Many young people do not seriously consider the possibility of running their own business. After studying at school there are many options for young people:
- Further study at ocational institution, univserity or private college
- Entry into the workplace as a fulltime, part time or casual employee with the possibility of doing some part-time study, take on a traineeship or apprenticeship
- Travel and gain some cultural experience
For those who work, they may find that they very much enjoy and have an aptitude for business. When considering the possibility of going into business. When cosidering the possibility of going into business the following factors are typically suggested to be taken into account:
- Whether the person has the requisite personal skills
- Funding and finance considerations
- Experience and training
- The capacity to plan for and control the business
- The ability to recruit and manage staff
There are several key personal skills that are displayed by entrepreneurs. These include vision, a strong sense of determination, very strong capacity to focus with a single mind, an ability to solve complex problems, manage risk and make decisions, a creativity which helps in sensing opportunities and taking advantage of them and astute people management skills.
Clearly, young people may not display all of these skills, however, if they have most of these attributes then the rest can be learnt over time.
Funding and finance
There are two aspects to this particular attribute: the ability to fund the enterprise (which can be done with a mix of savings and borrowing) and the ability to manage the financial aspects of the business through applying financial plans and strong financial controls.
Many young people may not have a high level of savings and therefore find it quite difficult to borrow money. Under these circumstances a young entrepreneur may opt to seek funds from a source like parents or relatives. Alternatively they can approach a lending institution; however they would need to present a very detailed and well-considered business and financial plan. This can help any potential lender to feel confidence in the young borrower.
Experience and training
Young people may find this aspect hard to demonstrate as by virtue of age a young person will not have a lot of experience. They can however take on training courses in order to advance their personal understanding in areas of business management where they may not feel confident.
Planning and control
All businesses have to be well managed. Resources need to be allocated and controlled. Detailed plans enable a young entrepreneur to demonstrate that due consideration and attention has been given to all aspects of the business. Astute and detailed planning assists with control. Young entrepreneurs need to have strong goals against which business performance can be assessed.
Recruiting and managing staff
Another key skill is the ability to manage people and labour resources. However, once again young people can find this quite tricky as tricky as they may err on the side of making friends rather than managing staff with appropriate direction. Once again however they may need to undertake further training and education to have the necessary skill in the staff recruitment and management process.
With all these skills at hand, starting and running a business while young should be a easier job, this basic knowledge will be helpful to get you started and working on the right track, and may hopefully lead you to become a successful entrepreneur!