Why Entrepreneurs Fail

By Author: Molly Berton
Total Articles: 76
Comment this article

In my more than 25 years of being employed and working with professionals in Business Development, generally I've discovered that they have learned to assume like entrepreneurs. This can be what has allowed and brought them to rise to the top of their vocation. Each would speak to you that along the way they have learned how to assume otherwise.
Real entrepreneurs struggle with their business opportunities for a range of reasons. Among the foremost obvious could be a lack of capital, lack of understanding regarding selling, and employee issues. Nevertheless, from my personal entrepreneurial experience and data of others, there are 3 major reasons individuals fail in entrepreneurial ventures.
• They bond the success of their small business with their own self-worth.
• They neglect to establish realistic goals and plans for themselves and their business.
• They don't seem to be ready to pay the worth of success.
True entrepreneurs with the right thinking prevail over an amount of your time. They have learned and well-educated to understand the axiom Roles, Goals, and Tolls.
Roles
Successful ...
... entrepreneurs, in distinction to people who fight, have learned to separate their roles in life from their self-worth and self-identity. They perceive that role performance or failure with their own undertaking is not a conclusion of them as an individual. Folks who tend to equate their self-worth to their composite role identity are naturally risk-adverse and look to keep up the established order. Being able to differentiate these two identities allows them to be risk prone vs. risk adverse, a main ingredient to success thinking as an entrepreneur. Persons who have risked failure, seasoned it, and learned from it, haven't solely learned how to differentiate their role identity from their self-identity but also they have learned the experiences of risking, gambling and failing. They perceive that early failure in ventures could be a natural part of roaring startups. They are able to embrace those experiences, learn from them quickly and moved forward. This is often important to success as a business man. They must be willing to face and wear down early failures in order to prevail over time.
Goals
Even though much is claimed and written concerning goals and plans being necessary for success as an entrepreneur, few folks learn the mechanics of successful goal setting, planning and designing. It’s not the plan however, but the planning that is necessary, and therefore the goal setting method permits them to develop the arrogance to require risks and fail. Effective entrepreneurs are not only goal driven and goal oriented; they have learned to execute the method of strategic and tactical goal setting, planning and designing. Visualizing goals, writing them down and making an in depth plan for action provides the assurance and motivation to prevail. Over business or operational plans, they need goals and plans for all the necessary roles in their life. They must have learned early that if they are not operating their own plan they are most likely a part of somebody else’s goals or plans. They chart their own destiny, embrace risk-taking leadership positions, build changes as required and prevail over a course of your time.
Tolls
Finally, entrepreneurs understand that there's a toll to pay. To achieve success in any role in life you must be ready to pay full value just one occasion. There are really no long successes as associate enterpriser. As a matter fact, I have overheard it and said that overnight success generally takes 15-20 years. One amongst the first tolls that entrepreneurs are very often forced to face is that the “re-making” of themselves which will include growing on the far side their current circle of contacts. Since most of the people tend to remain among their own psychological ease area, they start to lose identity with the risk taker. They’re comfortable with the type of individual who is more like them. Very often the enterpriser moves on to a different circle of associates who understand the journey. Stepping out, being your own person and attempting into the risk prone unknown is lonely by itself. Consequently, there is a new stress in old relationships. It’s been said in the past that pioneers get shot within the front and the back, and solely through a process of differentiating role performance from self-worth, being risk prone, prevailing through adversity, sticking to your goals, and adjusting your plans will you be ready to pay the daily toll.

An entrepreneur has much to learn in order to be successful, including the day-to-day mechanics of running a business, producing products, delivering services, making money and dealing with people. The biggest challenge of all is developing an understanding of themselves. They come to grips with what they want and what motivates them; this sustains their willingness to prevail over the long term against adversity. Successful entrepreneurs have learned to transform their thinking, allowing them to prevail where others fail along the way.

It’s important to understand the right way to divide up equity in a start-up. Early mistakes can lead to serious long-term problems that can destroy a company. The book Slicing Pie outlines a simple process for making sure each employee and co-founder gets exactly the amount of equity they deserve.