At the moment the economy and the country it self is currently battling with inflation, due to this there have not only be an increase in transportation but also the cost of goods and services have increased. This might make it abit hard for young entrepreneurs hoping to start their business this year difficult. They would have to spend more.
Why starting a business might be difficult for most this year.
- Thread starter eldavis
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Inflation is one of the biggest stumbling block to starting any kind of business because it is going to make everything very expensive and practically draw down on them profit-making you will have in the business if you even start it.
Yes, in many countries, the economy has not bounced back from Pandemic. The price of goods has increased. It's not easy to start a business at this time unless you have a unique product/service to offer.
A lot of people are going through a lot of challenges this period. It is a sad situation for most and I wonder how long it is going to take for the government of my country to do something about this.
Yes, I agree that there is need for people to believe that they can, but when you look at the economic difficulties and whether your business can flourish or not, you become worried.
Yes, I agree that there is need for people to believe that they can, but when you look at the economic difficulties and whether your business can flourish or not, you become worried.
Unfortunately I don't believe that as a result of how bad the economy is people should not be able to start a business they want to which is why you have to make sure you have a very good plan so that even with the bad economy, you can be able to set up something.
The cost of doing any kind of business has doubled from what it was last year. People that had been saving up to start a business would have to extend their savings for that dream to ever come true.
A business that was projected to be started with 100k last year? You would be very lucky if 200k can start that same business this year. I know of so many people who have used their savings for their planned businesses to save themselves from hunger caused by huge inflation. B
Someone once told me that I should keep my money and not waste it on any business this year. With the up and down trend in the prices commodities, it is difficult to predict a pattern to even know when to enter a business.
The intense level of competition also makes it difficult for young entrepreneurs to start building their business, they have to struggle at the start of starting a business, willing to accept little profit. Because he has to attract new customers so that over time he can become a regular customer. Only then can he raise the price according to the prevailing market price.
- Thread starter
- #15
Very true, the price of every has gone up. Currently the cost of petrol in my area is around 510 in our local currency, i heard someone saying as from this month once they start buying new fuel from the market, they would start selling at around 700 in local currency.
With this reality, the cost of transportation has risen which also means that the price of consumer goods and production inputs have also risen. Anyone that wants to rent a shop for instance now, would have to pay double the price. Some people are keeping their capital I in hope that things would improve next year.
- Thread starter
- #17
Oh i have not even thought about the cost of renting a store. You are right. Renting a store these days is becoming more expensive due to the cost of living the landlords and store owners want to make sure they get their money.
And most of them don't even want to accept a one year payment as a start. They want two years down payment. That makes it difficult for an aspiring entrepreneur to be able to set up.
Starting a business is difficult only for those who lack knowledge, for all those who have knowledge starting a business, especially an online business takes less than 30 minutes. Making it successful is a different matter
