Embracing calculated potential risk 

When it comes to entrepreneurship, making the choice to take risks will always be a tough decision. But as one successful entrepreneur from Kazakhstan tells us “. . . Risk leads to growth”. 

To be more comfortable taking business risks, entrepreneurs need to be aware of some the key types of risk that can impact their endeavours, such as: 

Financial risk, which entails the founder occasionally utilising their personal capital or alternative income sources, thereby exposing the company to potential jeopardy. 

Strategic risk, which introduces thrilling possibilities accompanied by the potential for substantial gains; nevertheless, it also comes with the risk of setbacks and potential financial losses. 

Start by trying smaller business risks 

For a new entrepreneur or one who hasn’t had much experience in taking risks before, the best advice is to start small. Taking new risks can be as simple as changing up social media posts or taking a slightly different approach to marketing. This provides a way to learn from these experiences without risking too much money. Additionally, it is a way of building up skills, without the fear of major losses. 
 

Remove personal feelings from the equation 

One thing that often stops individuals from taking bold leaps or engaging in slightly risky opportunities is their personal sentiment or emotions. However, a successful entrepreneur must always prioritise what’s in the company’s best interest. For example, for sentimental reasons an individual may hesitate to part ways with an employee who is causing financial losses. It’s important to remember that being an entrepreneur isn’t easy and, according to a serial entrepreneur from Ukraine, “You should be morally ready for the risks that you take on, that you are responsible for the project and its finances.” 

Build your business mindset around risk taking 

One more key thing to keep in mind when it comes to business risk taking is to not let a loss upset you. Embrace the spirit of smart risk taking as part of your business’s values. Inspire and empower your team to embark on calculated and well thought out ventures and celebrate both successes and setbacks.  

To learn about identifying potential risks and understand the benefits it can grant your business, read our articles Identifying Potential Business Risks for Entrepreneurs and Strategies to Help You Embrace Business Risk.