Success Factors for the Self-Employed

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Success Factors for the Self-Employed - Part 18: Step by Step Into Self-Employment on the Internet - After I listed reasons why self-employed people can fail in the last part of the article series “Step by step into self-employment on the Internet”, I would like to mention positive factors this time.

That is why today I am introducing 15 important success factors for the self-employed.

<< Part 17 - This is why self-employed people fail

>> Part 19 - After setting up a business

[overview of the article series " Step by step into self-employment on the Internet "]

Success Factors for the Self-Employed - Part 18: Step by Step Into Self-Employment on the Internet

In the following, I name 15 factors that, in my experience, help you to build successful self-employment.

Of course, not all 15 factors are necessary to be successful. But the more of it you can show, the greater the chance of being able to establish your independence in the long term.

I have arranged the factors alphabetically again.

Adaptability
Good adaptability is very important, as self-employment rarely goes exactly as planned. On the one hand, the reality then usually looks different than it is in the business plan.

On the other hand, of course, the environment also changes over time. Customer needs change and markets change. New competitors emerge old ones disappear.

Those who do not adapt to the changes will have problems surviving.
Perseverance / Discipline
The first 3 years are the hardest, they say. And that's not entirely wrong. Whether offline or online, especially at the beginning you usually need every customer and have to check every month that the money is enough.

Over time this usually gets better, but even then you shouldn't let the meander stop. Only if you stay tuned can you build something. Somehow by the way, when you feel like it, it usually doesn't work.

I can also see from my websites that perseverance and discipline pay off. Especially since many competitors do not have exactly these properties in the long term.
Being Able to Delegate
I still have to work on that personally, but in the long run, it often makes a lot of sense to delegate.

Otherwise, you stand in your way, because your working hours are limited and you can't do everything that well.

That's why you should start using external experts over time and thus give your business more opportunities for growth.
Technical Know-How
That should be clear. Anyone who dares to be self-employed in an industry they have no idea about needs a lot of luck and trust in God.

With websites, in particular, you should already know how to market something online and how to establish a functioning business model. You should also have an idea of the content of your pages.

But that's the point where very few start-ups fail.
Business Idea/Business Model
A good and profitable business idea is important. Many do not think through their business idea to the end or start with an “I do the same thing as XY” attitude.

But you should offer something special, stand out from others and be able to explain your business idea clearly in a few words.

And the business model, i.e. how exactly you want to earn money, should be defined right from the start.
Commercial Skills
There is a lack of business start-ups here. While the technical know-how is available, unfortunately, many founders know too little about the commercial part of self-employment.

This is just as important. Many self-employed people go bankrupt because, for example, there is a lack of liquidity, legal issues have not been observed, running costs eat up profit, etc.

Anyone who does not have a degree in business administration or commercial training should read up on the topic or attend a course on it.

Of course, you can also fall back on external experts here. However, you should still acquire basic knowledge, as this is also important for business decisions.
Making Contacts
It is very important to network. A lot of things become easier in self-employment if you know enough people.

It because they bring new customers, help with problems, or because you can simply get something off the ground with them.

And it is also very helpful for start-ups and the self-employed if you can exchange ideas with other founders and self-employed.
Customer Focus
Often fail new companies because they focus too little on the customer.

Somebody comes up with a great idea for a new product and is enthusiastic themselves. But whether there are customers out there for it is not checked.

In all product, price, and marketing decisions, one should primarily keep the customer in mind.

I saw a negative example a while ago. A good restaurant that we were happy to visit tried to cut costs and thus increase profit. So somebody was brought in to “optimize” the menu. Not a problem in itself, you should check your range again and again.

However, it was optimized so “well” that all the special things on the menu were gone at once. Exactly what set the restaurant apart from others has been rationalized away. We hardly go there since then.
Willingness to Learn
As a child, I was “taught” that one would learn all of life and that's the way it is.

Anyone who wants to be successful in the long term as a self-employed person must not stand still, but must always learn.

Things are constantly changing, especially on the Internet. That is why you should stay inquisitive and keep learning.
Marketing
“If you don't advertise, you die”. Without marketing your products, services, websites, etc., you will usually not find enough customers.

That is why it is important to do something for marketing regularly.

That can be one day of the month that you keep free for marketing. But some self-employed people plan to do one thing for marketing every day.

However you organize it yourself, it is important that you do not only do marketing at the beginning or when orders are running out.
Motivation
Good motivation is of course also very important. If you have to fight your weaker self every day, you probably won't last long.

You can get your motivation from many things. Of course, “earning money” in itself is also motivating, but it shouldn't be based on it alone.

Short and medium-term goals that you want to achieve are very good for motivation.
Realistic Expectations
Unfortunately, many start-ups go into self-employment with unrealistic expectations. Or you have defined long-term goals based on the best-best case.

It is hard to be self-employed and not a piece of cake. Most founders get by this way before they reach a normal income.

You should therefore have realistic expectations and also prepare for a worst-case scenario.
Fun
At the very bottom of this list comes what I think is the most important point. Your independence should be fun. I like to get up every day and get to work.

And having fun at work ensures that overtime is not a problem and that you stay on the ball even in stressful times. You simply put your heart and soul into your work and the customers notice that too.

If you want to build up successful self-employment in the long term, you should have fun with it.
Stable Growth
Today you often hear the opinion that a business has to grow as quickly as possible and achieve reach to be successful. However, the crash is often there very quickly.

I am a great slow growth friend. This requires perseverance and stamina, but with steady and stable growth you put your company on a more stable footing than taking large risks in the short term.

Of course, it is possible to grow slowly from industry to industry and there are certainly many who establish something quickly and, if it doesn't work, end it just as quickly.

So it also depends on your character how you proceed.
Forward-Looking Planning and Goals
As a self-employed person, you should always plan. For example, when it comes to liquidity.

This year I realized how important it is to act with foresight. The tax office, trade office, and others have hit me in the past few months. Back payments and advance payments have grown to not insignificant heights.

Now one or the other will say that I also deserve more. That is correct, but you still have to consider this development and start putting money back in good time.

If you just carry on as always and immediately spend the money that comes in again, you will run into problems. In this respect, I am not surprised that self-employed people only go bankrupt after 3-5 years. After the initial years, in which you hardly had to pay anything, the income went up, but so did the taxes. The latter was simply not considered by some.

But also in the areas of product development, marketing, etc. one should plan and define goals.

On the other hand, if you sink into the daily stress of work and only think about the current day, you will experience one or the other nasty surprise.

That should have been my success factor for the self-employed.

Anyone who would like to contribute further success factors is welcome to do so. Just put it in the comments.

So It Goes on

The series of articles “ Step by step into self-employment on the Internet ” is drawing to a close. Part 19 is about the time after starting a business and what to look out for.

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