Becoming an Entrepreneur: What You Need to Know

By
Tamia Tutson
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Times have changed–so much so that the definition of an entrepreneur has remained unchanged, but the possibilities for the aspiring few are endless. Entrepreneurship looks different for every person, even still, at the core everyone strives for the same thing.

As room for entrepreneurs in our economy continues to grow, it’s essential to understand who these influential people are and how they came to be.

What is an entrepreneur?

An entrepreneur is a person who forms their own business or idea and assumes all of the risks that come with it. Any time someone begins the process of starting their own business they are participating in entrepreneurship. Entrepreneurs are viewed as individuals who innovate, and constantly create new ideas, products, or services that are unique.

Interestingly, entrepreneurs are vital members of any economy. Most often they are the people who create the constant flow of new ideas and strategies that struggling markets might need at a given point in time. If an entrepreneur is successful they obtain lots of opportunities for fame and growth. On the other hand, entrepreneurs who aren't so successful often suffer large monetary losses.

In order to become an entrepreneur, you’ll first have to have an eCommerce business plan. Creating a business plan means that you also need to have eCommerce ideas. Once you have both of those in place, you can begin to hire people to work with or under you. However, there is actually no clear path that you need to follow to become an entrepreneur. In today's economy, entrepreneurs exist in their own sphere and usually don't follow typical business owner methods and rules.

What works for you might not work for someone else. Therefore, it's up to you to decide how you want to start. If you're in the dark with how and where you need to start, there are general steps that some of the most successful entrepreneurs have followed that may help you get started on the right foot.

Steps to becoming an entrepreneur

  1. Get your finances in order

In general, no business owner will be able to successfully start a business without some type of financial runway. This is not to say you need hundreds of thousands of dollars, but it's always best practice to have a small savings before starting. If this is simply not possible for you, investors are another great option to help you get started monetarily. You want money to be the last thing on your mind when starting. So the more you have saved, the better.

  1. Skill set

Just because you have a really cool idea doesn't mean you’re going to instantly be a successful entrepreneur. Anyone can have an idea, but not everyone has the necessary skills to help that idea grow into a business.

Building new skills is relatively simple. All it takes is the ability and willingness to learn. Don't just limit yourself to one skill either, diversity is important in this arena. You can have one skill that you absolutely flourish in, but it’s best practice to have at least two or three other skills you’ve perfected as well.

Finally, don't think that you have to go to college to become an entrepreneur. College is not the only avenue to success. You can easily learn anything you’d learn in college on your own. Funny enough, some of the most successful entrepreneurs have no college degree at all.

  1. Have a problem

Namely, your purpose as an entrepreneur is to provide an answer, product, or solution to a problem. If you have no problem, you have no business. Especially with how saturated the world is with products, it's even more important to make sure you have something that differentiates you from everyone else.

  1. Solve the problem

Next, your job is to provide a solution. Now is your chance to think outside the box. You can even provide a solution to another business problem, which allows you to network. Your solution should also add value to the problem, this is the number one way to be successful as an entrepreneur.

  1. Network

Last, but certainly not least, is networking; as an entrepreneur it is critical that you develop an effective networking strategy. You absolutely will not make it in this world without networking. Networking involves a lot of things, but mainly talking with and sharing your ideas with other successful businesses; the right people can easily open the door for you.

Networking can be done in many different ways too. You can attend conferences, email people, reach out to friends, family, and even random people on social media. Once the door has opened for you there's no telling what you’ll be able to achieve.

Types of entrepreneurs

Every entrepreneur and their goals are different. One of the many great things about working in this industry is that there are so many different avenues you can follow. Opportunities to break out as an entrepreneur are growing every day.

Here are a few of the most common types of entrepreneurs:

  • Builders: As a builder you seek to create a business in a short period of time. Typically, builders generate large amounts of revenue within the first two years of starting. To do this, they seek out talented individuals and wealthy investors who believe in their ideas. You need to have a strong personality as a builder, as well as the ability to convince and foster personal relationships.
  • Opportunist: Opportunists are almost self-explanatory. They always seek out the best opportunities whenever possible, and are able to evaluate when the right time is to do so. More than this, an opportunist will know when it's time for them to move on once there's no more for them to do. Mainly, these entrepreneurs are very involved with how much wealth they can build for a business. As a result, these types can sometimes be impulsive–with good reason.
  • Innovator: Innovators are pretty rare. Usually they are the ones that have super unique ideas nobody has thought of. Some of the most common innovators include Steve Jobs and Mark Zuckerberg. Innovators are rarely concerned with how much money they make, and instead focus on what type of impact they can make. Knowingly, they don't really run businesses very well and usually select someone to run the business for them while they focus on generating ideas.
  • Specialist: Finally, there are the specialists. Analytical at heart, these people are skilled in a specific area and build their business based on networking. A specialist will see slower growth, but normally end up as the go-to’s in their area of specialization. As a result, they still see large increases in revenue.

The right “type” for you entirely depends on your personality and goals as a businessperson. It might take you a while to find your niche, but once you do the opportunities are endless.

Entrepreneur business ideas

One of the best things about being an entrepreneur is that there are endless options and possibilities out there for you. You might be asking yourself “what kinds of businesses can I start?” Lucky for you, we’ve compiled a list of the most popular and profitable businesses out there you might be willing to dip in.

  • Online Retail: Clothes, candles, shoes…etc (be sure to find the best eCommerce Website)
  • Vlogging/Blogging
  • Editing/Copywriting
  • Consultant services
  • Life Coaching

Now just because these options are available to you doesn't mean you should just have at any of them. Remember your goals and apply your skills in a niche that best fits.

Entrepreneur business risks

Many aspiring entrepreneurs are hesitant to get started because of the risks that come with being one. However, the risks are no different than starting any other job out in the workforce. Any job you start will have risks as well as rewards. Whether or not you choose to continue based on those risks is entirely up to you.

As an entrepreneur your risks are as follows:

  • Lack of a steady paycheck
  • Sacrificing your own savings and funds to start your business
  • Unstable interest in your business product or service
  • Constant sacrifice of your personal time and mental health(which is just as important as anything else)
  • Unsteady growth

Where to get funding

Once you have a business idea and have identified your strengths, now is the time to truly get started. This means you need funding. You absolutely cannot start a business, small or large, without a substantial amount of funding; where this funding comes from will depend on your resources.

Some prefer to have outside funding from investors (which requires having connections), while others opt to pull from their savings (of course this would require that you had this idea for a while). Finally, you can always apply for business credit; in which your revenue would pay back the amount.

Let’s Get Started!

Entrepreneurship is a creative and rewarding career. Though it is certainly scary getting started, once you do, the possibilities are endless. Creating a successful business takes a lot of work, but with the right people at your disposal and the right marketplace business model you’ll easily achieve your goals.

Love what you do and believe in your product–entrepreneurship is a rewarding career with lots of avenues.

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