On Innovations Origins.com, we read a nice blog by Bert Overlack in late July with the question of whether it makes sense to start a start-up in these Corona times. To start or not to start?
In these uncertain and turbulent times, does it make sense at all to start a new company or take over an existing one? According to Bert, founders as successors weigh the opportunities and risks. And given the many uncertainties, constraints and negative news surrounding Covid-19 and the so-called Corona crisis, it is understandable that the uncertainty and thus the risks outweigh the opportunities.
Behind that is the fear of failure. There is also the doubt of making the right decisions and possibly having to deal with guilt afterwards. Understandable. Fear is a very important emotion because it points to risks that we cannot fully foresee. It tells us to be careful. And that is what we need to do in a situation like the one we are experiencing. But acting cautiously does not mean not acting. Successful entrepreneurs are characterized precisely by being aware of their fears but not letting them block them.
Doubt is part of it
Doubt is part of these times. How are we supposed to know what the right decisions are? We have been talking for years about VUCA(Volatility, uncertainty, complexity and ambiguity) times and how to act in them. Some companies have long lived in a VUCA world because their markets and technological conditions were just that - volatile, uncertain, complex and ambiguous. And suddenly we are all living in a VUCA world. Within weeks, Covid-19 has turned our world upside down, shown us how little we know, how complex our dependencies in international goods trade are, and how difficult we find it to accept that there are no clear answers and solutions. We must take a bipartisan view before making important decisions in these times. So look at both sides. And then make decisions and overcome your doubts.
Face your fear
Why. There are many stories about successful entrepreneurs and their secrets of success. All the successful entrepreneurs Bert knows have faced their fears and doubts in crucial situations. They have faced and overcome their personal fears. And to overcome their doubts, they sought advice and other opinions and then decided on a direction.
What remains are the possible feelings of guilt. Usually we feel guilty when we know that we knowingly did something wrong, did not meet expectations and got caught. We cannot make all the right decisions in our lives. I don't know anyone who has succeeded. But we can deal with reasons why we as humans make mistakes, make wrong decisions, which can lead to failure. We can learn from the experiences of others and try to integrate them into our behavior and decisions.
Don't lie to yourself
Entrepreneurs fail because they lie to themselves. Because they don't want to admit unpleasant facts, talk about them nicely or ignore them. This includes our blind spots and biases. We all have them. By not dealing with them, we are unable to recognize our unconscious patterns of thinking and acting, and thus not include them in our decision-making processes. So we deceive ourselves - lie to ourselves.
Another reason why entrepreneurs fail is hubris, the hubris of being able to do everything, of knowing no limits and feeling that they have endless financial, temporal and energetic resources. Self-confidence and the conviction for one's goals and projects are important and a prerequisite for business success. It is equally important to have visibility into your own resources and their limits. Because with force everything goes well - many things also break down.
Doubt is also one of the main reasons why entrepreneurs fail. Doubt, this feeling of being on the gas pedal and braking at the same time, going around in circles, losing orientation and going nowhere. And to use a lot of energy in the process. Doubts can only be overcome with a clear decision. Being successful as an entrepreneur also requires courageous and bold decisions.
In every crisis, opportunities
Crises are opportunities. And opportunities turn into crises if they are not taken advantage of. The Greek word crisis means not only opportunity and crisis, but also decision. A crisis becomes an opportunity only when we are willing to make decisions. All ancient wisdom teachings have in common that they describe the world as polarity. This means that in every crisis there are opportunities and in every opportunity there are risks.
Therefore, Bert's answer to the question of founders and successors whether they should take an entrepreneurial risk during this period is always: If you are convinced of your idea, do it.
Great advice: Take advantage of the opportunities in this corona crisis and contribute to the fact that afterwards we will have a better world than before. And be aware of the risks, especially the personal risks: self-deception, hubris and doubt. The greatest risk of any entrepreneurial activity is the entrepreneur himself.
