Life is tough for young people at the minute. Finding well paid jobs is getting more difficult as employers put more emphasis on job experience over qualifications. With the cost of living increasing at a faster rate than wages, finding financial security is getting more difficult by the day. That’s why more young people are taking their future into their own hands and starting their own businesses. Since 2006, the number of people under 35 starting their own companies has increased by a staggering 70 percent. When there aren’t enough opportunities out there, you’ve got to make your own.
Young people starting businesses face their own specific set of challenges because of their age, but you shouldn’t let that put you off. There’s always a way to overcome these hurdles with enough hard work. Before you get started on your new business, read these tips for young entrepreneurs.
Financial Responsibility
The internet is bursting at the seams with articles about millennials struggling with money because they spend too much money on expensive lunch and coffee. I don’t think you can explain away all of the financial problems that young people have by saying they spend too much on avocados, but either way, most people tend to think that you’re no good with money. When you’re applying for Business Loans, lenders are going to be far more reluctant to deal with you because you’re young. The way to get around this is to prove that you are on top of your finances.
Before you even start looking for funding you need to clear any debts you have. It’s also a good idea to save up a bit of your own money to put into the business. That way you have tangible proof to show investors and prove that you will be responsible with their money.
Lack Of Experience
Everybody under the age of 30 has probably lost out on a job because of lack of experience. Employers are starting to go for people that have more job experience so they don’t have to spend as much time or money on training and people that are only just entering the job market are struggling with it. The same goes for starting a business. People aren’t going to trust you with their money if you don’t have any experience in the industry that you’re starting a business in.
You should try to find an entry level job in your chosen field and get to know the business from the inside. It doesn’t matter what level you’re at, you’ll still get a sense of how things work even in an admin role. Getting a good idea of what works and what doesn’t in that industry will help you to avoid making any of the obvious mistakes, and it’ll give you more credentials when you approach lenders.
Working for a company in that industry can also help you to come up with a new business plan that’s different to what other businesses are doing. If you start a company that does exactly the same as everybody else, you won’t get anywhere.
Starting a business as a young person is going to be harder, but the key to success is breaking the preconceptions people have about you and proving that you’re capable.
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