5 Characteristics of a Profitable Business Owner

It might take years of hard work, dedication, and determination to launch and grow a business, which is not for everyone. According to a recent SBA (Small Business Administration) survey, one-third of new enterprises fail in their first year, and around half fail within five years. Given the high failure rates, what distinguishes a competent business owner from an average one? There are several types of entrepreneurs who employ diverse skills to achieve the same objective: success. But what characteristics do all of these successful business owners share? Devoted, collaborative, and future-oriented are a few examples. While there are dozens of distinct combinations of characteristics that make up a successful entrepreneur, we believe the following five are the most important.

Integrity

Surprisingly, “honesty” was not named as an essential trait on any of the other lists I investigated, but it is crucial. As an owner, you constantly represent your product, brand, and business. By conducting business with integrity, you establish yourself as a credible professional within the community. Your reputation might be your most potent ally, so you’ll want to create it by being trustworthy on all fronts, including with employees, clients, and business partners.

Mindset

Focusing can be difficult, especially when vacations, holidays, or less challenging work are approaching. Successful business entrepreneurs recognize the need of maintaining concentration and completing the job at hand. Develop the mindset that your firm will prosper and that you will do whatever it takes to make that happen. Setting both short-term and long-term goals helps you prioritize exactly what must be done and when. Even if you do not finish a goal by the planned deadline, or at all, this does not make you less motivated; business owners must constantly reprioritize and analyze what is most important at the moment to ensure success.

Perseverance

Perseverance is most likely one of the most essential characteristics of a business owner. Successful business entrepreneurs are aware of what must be done and carry it through. They are aware that they must persevere through the lengthy hours of overtime and maintain concentration in order to reach the company’s ultimate objective. Every business has its ups and downs. Whether it’s a terrible month or the loss of a business contract, as a business owner you must recover with the perseverance needed to succeed.

No Fear

If you own a business or want to start one, this characteristic likely comes naturally to you. As the adage goes, “no risk, no profit,” and the same holds true for business ownership. To achieve success, you must be willing to take chances and engage in activities that are outside your comfort zone. However, taking risks is distinct from taking calculated risks. Before making a decision, consider all possible possibilities, and most importantly, have a backup strategy. Plan for a risk, and the likelihood of achieving a favorable outcome will improve.

Involvement

This is true for everyone creating a career or reputation in the professional world, but as a business owner, you must emphasize this characteristic more than others. Use your charisma and conversational skills to network with vertical influencers in the community or to gain access to the decision-makers of the prospect you have been eyeing. Introduce yourself to other business owners in the area and attend networking events. Consider donating for a local charity or performing community service for other players. By creating a cordial relationship, you build a network and establish your reputation through word of mouth.