What are the Risks of Entrepreneurship? – Ask Evan

hi I’m Evan Carmichael and welcome to
another edition of ask Evan in today’s
video I’m going to answer a question
from one of our readers Nicolas who says
thanks a lot for the inspirational
quotes just to ask one question what are
the risks in small-scale
entrepreneurship and how do we as
entrepreneurs manage them for the
purposes of our business sustainability
good day Nicolas so Nicolas I think the
biggest risks that entrepreneurs face
when they’re launching their business is
losing everything and a lot of
entrepreneurs will sell out all their
savings and take on additional debt and
you know market to their home and their
business doesn’t work out they’re really
left without anything I have to start
all over again so that’s a pretty huge
risk and I want to make sure that you
guys don’t have to face that and a few
ideas to you that hopefully will help so
the first is you don’t have to start
your business on a full-time basis it’s
start card time and what that does is
give you money from your current job and
allows you to build your business up
over time and hopefully you’re in a job
that you can learn some skills or meet
some people that will eventually help
your business grow as well and it’s
important that you take steps every day
to grow your business so it’s not just
spending three months going crazy
full-time and then you run out of money
you have to go get a job you’ll do
better and spending a little bit of time
every day over a longer period of time
so you let that moment and grow and
allows your business to flourish the
second thing I would encourage you to do
is try to build around a customer a lot
of entrepreneurs start with a great idea
that think it’s gonna change the world
and then they go out and try to sell it
and nobody wants fire so try to start
the other way around try to start by
finding customers who have a problem and
are willing to pay for a solution for it
if you can find those people it’s the
best way to build a business because you
have money coming in right away and
reduce
the risk of you run out of money having
to close down your business so try as
much as you can to find a paying
customer to start the last thing that I
would recommend is try not to spend
money until you’re making money and that
might sound like common sense but a lot
of entrepreneurs do the exact opposite
where they start a business and invest
tons of money now go get an office you
might need a car for the business you
make up all these expenses that you
think you need but in reality try not to
spend anything until you have money
coming in you may need business cards
and a simple simple website but that’s
it the rest is what equity is your time
going now trying to find business and
try not to start spending money because
you’ll often spend it on the wrong
things until you have money coming in
and once you have that money coming in
you know what’s working and you can
spend money to amplify those results so
I hope that helps if you guys like the
video please give it a thumbs up below
and I’ll make more
and I’d also love to hear thoughts and
feedback if you want to leave a comment
and stay tuned for the next episode
you