Why is a Novice Business person Often Equated to Being Unemployed?
The business world is a domain of its own, the things that happen inside it are often not understandable by people like you and me, who are standing on the outside as spectators.
A multi-million-pound organization, which was considered one of the most successful in the world, is suddenly declared bankrupt.
A start-up that no one knew even existed makes its first million out of the blue and suddenly considered a competitor with the elite organizations.
Two businesses that were stark enemies, that always tried to throw the other under the bus, merge to become one powerhouse.
You must have read or heard something like this in the newspaper or television. For the outsiders, these instances have seen almost impossible to be correct, but they are, and they happen quite too often.
You must have gotten an understanding of the business world’s working. It is highly unpredictable. However, there is one somewhat predictable thing, and that is the way a newfound business and its owner are seen and judged.
The old players in this arena often don’t consider the new ones their competition and they are not entirely wrong in doing that.
A novice business owner has to make his market, his client base, and his own goodwill. Achieving all of this can take ages sometimes. That is why society often regards the new entrepreneur as unemployed.
Let us have a look at the reasons for the same in detail.
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Have you heard of The Tortoise and The Hare and the unfair race between them? You must have, it is a viral story.
The race to the finish is won by the underdog, which nobody thought could be possible. However, everyone was proven utterly wrong.
If we compare the tale to real life, then a businessman would be the tortoise, and the serviceman would be the hare.
You would ask me why?
Then I would say that in the initial phase just after a business is established, it has to undergo a tune with no income. Customers do not know the business and its products. Consequently, they do not trust it enough to spend their money. The result is many up, and coming companies to take months to go to equilibrium.
With an almost non-existent income and high expenses, many regard the new businessperson as unemployed. They find it difficult even to get a small loan, loans for unemployed become their only savior.
Being a business person is not a simple walk in the park; it is a full-time job that even necessitates working on weekends.
When a person enters a world that is new to him, and unlike anything he has ever experienced in his life, you can imagine the level of cluelessness, he is bound to experience.
The cluelessness would make his adjustment into this world a tad more complicated. He or she might have a degree in business, but even that cannot prepare him or her for the battles of the business world.
The cluelessness, the indecisiveness, and the insecurities make the budding businessman seem out of place, a little similar to being unemployed.
If I asked you about the time when you took the worst decisions of your life, when would you say it was?
Probably your teens?
Or maybe in college?
Might it be the time when you just started your career?
It could be right for all three of these times. It is true because these are the times when we can proudly call ourselves amateur and not be embarrassed about it. We are amateurs because we are experiencing things for the first time in our lives and our urge for acceptance, we often make the wrong kind of decisions.
A new entrepreneur is the same way. He wants acceptance. He wants glory. He wants the profits and the success accompanying them. In his hurry to get all of these in the form of validation for his impeccable business idea, he can make decisions that are hurried and often not thought through. And you must know these decisions can be called amateurish, without any doubt.
Since the chances of a decision like that having a fruitful outcome are slim to none, you can understand why a budding business person would be referred to as unemployed.
When a new student joins a class, he does not have even a single friend in the school. Am I right? So more times than not, this newbie finds it challenging to swerve through the school because he does not have anyone to rely on.
Classes become incredibly annoying;
The hallways seem like a maze;
The PT class becomes a nightmare;
Homework starts seeming like Newton’s thesis, way above your understanding.
Do you need me to tell you that this is also applicable to a new business?
A new business will not have many connections, not with the suppliers, not with the retailers and wholesalers, and certainly not with other businesses. These connections take time and effort from the new entrepreneur.
It makes the initial period of operations for the business taxing at best. Without connections, growth is limited; with them, growth can be skyrocketed. Knowing the right people in the right places benefits every business immensely. However, new companies have to wait a certain amount of time to reap those benefits.
Are people wrong in judging the new business owner as they would an unemployed? Maybe or maybe not, there is no perceived answer to this.