Characteristics of Successful
If someone takes the risk to organize a new business or finds a gap and tries to fill that gap in the society by providing some solutions, then he is considered as an entrepreneur. He may innovate some new products or services or modify any existing product or service. There are some characteristics which are found common in entrepreneurs. The detail of these characteristics are given below:
Hardworking is a characteristic that is common in every successful person. It is not limited to the entrepreneurs only.
Most entrepreneurs work very hard especially at the initial stage of their business idea. 14-16 hours working is considered a normal routine for them.
Whenever any product or service is newly launched, there is a more chance of its failure than its success especially in the presence of various products of the same category in the market.
The entrepreneur takes the risk to offer something new to its customers in the same category or offer something totally new. Both of the categories are risky for entrepreneurs.
It is difficult to launch any new product or service without creativity. Entrepreneurs work on a new business idea and try their best to bring creativity in it to make it attractive and acceptable for customers.
They remain optimistic about their business ideas and always think about success.
They are always confident while dealing with any other person or party. They remain confident when they deal with any bank for a loan or any other business for joint venture or go to win any funding announced by the public or private sector.
It is difficult for any entrepreneur to make a business idea successful without creating interest in it. It is necessary for entrepreneurs to be innovative while design their ideas for launch.
Entrepreneurs take decisions independently. They make decisions to perform the jobs which are initially considered impossible to act upon. One other reason for their independence is that they initially perform all of their jobs on their own as they can’t afford to hire anybody else so they take decisions alone and independently.
Entrepreneurs are very good communicators. They know how to pitch the customers, how to present an idea to get funding and how to explain their business during negotiations and what business presentation is required in front of bank officials while negotiating about bank loans.
The above-discussed skills are not the only skills that are important for entrepreneurs. There are many other skills including marketing skills, selling skills, managerial skills, leadership skills, and problem-solving skills which are also important for entrepreneurs.
Contents of a Business Plan and How
Business Plans Assist Entrepreneurs
Whenever a new business is started, it is always recommended to have a business plan to act upon it. A business plan is basically a document that contains all the necessary details regarding aims and objectives, business type, operations, marketing and financial aspects of the business. Some of the components of a business plan are discussed below:
Name and Type of business
The detail of this point contains the name of the business including its type like a private limited company, public limited company, etc.
The present and future objectives are discussed in this section in detail.
The details of the product or services are discussed in this section.
What price will be set to offer the product or service in the market is discussed here.
Human Resource Plan
When and how to recruit the workers or managers to run the business.
Marketing plan covers all the market-related activities like which segment to be targeted, how to advertise the product etc.
Location plays an important role in the sale of products or services. Where to start a business is important to discuss in the business plan.
In this section the, details of equipment are explained.
In this section, the expected profit margin and break-even analysis are discussed that how quickly we can achieve a break-even point.
In this section, the investment details, resources, and bank loan details are discussed.
Why and How Governments Support
Why Governments Support Business Start-Ups
Most of the time the entrepreneurs get support from different government departments. This support encourages them to start new ventures. There are various reasons why governments support entrepreneurs. Some of the reasons are given below.
Reduction in Unemployment
When a business is started, it decreases the load of employment from the government and creates a job.
Increase in Competition
It is a common trend that when there are more players in the game, there will be more competition. This concept is applicable in the field of business as well. Government departments help entrepreneurs to increase competition in the market which ultimately provides an advantage to the consumers.
Increase in Output
When there are more players in the market, there will be more output which will be beneficial for society.
All of the big brand names were small firms once. Support for any small business today can help it to grow in the future.
How Governments Support Business Start-Ups?
There are various methods that are used to support start-ups. Some of them are discussed below:
Business Idea Scrutinize
Some sessions are organized in association with the business persons scrutinize the business idea and guide the entrepreneurs.
Sometimes training sessions are also organized where experts share their views with the young entrepreneurs.
Small enterprise zones or business incubation centers are developed to promote new start-ups where entrepreneurs are supported with more facilities at a low cost.
Sometimes microfinance banks issue loans to new start-ups and sometimes government funds some start-ups which are selected through any competition. The main aim of this funding is to give a boost to the new ideas that really can bring some change in the business environment.
Governments provide research grants to the universities to conduct research on different aspects of entrepreneurship. The main aim of this type of research is to facilitate the entrepreneurs in doing business.