then it has to be great, so there’s absolutely no point burying your head in the sand any time someone points out a flaw.

2. The Lack of Benefits – By becoming an entrepreneur you will lose out on the 401k, health benefits, life insurance and other benefits that working for a normal company would grant you. You can acquire them your own self, but usually for a much greater cost.

3. Managing Cashflow Is Tricky – Without knowing when your next paycheck will come, and with bills, loan repayment and other expenses looming, becoming an entrepreneur can be financially demanding.

4. Working With A Tight Budget – Raising the financing that you need as an entrepreneur is not simple. If you are a first time business owner, you will have difficulty convincing a lender to work with you, which can make entrepreneurship quite difficult. So when it comes to kitting out your office you’ll need to think of every possible way to save and get the most out of every single cent.

5. Dealing With The Possibility Of Failure – If your business fails, you will be losing much more than a way to pass the time. You may lose your home or other vital assets if you cannot meet repayments. Any unsecured debt that you have accrued on cards or loans will still need paying, which means your credit rating will take a beating. There’s also the potential damage to your self confidence, which will make it more difficult to start another business in the future.

More reasons here.

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