The Complete Guide That Makes Fostering Entrepreneurial Success Simple

The Census Bureau estimates 4 million new businesses have sprung to life since March 2020.

That’s a higher figure than what you’d typically expect during a recession. For many of these business owners, the goal has been to survive the adverse financial effects of the COVID-19 pandemic.

However, without understanding what it takes to run a viable business, these founders will inevitably close their doors sooner rather than later. Since execution relies upon imagination, you need to think through what leads to entrepreneurial success.

Keep reading for a close look at four fundamental elements that set entrepreneurs ahead of the pack.

1. Grit

Here are some challenging statistics — Of all the new businesses that open every year, 20% of them will fail in their first two years. Furthermore, 45% of new businesses will close their doors in their first five years.

To be a successful business executive, you need to learn how to do difficult things without burning out due to discouragement.

You’ll need to be courageous in the face of fear-inducing decisions. When the road suddenly moves from being smooth to indeterminate terrain, you have to ensure it in pursuit of a singular vision.

Inevitably, you’ll get knocked down time and again. Not only will you need not lose hope, but you’ll also only survive if you develop the knack to get back, shake the dust off and jump into the fray again.

With that said, you need to understand the difference between authentic grit and habits that set you up for a fall. For example, successful business people accomplish more than they get attention for, which speaks to humility.

Another issue bedeviling entrepreneurs is the difference between grit and lack of discernment. Business success requires the ability to tell between grit and the pursuit of an unwise endeavor. It’s a thin line, but only entrepreneurs with this skill can go the whole way.

2. Passion for Driving What You Do

While grit is mission-critical to business success, you can’t go the distance without passion. The ending love for what you do is the fuel that will drive your entrepreneurial engine when nothing else will.

When you love your work, it stops feeling like climbing a steep hill every day.

That doesn’t mean you’ll love every day you wake up to go to the office, though. It doesn’t mean that on those days where you feel too weary, that unrelenting pull to birth your vision will still get you out of bed.

More importantly, passionate entrepreneurs often succeed because that fire keeps their minds on the job 24/7. Even when you are out of the office, you’re never really off the clock.

It’s only a matter of time before that kind of focus helps you make more significant steps than the competition.

3. An Appetite for Risk

If there is one thing that sets entrepreneurs (and would-be entrepreneurs) apart, it’s the ability to handle risk.

Human beings, by nature, are risk-averse. As a result, people tend to lean towards the path of least resistance, and only a concerted effort to battle this will make you successful.

For example, let’s say you have two entrepreneurs running a similar business model that’s hit the expansion phase. Entrepreneur A decides not to risk bringing in resources to make up for the shortfall and grow. On the other hand, entrepreneur B chooses to find an investor, bring on extra capital and networks to drive expansion.

Which of the two business owners has higher odds of sustainable growth?

The entrepreneur who taps into skills and resources they don’t have will likely tap new business opportunities. Without facing and taking on the greater risk involved, growing the business would be more formidable.

Of course, successful business people know the value of risk analysis. You don’t take a risk for risk’s sake. You have to know what risks you should take and which ones to avoid.

Once you hire employees, you’ll need to help them embrace acceptable risk in their roles for your firm to succeed. Your team will need a certain level of autonomy to make operational decisions, which come with inevitable mistakes.

Unless you allow your employees some room to make mistakes and learn from them, they won’t take risks. And that is how your firm will remain flaccid and eventually flame out.

4. Emotional Intelligence

Emotional intelligence is an intangible factor that entrepreneurs underestimate, yet it influences success. The key to grasping its value is to understand the connection between emotions, intellect, and action.

An emotionally intelligent entrepreneur is self-aware. Such a business person can link how they feel with their day-to-day operational habits. When the inevitable peaks and valleys that come with running a business hit, the decisions the entrepreneur makes don’t swing wildly.

What will be the result? Level-headed decision-making despite the emotional upheaval. Over time, this stability leads to great insights, which result in cumulative decisions that grow the business.

On top of that, emotional intelligence helps an entrepreneur succeed by bolstering other positive traits.

For example, when you face an early entrepreneurial failure, it can weigh you down. However, as an emotionally intelligent entrepreneur, you’ll have the ability to acknowledge how you feel.

Instead of running away from your emotional experience in such a season, you’ll be better placed to feel and process it. Once you adequately mourn the failure, you can then get back on the saddle.

Such an entrepreneur can keep taking a hit and hit and not slow down. Eventually, an opportunity opens up that dramatically lifts the business.

Emotional intelligence also helps you collaborate better with others. You’ll help yours achieve their best, which leads to success.

Entrepreneurial Success Is Yours for the Taking

Tons of sweat, blood, and tears go into birthing a business. But that’s only the beginning of the race. If you’re to have staying power, you need to identify elements that make for entrepreneurial success. Commit to embracing and executing on these traits to move closer to business success.

Entrepreneurship is war, and you need the right weapons to win. Our website publishes valuable business insights and lessons to help you sharpen your entrepreneurial skills. Check out more of our content to learn new and better ways to take your business to the next level.