Debunking Small Business Myths: What You Really Need to Know

What are common myths about small businesses?

1. Build it and customers will come
2. Sales is the most important number
3. You’ll have more flexible hours

Overview

• Starting and maintaining a small business is challenging and often requires handling multiple roles, from marketing to finance management.
• Understanding and debunking common small business myths helps set realistic expectations and build a strong foundation for success.

Contrary to popular belief and feel-good segments in the media, starting and maintaining a small business is not an easy feat. While it may be smaller in reach and scope than big companies, small businesses often require a more hands-on approach, especially when you are just starting. As a small business owner, you may find yourself doing multiple roles from marketing, and customer service, to finance management.

Knowing the ins and outs of the industry starts with debunking common small business myths. In this article, we will highlight some of those myths.

Build It and Customers Will Come

This myth is particularly popular among aspiring business owners. It is best to remember that launching your brand or service is not enough to attract your target audience. That would not be a feasible strategy, especially in a competitive market. There are key elements you would need to take into account such as marketing, branding, and outreach strategies, among others.

Fortune favors the bold, yes but it should go hand in hand with sound marketing strategies to ensure your small business thrives.

Sales is the Most Important Number

While sales is an important goal in small businesses, it shouldn’t be the only goal. Many new entrepreneurs falsely assume that having high sales means your business is sound. However, growing your sales while ignoring other essential aspects of your business such as cash flow is bad practice.

More seasoned and successful business owners recommend focusing on cash flow and where it goes is a more sound strategy. A balanced approach that includes maintaining healthy cash flow, investing in customer relationships, and ensuring smooth operations is also critical to a small business.

Knowing this important tidbit is why debunking small business myths such as this one is essential.

You’ll Have More Flexible Hours

Starting a small business may feel like you’ll have flexible hours compared to working for a company. However, a small business means you would need to be more hands-on in nearly all aspects of your business.

The initial stages in particular may take time, energy, and commitment; small businesses frequently call for longer hours than a regular 9 to 5 position.

There are certainly perks to being your boss, you would also be entering a whole new field that requires a different way of navigating. For instance, while not having a boss may mean that you would not have upper management to answer to, being a small business owner means that you will answer to your clients and customers, especially in the early days of your business.

Key Takeaway

Debunking small business myths is not meant to discourage you from starting your small business. Having a starting knowledge of what to expect in a small business is a good habit to cultivate. Embracing this realistic perspective can help you build a strong foundation and increase your chances of thriving in the competitive business landscape.

If you want to drive deeper and learn more essential business and finance knowledge, you can reach out to me to learn more.