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7 Ways to Become a Successful Entrepreneur

7 Ways to Become a Successful Entrepreneur

It’s widely known that a significant number of start-ups fail because of financial problems or poor management decisions. While this may alarm you, you shouldn’t let it discourage you; there are plenty of ways to put the odds in your favor. If you heed the following seven tips, you can dramatically increase your chances of success as an entrepreneur.

Go From Hobbyist to Entrepreneur

Perhaps you can launch your career as an entrepreneur by way of one of your hobbies, especially if there’s a huge demand for it. There is nothing quite like going to work every day and doing something you love. For example, are you a karate expert or comic book collector? Then open a karate school or comic book store. You already have expertise in your field of choice, which is a necessary ingredient for success. You also don’t have to open up a brick and mortar store if you don’t want to. You could always just start your business online and move into a brick and mortar store later as your demands and needs change when your business grows.

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Provide a Needed Service

If you have a hobby that consequently provides people a needed or wanted service, then the real question is, “Why haven’t you turned it into a business?” You already have a customer base if you are doing something that people need or want. For example, people often need others to install blinds, walk their dogs, repair wash machines or move them to new homes. Each of these services –along with many others– can become platforms for launching new businesses. You need only start thinking like a successful entrepreneur

Create a Business Plan

Create a business plan that includes details about your company’s product line, organizational structure, marketing strategies, and sales goals, according to the U.S. Small Business Administrations. This provides an entrepreneur such as yourself with a blueprint for reaching your objectives. A well-developed business plan can also help you get financing if necessary.

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Study Your Competition

Before an entrepreneur opens up his or her doors for business, it is important to learn who the biggest competitors are. Study their strengths and weaknesses versus your own and exploit your advantages. You want to know what they provide and what their customers think of them. This will give you an edge as it will help you understand the services you can provide that they might not be able to. It can also give you an idea of how to price your products or services. Maybe you can offer packages or other deals that will make your pricing more competitive than your competitors’.

Know Your Target Audience

If you aren’t aware of who’d be interested in your product or service, conduct some surveys. That will help you determine which buying groups would most likely purchase your offerings, whether you’re basing your target customers on age, sex, income, or lifestyle. You can also better target promotions to these people if you know who they are.

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Educate Yourself

Many colleges offer bachelor’s and master’s degrees in entrepreneurial studies. Better yet, try enrolling in an online MBA degree program. You can obtain your degree from home while getting practical knowledge of all the key functional areas of a company, including finance and product development. In either case, educating yourself will certainly benefit you as an entrepreneur.

Turn Your Business Into a Franchise

If you have the money, purchase a franchise. The advantage of owning a franchise is the brand recognition. Most franchise companies will also help you get started by sending experts in the field to work with you.

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Any of these strategies can help you launch a successful business. But make sure you enjoy what you’re doing because you’ll likely work a lot of hours in the early days. Such is the life of an entrepreneur.

Featured photo credit: shutterstock.com via shutterstock.com

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Kara Masterson

Freelance Writer

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Published on January 8, 2021

How To Pay Off Credit Card Debt Fast: 7 Powerful Tips

How To Pay Off Credit Card Debt Fast: 7 Powerful Tips

Ever wondered whether your credit card debt is the reason you’re in a bad financial situation? You can’t enjoy any fun activities because a good chunk of your money goes toward debt payment. Heck, you’re even behind on some of your monthly bills.

The effects of clumsy debt management are too many to list here. This guide is going to help you discover how to pay off credit card debt fast and start chasing your financial goals.

Debt problems are the last thing anyone wants to encounter. But things can get out of hand when all the “little debts” you take accumulate in interests.

What if you knew some simple and proven ways to be debt-free quickly? Implementing them would mean better financial health for you. It becomes possible to free up cash for your “wants.” These include taking a trip or buying something you’ve always desired. All that while paying your bills on time!

Let’s not wait any longer. Here are 7 powerful tips for paying off credit card debt fast:

1. Pay More Than the Minimum Credit Card Payments

Many people only pay the monthly minimum on their credit cards. Truly, that’s the right amount for staying on good terms with your credit card company. But you need a different approach if you’re looking to achieve financial independence within a short time.[1]

Most of your payments go toward interest costs when you only pay the minimum amount. A substantial sum of your balance remains standing. As a result, it becomes more expensive to eliminate your debts.

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You don’t want to wait more than 10 years to get rid of debt while it’s possible to do it sooner. All you have to do is double that $100 minimum payment to $200 or go higher.

The good thing is that minimum credit card payments are affordable in most cases. By paying a higher amount, you reduce your interest costs, lessen your borrowing period, and boost your credit score.

