Blog

Breaking the Entrepreneur’s Trap 

Posted In Business Coaching Tips, | No Comments

Running a business these days and being productive at it isn’t an easy as it may appear, particularly due to the many challenges with fast-changing technology and harsh business regulations throw at you. Unfortunately, many entrepreneurs are unable to identify the exact challenges that derail their growth and therefore they dedicate a lot of their time and resources doing the wrong things. In this article, I’m going to explain the top five challenges that you are likely to encounter along your entrepreneurial journey and give you viable solutions for each of them.

  1. Inadequate CEO Training and Experience

As an entrepreneur, you give birth to a business idea which you must then nurture to fruition. However, statistics show that about 75% of all entrepreneurs turn CEOs fail and quit within the first five years on the job (source: https://www.entrepreneur.com/article/309811).

The greatest contributors to this trend according to entrepreneur.com are two: lack of CEO training and inadequate managerial experience. Most entrepreneurs are unable to strike a balance between their inborn innovative mindset and the must-have CEO mindset, both of which are mandatory for business growth.   Over the years, I have learned that founder CEOs stand no chance against professional CEOs for as far as skills and training are concerned.

However, the fact that you know your company intimately right from its inception gives you an upper hand over a professional CEO who took up a fully-established company. To effectively compete against a company led by such a CEO, you must use your intimate knowledge to your advantage, be committed, and never lose focus of your long-term business plan.

  1. Reluctance to Delegate

Limited overhead capital turns entrepreneurs into factotums within a couple of years. Many founder CEOs also double up as product designers, marketers, in-house IT expert, you name them. It’s usually hectic initially but with time, you master some of those roles so well and develop an undying passion towards them. Delegating such roles to expert/talented employees after the company grows isn’t the easiest things to do.

To overcome this reluctance, I resolved to transform myself into a vision bearer and left the execution part to train and more talented employees. Instead of spending time on the job, I opt to spend that time searching for the most qualified person to do the job on my behalf.

  1. Hiring and Retaining the Right Team

As your company grows, you will have to hire experts along the way. Even though hiring the right team is key to your company’s growth, identifying talent from a pool of millions of qualified job seekers is nearly impossible. That notwithstanding, many competing companies are always set to grab any excellently-performing talent from your grip. Retaining such an employee is a big challenge.

The strategies that I find useful in overcoming this challenge include developing a exceptional hiring culture and initiating a flawless employee reward system. Do everything in your power to make your staff buy into your long-term business vision. (Source: https://www.inc.com/adam-heitzman/entrepreneurs-share-their-biggest-challenges-in-growing-a-business.html)

  1. Constant Changes That Demand Constant Reinventing

A scaling business must reinvent itself from time to time as a way of keeping tabs with the fast-changing business world. Constant tech advancements, more sophisticated customer needs, demanding shareholders, and complicated business regulations are some of the reasons why you must keep reinventing as an entrepreneur.

They are also the major causes of entrepreneurial failure today.  To be safe, don’t shy away from spending heavily on new technology as well as in employees’ refresher courses. You must also not ignore the power of social media and online marketing in general.  (Source: https://www.forbes.com/sites/cherylsnappconner/2013/03/04/the-8-great-challenges-every-business-faces-and-how-to-master-them-all/)

  1. Boredom and Anxiety

 It is common for an entrepreneur to feel anxious about the immediate as well as the future management challenges. The thought of encountering a business-extinction threat along the way drains you psychologically, makes you lose concentration, and can be the genesis of your eventual downfall.

Not being challenged enough, on the other hand, makes an entrepreneur’s mind dormant, uncreative, and eventually causes boredom. A bored entrepreneur, of course, can never be productive.

According to Chris Goward, founder and CEO of WiderFunnel, taking up a challenge that ranks somewhere between the “boredom” and “anxiety” states helps an entrepreneur remain productive and true to the course (Source: https://www.inc.com/adam-heitzman/entrepreneurs-share-their-biggest-challenges-in-growing-a-business.html).

Having a freedom lifestyle- doing what you love and deriving your life satisfaction from it- is another sure way of keeping boredom and anxiety at bay.

 Final Thought:  Experience has taught me that there is no way an entrepreneur can dodge the entrepreneur trap; we all get trapped at one point or another.

The best strategies out of it, however, are persistence, resilience, and commitment. Prepare yourself for the five challenges we have discussed and if they have already caught up with you, try applying any of our remedies. By so doing, you’ll easily break the trap.

Leave A Comment