There’s always something so appealing about running your own business and being your own boss. Instead of taking orders from someone else, you’re able to take charge and make more money while you’re at it. These advantages are partly why entrepreneurship has been growing in the United States over the last few years.
According to data from the US Census Bureau, more people than ever applied for small business applications in 2021 (5.38 million). While that number has dipped slightly, it’s still higher than in previous years, where the average was around 3.5 million applications.
That said, being an entrepreneur is inherently risky, and not everyone is successful. It takes both skill and perseverance to turn a business idea into profit, which is why all successful entrepreneurs share similar qualities and traits. So, let’s break down the top qualities of a successful entrepreneur so you can make your business dreams a reality.
Top Three Entrepreneurial Trends in 2023
Starting a business in 2023 is much different than doing so a decade or more ago. Today’s entrepreneurs have far more access to tools and software to help them succeed. Additionally, markets have shifted a lot in recent years, so it’s important for new business owners to adapt to stay ahead of the curve. Here are three new trends to watch out for in 2023 and beyond:
- Multiple Revenue Streams – These days, sales can come from multiple sources, including product sales, subscription services, consultation fees, and more. Online sales are also a huge contributor, so entrepreneurs need to get creative about diversifying their revenue, so they don’t depend too much on one channel.
- Remote Workforce – Remote working is far more popular and commonplace today than it was a few years ago. Now, entrepreneurs can leverage skilled employees from anywhere in the world, not just those that are local.
- Continued Reliance on Consumer Data – Social media sites and search engines like Google can provide a wealth of consumer information for new businesses. Those that internalize this data and use it to their advantage will get ahead, while those that don’t tap into that information will fall behind.
Trends by State
When starting a business it’s important to take into consideration the local and state level trends too. Tuning in to the wishes and needs of specific areas can be a key element in creating a strong business that caters to a devoted niche audience. For example, in California, E-Commerce & Online Auctions are the biggest industries by revenue, and Information is the biggest sector in terms of GDP, as well as the fastest growing one between 2017-2022. Getting to know the trends and unique challenges and needs of Californians is a key starting point for anyone looking to start a business in California.
5 Qualities of a Successful Entrepreneur
Overall, starting a new business in the United States has never been easier, but keeping it afloat and profitable is another story. So, let’s look at the five traits of successful entrepreneurs so you can figure out which parts to utilize for your new enterprise.
1. Having a Clear Vision
What does “success” mean to you? Does it mean a world where you can live comfortably on the earnings from your business while working as little as possible? Or do you want to be a part of daily operations for as long as possible while making steady earnings? Maybe you’re hoping to make it big and become independently wealthy as your business grows.
The bottom line is that success means something unique for every entrepreneur. So, if you want to succeed, you need to know what that means and what it will take to reach that goal. If you’re not sure about a specific step, it’s best to research each component so you know how to get to the next level. Otherwise, it’s easy to get stuck and tread water with little forward momentum.
2. Coming Up With Creative Solutions
One of the best things about being an entrepreneur today is that you can learn from the mistakes and setbacks of previous business owners. However, even with all that information at your fingertips, it’s easy to fall into traditional patterns because “that’s the way it’s always done.”
But if you look at some of the most successful brands of the past decade (i.e., Uber, Airbnb, Dropbox), they found success by coming up with creative solutions to existing problems. While you don’t have to revolutionize an entire industry, it’s best to think outside the box when you’re faced with a new obstacle. Creative problem-solving will aid you far more than anything else, as it makes you adaptable to every situation.
3. Understanding Your Value Proposition
What makes your business stand out from the rest? Why should customers buy your product or hire you for your services? As an entrepreneur, you need to be able to answer this question better than anyone else. Also, if your answers aren’t compelling enough, it’s up to you to figure out how to make your brand more appealing and valuable to the customer.
All too often, new business owners look at the amount of market demand and assume that they can get a piece of the action. However, if you’re not making a captivating pitch to your audience, there’s little reason for anyone to pay attention, even if you’re offering something better than the competition.
4. Strong Perseverance
No matter what kind of business you’re trying to start, you will experience setbacks. Unfortunately, it’s super easy to succumb to these challenges and let them get the best of you if you’re unprepared. Perseverance is crucial because it’s often the deciding factor between a business that succeeds and one that fails.
It’s also important to note that perseverance isn’t just based on your spirit. You also have to create a business model that can weather storms and obstacles without crumbling under the weight of expectations or financial obligations. So, as you grow your brand, you also have to be able to save money and resources for a rainy day. Otherwise, as soon as you do face setbacks (i.e., a slow sales period), you’ll struggle to keep the doors open.
Finally, perseverance also doesn’t mean blindly working hard. Sometimes, you’re struggling because you’re not optimizing your operational efficiency or providing enough value to your customers. Here is where coming up with creative solutions can also come in handy because you can pinpoint the real reason behind the problem and address that instead of staying the course and hoping for the best.
5. Ability to Learn on the Fly
The Dunning-Kruger effect refers to a person who is so inexperienced or has such a lack of knowledge about a topic that they overestimate their ability to understand it. This effect can cripple entrepreneurs who think they “know it all” and try to rely on their own expertise and experience to overcome any challenges.
The fact is that there’s a lot you don’t know, and there’s no shame in learning new skills or ideas as you go. To be successful in business, you don’t have to know everything – only how to learn about everything you don’t know. This trait allows you to upgrade yourself and your brand simultaneously. The more you learn how to accomplish tasks or solve problems, the easier it will be to adapt and get ahead.
Overall, these five traits are often the driving force behind a business’s success or failure. Even if you don’t have the most startup funds or the best infrastructure in place yet, having these skills can help push your brand forward until everything falls into place.