2. Start With High-Interest Credit Card Debt

If you have more than one credit card debt, prioritize putting the extra money toward the ones with the highest interests. This debt pay-off strategy, known as the debt avalanche method, is essential for being debt-free quickly.[2]

First, you need to list down all the credit card debts you have in the order of their interest rates. Next, you choose the one with the highest interest and pay a significant amount toward it each month. It can be an amount twice or even thrice larger than the minimum payment.

At the same time, you make monthly minimum payments on the other debts. Their interest charges won’t be as costly as that of the first debt on your list. You only move on to the next high-interest debt after the first one is gone. Remember that your focus is on the interest rates and not the balances.

3. Revisit Your Budget

Budgeting is useful for tracking your financial moves. Once you create a budget, some tweaks along the way can make it work for you better. One situation that requires you to revisit your budget is when you’re struggling with debts. It might hurt a bit to slash some expenses. But you also don’t want to miss out on achieving financial freedom in the long run.

You can reduce some variable expenses to free up more cash for credit card debt payments. They’re the ones that change from time to time. Some examples are groceries, fuel, and clothing.

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Other opportunities for cutting down your spending lie in non-essential expenses. Instead of dining out all the time, you can cook at home more to save money. You can also share some subscriptions with friends and pay a fraction of the cost.

If you’re determined enough, you can eliminate all your unnecessary expenses and focus on paying off your credit card debt first.

4. Avoid Using Your Credit Cards

Do you want to know how to pay off credit card debt with a low income? One simple way is to stop using them. Having your credit cards everywhere you go means that you’ll be more tempted to buy unnecessary stuff. In this case, you spend money that you don’t really own and get deeper into debt.

The quickest fix to stop the debt build-up is spending with cash. You’ll be more aware of everything you can afford at any particular time. If you decide to keep one or two cards to ease the transition, always make wise choices. For instance, only use them when experiencing financial difficulties.

It’s best to categorize your fun activities under “discretionary spending” in your budget. This way, you won’t need more debt to kill your boredom. By halting your credit debt from accumulating, it’s easy to pay down what you already owe and be happy with the progress.

5. Start a Side Hustle to Boost Your Income

You’re probably turning away a lot of money by not monetizing your skills. Everyone has something that they’re good at doing. And you can use that to generate extra income for attacking your credit card debt.

If you look around your neighborhood, you can find several side hustle opportunities. It can be pet sitting, tutoring, or lawn mowing. You can start an online business by offering services such as digital marketing, content creation, and web development. Such skills go in high demand on freelance sites and job boards.

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Finding clients on social media is also a good strategy to utilize your skills and make more money. Facebook groups, Quora Spaces, and subreddits are some places to look for side jobs. You only have to join a niche-specific platform, share your services, and respond to any opportunities.

It’s possible to learn a skill, practice it, and earn from it. Use the free resources online or purchase some e-courses to get started.

6. Sell Your Used Items for Extra Cash

Starting a side hustle isn’t the only way to generate extra money. You can turn unwanted items into cash for paying off credit card debt. Whether it’s an old TV, book, or furniture, there is always someone itching to buy your used stuff.

A garage sale, as much as it’s old-fashioned, is perfect for getting your neighbors and passers-by to buy from you. You keep all the money because there are no business permits or taxes involved. While you may not make much cash, it’s better than leaving your stuff to go defunct in your storage.

Other than that, you can sell your used stuff on online marketplaces. Facebook groups are great places to start if you want quick approvals and hence sales. You only have to ensure that your listing follows Facebook’s commerce policies.

When selling any pre-owned items online, ensure they’re in good shape to avoid problems with your buyers.

7. Know When to Seek Help With Your Debt

Asking for help with your credit card debt can be challenging to do. But letting it drown you is a road you don’t want to take. While you may feel embarrassed at first, it’s the best way to get back on track when you run out of options.

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There are tons of non-profit credit counseling organizations that can offer you free guidance on how to escape the debt trap. An example is The National Foundation for Credit Counseling. They simply review your finances and help you determine the source of your financial problems. After that, they match you with an actionable debt management solution.[3]

In extreme cases, the debt solution can be:

  • Debt relief – where your debt is partially or wholly forgiven
  • Debt consolidation – taking out one loan to repay others
  • Debt settlement – the creditor forgives a significant portion of your debt
  • Bankruptcy – legal process for seeking relief from some or all your debts

It’s necessary to carefully weigh your options before deciding on the way to go. Find out how it might affect your credit score and any other risks.

Wrapping It Up

Debt is a major setback when you’re trying to prosper in life. Paying off credit card debt is essential if you want to reach your financial goals. That means having more free income, a good credit card score, and even a chance to retire early. You become more productive each day because of the peace in your mind.

So, you now have some tips on how to pay off credit fast. Go ahead and get rid of that good life progress killer!

More Tips on How to Pay Off Debt

Featured photo credit: rupixen.com via unsplash.com

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