How to start a new buisness
American private enterprise allows individuals to take the risk of starting a new business. The opportunity begins with either innovation or improvement. The inventor of the product can then sell it to other businesses or to the consumer directly.
There are some risks when starting a new business
- lack of capital
- low sales
- higher than expected costs
- competitive pressure
- an owner unprepared to manage a growing business
- operations require more time than the owner is willing to commit
Entrepreneurs need to be aware of these risks before creating a new business to prevent failure.