You cannot get into business for the fashion of it: What is the purpose of business? I think this is one of the most important questions that any young entrepreneur needs to ask themselves. A startup is a complicated affair. Compared to that, product development is fun because aligns with the vision of innovation and creation. However a startup takes more complicated elements such as building teams, managing funding, scalability etc.
This article is a quick reminder about the complications of running a startup for a business founder. The purpose of this article is not to dissuade you from running start-up, but to remind you that you cannot get into business for the fashion of it.
You cannot get into business for the fashion of it meaning
What is the purpose of your business? If you’re a startup founder, this the first question any investor will ask you about your business idea. Your goals, financial projections and unique selling point are obviously important. But it all starts with the vision. (Related: Components of a startup business plan)
Running a business is a serious affair as this quote from Azim Premji indicates. Apart from your idea, there are challenges such as funding, market validation, product market fit etc for a startup idea to succeed. The main advice I’d suggest for any new entrepreneur is to understand the complexity of running a startup. Having an idea vs running a startup are two very different things.
What challenges should an entrepreneur be aware of?
The challenges for an entrepreneur is plenty. Each of these challenges has a potential to bring down your business. I’d recommend to have a look at the most common reasons why startups fail. The stats clearly indicate that about 90% of startups fail. Clearly these are very difficult odds for someone to succeed. So, if you want to start something new, make sure that you’re very sure of why it is important to you.
The most common reasons why startups fail are – lack of funding, identifying a product market fit. These two rank as the top reasons for failure. The other reasons are – finding the right team, understanding market, getting the pricing wrong and lots more.
The main thing to remember is – business is tough. It doesn’t mean that you have to be discouraged about starting a business. It just means that you ought to be aware of challenges and keep moving forward in-spite of them.
“You cannot get into business for the fashion of it”.
Azim Premji
A great thought about the latest trends
Thank you, appreciate your thoughts :). I am a big fan of businesses, I can’t quite say if I am swayed by the entrepreneurial trend or the desire to work in the business sector. I can certainly say that it is very exciting though :)
This is a very meaningful statement.
When we look at business leaders like them, we do not always realize the full extent of their contribution to the society as a whole.
Their serous hard work help establish the business then it goes on to support thousands of families with source of income. The huge population who survives on employment and doesn’t have the appetite to take risk.
I agree Suman, they are often dubbed as inspirational giants and people who have achieved a lot. If we take into account their social contributions – jobs created, general technical advancement it is quite amazing. This now brings back my thoughts to Ayn Rand in Atlas Shrugged, the expectations from the business tycoons to live up to social expectations.
On the other hand, their pure focus on business development and making things work automatically took care of these social advancements. It is amazing how much we can relate to when we flip back the books of history and general feelings of those involved in it.
Very true, business risks are quite phenomenal. Speaking from personal experience, although the perks look really good, challenges are quite huge. I constantly kept worrying about my emotional health and quality of life. If I look back now, although I enjoyed the business, personal life balance was quite a compromise. I guess it all comes down to what is more important in terms of priorities.