- March 25, 2019
- Posted by: Asheesh Sinha
- Category: Business plans
Owning a business comes with many benefits like being in control of your schedule and the possibility of growing your income. However, it can be very challenging too. Many would-be entrepreneurs are so worried about failing that they won’t even get off the ground. Many factors play a role in the success of a business. Three of the most important traits you should have are passion, a business mind, and mental toughness.
What’s the point in owning a business if you’re not passionate about it? One of the top reasons people start a business is because they want to be in control of their time while earning a decent income. During the first few years of business, you’re going to have to put a lot of time into it — much more than you would at a regular job.
Most businesses take a year or longer to reach the break-even point in profitability as well. Thus, if you’re not passionate about your business, you’re almost certain to fail. Choose a niche that is right for you, so you can tough it out until you begin turning a profit. You should also know how to maintain your passion to use it as a powerful weapon in succeeding. According to this article, “staying passionate about your business may not seem difficult up front, but it can be hard to stay motivated when things aren’t going as well, or when you’re not growing as much as you’d like. To stay motivated, why not try taking a break, finding a mentor, and maintaining work/life balance?”
Someone who’s business-minded finds it easier to adjust to the entrepreneurial lifestyle than one who isn’t. A business-minded person views interactions in life as transactional and thinks of ways to turn a profit. If you sold lemonade, candy bars, or other items as a child, then you are probably business-minded.
Before starting a business, you need to ask yourself if it can generate a good ROI (return on investment). According to this article, “the ROI can be roughly calculated by dividing projected annual profits by the total investment costs. For instance, if you initially invest $10,000 and earn $15,000 the first year, then you earned $5,000 in profits. Divide $5,000 by the $10,000 you initially invested, and you have a positive ROI of 50 percent.”
Mental toughness is resilience to criticism, unhelpful circumstances, and your own internal battles. Low resilience can cause you to give up too soon on your business. Perseverance is one of the keys to success. When you listen to interviews from successful people among different fields, they all virtually say the same thing. They succeeded because they didn’t give up.
You can build mental toughness by learning how to manage emotions in a healthy way, creating contingency plans and maintaining a positive mindset. With practice and an open mind for learning, you can become better at staying on task and performing at a high level despite any stressful situations that come your way. According to this article, “the core distinctions of mental toughness are: a winners mindset, hyperfocus, stress optimization, failing well, maxing out your limits, and preparedness.”
You are likely ready to own a business if you are passionate about the field, business-minded, and mentally tough. Being business-minded and mentally tough are traits you can develop. It’s a good idea to plan and prepare well before taking on owning a business to give yourself a greater chance of succeeding.