New Entrepreneurs Growing Pains: 5 Factors To Consider

Joy was excited about launching her business and she did! Now six months later, she has been finding it difficult to survive financially. With rising debt and living expenses, she is unable to make ends meet. She reached out for coaching to tackle her inner stress while pondering if she had made a mistake.

This situation is common to many first-time entrepreneurs. Statistics show that many small businesses fail during the first year. Most ponder giving up or staying the course. The decision between working on their new business or getting a job often depends on various factors. Here are a few:

1. Financial Stability: If an entrepreneur’s financial situation is precarious and their business isn’t generating immediate income, getting a job might be necessary to cover living expenses and support the business financially.
2. Business Stage: Early-stage businesses might require time and effort before becoming profitable. In such cases, working on the business while having a part-time job or a source of stable income could be a feasible option.
3. Learning Curve: New entrepreneurs might benefit from working in the industry they’re entering. A job can offer insights, experience, and networking opportunities that can be invaluable for their business.
4. Time Commitment: Running a business demands a significant time commitment. If the business requires full-time attention to get off the ground, working solely on the business might be necessary initially.
5. Risk Tolerance: Some entrepreneurs prefer to dedicate all their time and energy to their business, even if it means financial strain initially, while others might opt for a more gradual approach to reduce financial risk.

In many cases, a hybrid approach—working part-time or freelancing while gradually growing the business—can strike a balance between financial stability and business development. It allows entrepreneurs to sustain themselves while dedicating time to their entrepreneurial venture.

Ultimately, it’s crucial to assess individual circumstances, weigh the pros and cons, and make a decision that aligns with both the financial needs and the growth potential of the business.

Are you a new entrepreneur experiencing first year growth pains? Which of the above will you adopt and apply to your situation? Are there any others that you have considered? Do share. We would love to hear.

Cheers!