The concept of starting a successful business is a dream shared by millions, but the fact is that fewer than one in five are destined to reach their goals. While the odds are still stacked against them, millennials do tend to have a far better shot at making it happen. And that’s in spite of their lack of experience.
There’s no doubt that the shift towards online business is a major factor, but it’s not as simple as that. Here are five reasons why, generally speaking, the younger generation seems to perform better in the field of modern startups.
They Are Financially Responsible
Generally speaking, young people get tarnished with criticisms of being bad with money. After all, we’ve all seen the ridiculous accusations that millennials can’t afford mortgages due to their love of avocados. In reality, though, the economy simply hasn’t been on their side. While this does create a variety problems, it has helped create a generation of resilient problem solvers that respect money.
Unsurprisingly, this translates very well to the world of business. Business bank loans are very difficult to come by, but the best entrepreneurs find ways around it. Crowdfunding and similar ideas are great tools to overcome those funding difficulties. Perhaps more importantly, the smartest business owners respect the need for a tighter grasp on expenses. Whether it’s sharing office spaces, creating partnerships, or finding better deals on various services doesn’t matter. Spend less, and profit margins soar.
There are many factors that contribute to the performance of a modern business. Nevertheless, there’s no denying that finances are the most crucial barometer. The fact that many young entrepreneurs appreciate this fact is telling.
They Appreciate People
A business’s main goal is to generate money. However, it’s people who hold the key to making this happen. While it’s great to have a vision and personal goals, customer opinions are crucial. Many of the brightest young business owners share an understanding of this. Their ideas range from regular interactions and seeking client input to providing better rewards and value. By going the extra mile for their customers, the clients go two extra miles for them.
Before worrying too much about the customer, though, they pay attention to their teams. Employees are the greatest asset at any entrepreneur’s disposal. Firstly, they spend increased time on the recruitment processes. Furthermore, young businesses pride themselves on staff motivation and great HR. After all, a team that works together succeeds together. Happy employees often provide a better customer service anyway.
Without a human touch, a business will never reach its full potential. Even when using outsourced service or partnering with small companies, the attention to people skills is a key attribute. Frankly, it allows many young entrepreneurs to thrive.
They Utilise Technology In Every Aspect
Even the older generation of business owners can appreciate the benefits of modern technology. From selling items and online marketing to using faster machinery, those positive steps can transform a venture. Productivity, revenue, and spending can all see huge improvements thanks to the latest facilities. Still, millennials often know how to take things even further.
As a result of growing up in an era driven by data, young entrepreneurs appreciate the need to analyse everything. By utilising Cloudstream Partners, businesses can track almost every metric imaginable. When those findings are used to make future improvements and amendments, the operation continues to run at 100%. This removes any threat of being left behind while also speeding up the rate of expansion.
Technology can also be used to ‘cheat’ en route to success. Ideas such as franchising or buying virtual office addresses allow a company to gain a stronger presence far sooner. Millennials are far more likely to know about those tricks than older generations.
They Make Money From Nothing
Even when a company is blessed with a winning business model, success rarely comes overnight. Therefore, creating secondary sources of revenue can often be the smartest way to overcome those issues. This is especially true during the early moments where the core concepts aren’t yet profitable. But it can also follow the venture to maximise profit levels for years.
Blogging and vlogging are great ways to create new revenue streams while actively promoting the business. Young entrepreneurs have the awareness needed to express their brands in a fun and engaging manner while getting paid to do it. Meanwhile, many others use RedBubble and other third parties to sell merchandise without any risk. It might never become the primary source of a company’s revenue, but every little helps.
In truth, many of the best young businesses have made their fortunes without even having a physical product. Whether it’s Mark Zuckerberg or David Finocchio, those names provide the inspiration and encourage others to follow.
They Have Time On Their Side
The harsh reality is that many businesses fail because entrepreneurs give up prematurely. It takes time for a company to grow and thousands of people simply don’t persevere for long enough. This is understandable when life and other commitments get in the way. The fact of the matter is that the over 30s are far more likely to succumb to this outcome than teens and those in their 20s.
As shown by the two names mentioned above, many young entrepreneurs start their success stories while students. While progress may be a little slower, the lack of pressure seriously aids their cause. The ability to launch a digital business from the comfort of their homes is equally beneficial. This enables owners to establish their companies at their pace. Unfortunately, older business owners often cannot wait for the ventures to mature.
Like all of the other aspects mentioned above, there are many exceptions to the trends. As a rule of thumb, though, younger entrepreneurs have time on their side. Given that it is the greatest resource available, they should be encouraged to follow those dreams while they can.