Determination is the thing that allows people to smash through, leap over or limbo under and succeed, where others succumb. Mindset has it.
External barriers are probably the ones most people cite when they’re having difficulty being successful. It’s the regulations, the lack of finance, the competition, the uncertainty caused by government policy or economic volatility that people usually point to. However sometimes it’s the internal issues that are even tougher to overcome.
External barriers call for strategic navigation.
Limited access to capital, high startup costs, and poor financial literacy are major hurdles. Even when you are absolutely sure it’s time to find funding to get your business to the next stage that can be hampered by not knowing what the funding options are and how to navigate the various systems.
Regulations and legislation are extremely complex, and not all will apply to your business. It can be next to impossible to work out what applies to you and what doesn’t. Navigating legal requirements, licensing, and compliance leave entrepreneurs overwhelmed.
When it becomes clear that the market you thought had opportunities for a newcomer, turn out to be saturated, customers start following a new trend, or the existing competition proves just too tough for you to get a look in, it’s hard for new businesses to get a foothold.
The political and economic volatility that seems to have been with us since the financial crash has left businesses circumnavigating shifting policies and increasing uncertainty which undermines business confidence. Uncertainty leaves entrepreneurs unconfident about taking further risk and treading water.
As if all that isn’t enough there’s the limiting factors of mindset and confidence. These often require self-awareness and support:
- Fear of failure, rejection, or the unknown leave entrepreneurs swithering about taking crucial risks.
- Lack of confidence, low self-esteem or imposter syndrome lead to hesitation in decision-making or pitching ideas.
- Procrastination and low motivation make it difficult to keep up momentum and focus, and that slows progress and opportunities are missed.
- Many entrepreneurs lack experience and struggle with not knowing what they don’t know, about operations, finance, or legal questions.
- Without a network or mentor entrepreneurs are isolated. Without experienced advisors or peer support, you’re likely to struggle to validate ideas or scale effectively.
In my experience most of those internal barriers show up as lack of confidence. That’s a big barrier to business growth mainly because of the psychological Impact on ability to make decisions.
Entrepreneurs with low confidence and self-esteem are less likely to take the calculated risks which are essential for innovation and growth. Fear of making the wrong choice leads to “analysis paralysis,” delaying decisions like hiring, investing, or launching new products which the business depends on.
Low confidence stops us pitching, networking, or public speaking making it difficult to persuade funders and partners that we’re a good bet. It makes delegation difficult. Entrepreneurs with low self-worth may struggle to trust people or delegate effectively.
Result: burnout and operational bottlenecks and stunted growth in the business. He (or she) who hesitates is lost as the saying goes. If you hesitate to chase those opportunities or scale your operations you will miss opportunities, the competition will get in ahead of you and your business will grow slower if at all.
Confidence is key to getting the investment you need. Investors prefer to back founders who project clarity and conviction. People buy people rather than products. Fear of failure can stop you experimenting and being creative and innovative. Above all you need to be creating and innovating to beat the competition.
Take all the help you can get and don’t be afraid to ask. People are usually flattered and if they say no try someone else:
- Get support from mentors and peers. Regular feedback and encouragement from trusted advisors can build confidence, help with decision-making and build emotional resilience. Get the right support at the right time.
- Psychological support such as coaching or therapy can address deeper barriers to self-esteem and confidence.
- Courses, toolkits, and workshops can build confidence and fill gaps in your knowledge. Structured tools (e.g. SWOT, cost-benefit analysis) help entrepreneurs make clearer, more confident choices.
- Banks aren’t the only places to look for funding. Start lean, apply for grants, or explore crowdfunding and you may be able to bypass traditional finance barriers. Above all make sure you are ready before asking any investor for funding. No one will invest in someone they don’t think is a fair bet, so you need all the answers to all the possible questions.
