Do you know that 36% to 51% of companies die before achieving 5 years of existence (European statistics) and that 90% of startups fail (CBINSIGHTS)? Money is the 2nd reason why businesses fail. For that reason, we should mitigate the risks related to money.
How can we solve that?
We can solve it with an entrepreneur mindset! Probably, at this stage, you are asking “what is an entrepreneur mindset?”. Having an entrepreneurial mindset is to be proactive and to use opportunities to bring value to people and to the world with fewer resources possible.
For example, if you are extremely good at making homemade pies and you have an apple tree at home. Making homemade apple pies and sell them on Instagram/Facebook is a great opportunity to solve the problem of “all the supermarket cakes are unnatural”, bring value to people, start a business with almost any investment and mitigate almost all the risk.
In this way you will create a sustainable financial business and invest in more complex solutions as you grow.
You can have an entrepreneurial mindset at home, work, city, country, etc… Because it’s just a matter of attitude!
So, please don’t invest your emergency fund in a business without trying to understand if it is really a business. By identifying the problem, doing market research and validating the product/service using an MVP.
If you want to learn more about this topic, Last Monday, April 19, I was invited by the Montepio Acredita Portugal Startup competition to participate in the #EntrepreneursTalks to talk about the topic “How to launch a business without investment?”. You can see here the full Portuguese vídeo where I speak in more depth on the topic.