FIVE QUESTIONS TO KNOW WHETHER THE SACRIFICE IS WORTH IT
JANUARY 18, 2021
Being a founder or entrepreneur requires a lot of sacrifices. How do you know whether they are worth it? All entrepreneurs-to-be must reconcile what they want with what they are willing to risk. If you find that you need an apparent work-life balance or are not at a stage in your life in which you can’t assume big risks, you might need to realign your personal and business goals. Don’t leave your nine-to-five just yet; here are five questions you should ask yourself before you make the jump.
1. IS MY IDEA A STAND-ALONE BUSINESS OR JUST A FEATURE?
Some of the worst mistakes are made by becoming enamored by an idea and never bothering to ask critical questions. The reality is, most great ideas are still great—they are just not businesses. They are enhancements or features, but these ideas alone won’t be able to sustain a business. Think about whether the idea you are proposing has the potential to become a must-have for your customers or just a nice-to-have.
2. AM I RUNNING AWAY FROM SOMETHING OR TOWARD SOMETHING?
Don’t start a business as a form of escapism. You might feel tempted to start a business idea based on a new wave or trend that appears to have the potential to solve all your present problems. Wave riders should anticipate market saturation, intense competition, and the next wave. Ensure that your idea has potential long-term value and a sustainable business strategy. Pursue something that you find intrinsically valuable, and will continue to motivate you and fuel you once the immediate ‘crisis’ abates.
3. ARE YOU SOLVING A PROBLEM? OR IS THIS A SOLUTION IN SEARCH OF A PROBLEM?
Create an early feedback group to determine whether people are interested in your business idea and if it’s something they would actually want- and need bad enough to pay for.
4. ARE ENOUGH PEOPLE WILLING TO PAY FOR THIS SOLUTION?
Determine whether your business idea has the potential to grow to be sufficiently profitable over the long term. If you don’t think you have the strategy, resources, or skills to scale the business up to a level that you will be able to feed yourself or your entire family, then you might want to rethink your idea.
5. WILL I BE ABLE TO PERSEVERE THROUGH ADVERSITY AND DEFEAT?
Most entrepreneurs confront challenges that would overwhelm even the most mature managers. They have to maintain a visionary mind, keep the company afloat when it is on the verge of going under, all while keeping their employees inspired and motivated. In a study conducted by CB Insights, 22% of failed startup founders cite the primary reason why they failed as never having a true interest in what they were building. Imagine your worst-case scenario, and ask yourself if you will be able to wake up in the morning and say, “This is still worth it”?