When questioning millennials about their career aspirations, many express the desire to own their own businesses.
A study conducted by Ernst & Young in 2018 revealed that 58% of Americans aged 20-34 envision themselves as business owners. Similar sentiments are echoed in countries like China, where a survey by JWT Intelligence indicates that 74% of nearly 400 million Chinese millennials would pursue entrepreneurship if faced with job scarcity.
South Africa reflects a comparable trend. According to Deloitte’s 2019 Global Millennial Survey, 58% of young adults in South Africa aspire to entrepreneurship, seeking more than traditional employment.
The question arises: What qualities are necessary to establish and sustain a successful entrepreneurial venture amidst both local economic challenges and a globally competitive landscape?
Karl Westvig, CEO of Retail Capital, a company facilitating access to business funding, offers ten essential tips:
1. Understand your customers: Recognize that your preferences may differ from those of your target market. To thrive, cultivate a customer base convinced of the necessity and value of your offerings by understanding their needs and preferences.
2. Manage finances wisely: Many millennials cite lack of funding as a barrier to entrepreneurship. Explore diverse funding options beyond traditional bank loans to secure the necessary resources.
3. Prioritize impact over profit: Stand out by creating a business that positively contributes to society and the environment. Sustainable ventures often perform better financially in the long run.
4. Dedicate time and effort: Building a successful business requires perseverance and dedication. Hard work, reliability, and effective marketing are crucial for sustained growth.
5. Plan your finances strategically: Approach fundraising as a deliberate strategy, anticipating and addressing potential investor inquiries.
6. Innovate to stay ahead: Entrepreneurial success often hinges on introducing disruptive products or services to the market. Remain vigilant and adaptable to avoid being outpaced by competitors.
7. Exercise patience: Rapid growth isn’t always beneficial. Premature scaling can lead to failure. Prioritize sustainable growth over immediate expansion.
8. Manage finances rigorously: Maintain a tight budget, tracking all expenses and income meticulously to prevent cash-flow problems.
9. Embrace mistakes: Mistakes are inevitable and offer valuable learning opportunities. Use them to refine your business strategies and bolster resilience.
10. Cultivate an entrepreneurial mindset: View entrepreneurship as a lifestyle rather than merely a means to an end. Treating your business as a personal mission can enhance your journey towards success.
