Risky Business

There’s no doubt about it, starting a new venture is risky business. Perhaps you’re in a full-time job and would have to give up a regular income to start your business. Maybe you have a family who depend on you. Or maybe you’re worried about what people would think of you if you fail. Absolutely everyone who has ever started a business has felt at least some degree of risk.
But there are some things you can do to become less risk averse.

Firstly, recognise that there is a difference between a risk and a gamble. A gamble would be putting all your life savings into a single venture – without a crystal ball there’s no guarantee the business will work, and you would be left with nothing. This would be extremely difficult to recover from. A risk, however, is something you could easily recover from and you would still be able to function if it failed. So, investing some of your savings and borrowing the remainder of the capital required at a rate you could afford is much less risky.
Have the mindset of a risk taker. So many people I meet view failure negatively, meaning that they are so preoccupied with avoiding failure that they don’t take opportunities. Look at some of the world’s most famous entrepreneurs – Thomas Edison, Walt Disney, Steve Jobs – all of them previously failed multiple times but became successful because they weren’t afraid to fail. They recognised that failure is simply feedback. Through failure you learn what not to do and what to do better. Being prepared to fail is a vital step in becoming less risk averse and I’m sure some of Dungannon’s own successful business owners will tell you that.

Get more comfortable with taking risks by starting small then building your way up. Your first step could be something as simple as talking to an advisor at Dungannon Enterprise Centre for some feedback on your idea. The risk is that they will pull your idea apart, but their feedback could help you make your idea even better. From there work your way up at a pace you are comfortable with -  employ a temporary employee before diving in with a permanent one, test your new product with a small group before going for an all-out product launch, or rent a premises with an easy in – easy out option before taking a long lease.

And then there is the old favourite, a risk assessment. This can simply be a list of all the possible things that might go wrong, how you can minimise the chances of them happening and what is the worst-case scenario. This will help you to feel prepared making taking a risk that little bit more palatable.

Call 028 87 723 489 to talk to the team at Dungannon Enterprise Centre about your business.