Why Entrepreneurship is often Likened to Gambling

Entrepreneurs, start-ups, moguls, go-getters and gamblers – they all have something in common – they’re risk takers. When building a new business, taking a gamble is all par for the course. Whether you’re attempting to turn a concept into a reality or a pop-up shop into a permanent fixture, new ventures don’t come with a guarantee. For some, this is part of the process, for others it’s likened to waiting in anticipation to see if a wager pays off. We’ve listed a handful of gambling risks every entrepreneur must be prepared to take when starting a new enterprise…

The similarities between entrepreneurs and gamblers

Before delving into the many gambling risks on the cards, let us first compare the similarities between entrepreneurs and gamblers. Both have various traits in common, including each party having to rely on statistics and data to form decisions. This is regardless of what they are betting on, be it sports, horses, casinos, business strategies or something entirely different. Facts and figures are a crucial part of the decision making process and assessing the performance of a business requires a range of financial and market information. Being able to interpret and use this information is key to making expert choices. Both entrepreneurs and gamblers must learn the odds associated with the bet they are placing before following through. In the same way casino players study the games they wish to play, entrepreneurs must master the ins and outs of the businesses they intend to invest in. Learning as much as possible will help both parties to make wise, informed decisions based on probability instead of luck – even though there is always an element of chance involved.

Managing money

Successful entrepreneurs and gamblers are good with money. They know how much to bet and when to stop. The ultimate aim of pro gamblers and business owners is to make a profit. To do this, being a successful money manager is key. Of course it’s not solely about the money, it’s about the thrill! Gamblers and entrepreneurs enjoy the suspense of signing a deal or winning a bet in equal measure. 

Gambling risks for every entrepreneur

It’s little wonder entrepreneurs are referred to as gamblers in disguise, especially when starting out. There are many risks entrepreneurs must take, one is swapping a steady pay check for the unknown. There’s always a chance that giving up personal funds and betting them on a business concept won’t pay off. On top of this risk, entrepreneurs are required to wager their time and health. When kicking starting a new venture, there is no overtime to fall back on, no matter what hours you work. There is also the risk of rivalry. Even if you’re the first one to come up with an idea, you may not have the man power and funds to get it off the ground as quickly as you’d like, which runs the risk of a bigger company swooping in and stealing your glory. Alternatively, you could be quick on the mark but slow to market. It’s impossible to know whether your product or service will be accepted, in the same way it’s impossible to predict the roll of a dice. Just as seasoned gamblers use tools to research establishments offering the best bonuses, including casino sites not on gamstop, it’s important for entrepreneurs to assess the current market, their target audience and competition.  

Conclusion 

Entrepreneurs with an understanding of the gamble they are about to take before diving head first into a new business are more likely to succeed over those who take a chance. Wise decisions, hard work and practice certainly pays off in this case and those who play their cards right are the ones who will come up trumps.