Five things everyone gets wrong about startups

In March 2017, Amazon acquired Souq.com for an estimated $580 million, thrusting the MENA entrepreneurship ecosystem into the spotlight once again. Startup founders and entrepreneurs have always been hoped for sensational moments like this one, but the life of an entrepreneur is not always that smooth. In fact, it rarely is.

Misconceptions and mistaken assumptions are not just limited to the lavish lifestyle that entrepreneurs are believed to enjoy. There are countless other clichés about the personalities of the entrepreneurs themselves as well as their daily routine.

We break down five of the most common stereotypes that startup founders hate:

1.) ENTREPRENEURS ARE TYPICALLY YOUNG PEOPLE IN THEIR EARLY TWENTIES

While startup founders certainly need to be energetic to be able to pursue their dreams and help manage every little aspect of their newly founded businesses, they do not really need to be early-20s young to do so. In fact, the mean age of entrepreneurs, according to a study published by MIT, is 39.5 years. More importantly, the average age of entrepreneurs who successfully launched high-growth companies was found to be 45 years.

Encouraged by the many hugely successful startups, more and more young fresh graduates are now delving into entrepreneurship hoping they can found their own unicorns, but there is no age limit to being a startup founder, and there never will.

2.) STARTUP FOUNDERS ARE TYPICALLY COLLEGE DROPOUTS

We have all heard the inspiring stories of Bill Gates, Steve Jobs and Mark Zuckerberg and admired their persistence in launching their own companies after dropping out of collegem, becoming multi-billionaires as they did. The never-told side of the story, however, is the thousands of other college dropouts who never realised anything meaningful. Those brilliant business minds are the exception.

There is no single recipe for being a successful entrepreneur. You do not have to be a college graduate to launch a startup, but having good education will likely increase your chances.

3.) YOU NEED TO BE WEALTHY OR HAVE A WEALTHY PARTNER TO START YOUR OWN BUSINESS

One of the critical aspects of launching a startup that founders need to worry about is funding. In recent years, as the startup ecosystem all over the world has kept developing, more and more options have become available to founders to finance their new businesses. Although entrepreneurs still need money-managing skills to be successful founders, being wealthy is not an essential part of the job.

4.) ENTREPRENEURS CAN MAKE MONEY WHILE THEY UNWIND AND RELAX ON A BEACH

This is another common one: Many think that founders choose to launch their own startups because they cannot stand the daily work life. Oh, if only! Commitment is a fundamental part of being a successful startup founder. As an entrepreneur, you cannot sit back and relax as you watch your business grow. Newly founded companies require a great deal of commitment, dedication, and hard work to thrive.

Contrary to common belief, startup founders are not in complete control of their working hours. They do not have a daily schedule, but that is not necessarily a good thing as, early on, they do not get to enjoy the privilege of enjoying weekends or days off work. And their salary, if there is any, takes a major hit too.

5.) ENTREPRENEURS NEVER FAIL. STARTUPS ARE ALWAYS SUCCESSFUL

Startup founders would really love it if that was true. The reality, however, is that startups often fail, at least until they succeed. Even mega millionaires like Elon Musk have failed.

The entrepreneurial spirit is all about establishing a culture of appreciating failure, and subsequently intervening and making necessary adjustments to turn this around into success.

Do you have your own startup stereotype? Share it with us below!

(Writing by Ahmed Gabr; Editing by Seban Scaria seban.scaria@refinitiv.com)

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