Myths About Entrepreneurship

There are a number of falsehoods about entrepreneurship that seem to persist year after year for whatever reason. These false representations about the business world may seem inconsequential, but the disappointing truth is that many people are convinced that they are not good enough to start their own business. We would like to review three common myths about what it takes to become self-employed.

1. You don't need a Masters in business administration or any other fancy diplomas or certificates.

Many people think that in order to become successful in your own business, you need to have an MBA or other advanced degree. This is simply not true. We believe that education is always a plus, and this is especially important if you plan to become a manager at a top firm that normally requires an MBA from a top school.

However, we don't believe this applies nearly as much when it comes to owning and operating your own small business. Much of the formal schooling in a university is geared towards obtaining a job with a large corporation, not towards entrepreneurship. Sometimes this kind of education may even be a detriment if you rely on it exclusively when going out on your own.

Remember that some of the most successful entrepreneurs in the world, including Bill Gates and Steve Jobs, do not have college or advanced degrees -- let alone a Masters in business administration or any other advanced degree.

2. You don't have to be extremely gregarious or extroverted.

Some studies suggest that entrepreneurs tend to be more extroverted, but this is certainly not a requirement by any means. As long as you are able to conduct yourself professionally and treat your customers courteously, you shouldn't have a problem running your own business.

3. Entrepreneurs do not necessarily take significant risks when starting their own businesses.

Consider what might happen if the worst-case scenario comes true and your business fails like so many others have in the past. What would you do? Well, you would probably end up going back to a regular job like you had before. Perhaps your savings or retirement funds would also have been wiped out in the process, and you would have to start over financially. This would be no cakewalk, but contemplate the alternative.

Now consider the risk of staying in your current job (or one like it) for the long -term and never venturing out into the world of entrepreneurship. You may end up regretting this decision many years down the road because you were stuck in a job that you hated or that had low income potential.