The hard truths about running a small business

Why is starting a business so hard?

The start of any business is a test of endurance. The work begins when you decide to go out on your own. You won't have the structure or security of a regular job, and you'll quickly find that running a small business involves much more than just doing what you love. I've spoken to many business owners, and nearly all of them agree—that starting a business is hard because you have to wear many hats. You're not just the creator or the service provider. You're also the marketer, the accountant (more on that later), the salesperson, and often the cleaner.

The complexity comes from the need to juggle so many tasks without the resources larger businesses take for granted. Things like accounting and bookkeeping can be complicated for small business owners, especially when tax time rolls around. If you’re not careful, these tasks can swallow up your time and energy, leaving you with little room to grow your business. Automated accounting solutions like Thriday can help reduce this burden, but even with tools, you will face long hours and steep learning curves in the early stages.

What does a typical day look like for a business owner?

A typical day for a business owner can be incredibly varied, and that's part of what makes it so challenging. You might start your morning handling emails and customer queries, then move on to stock management, only to troubleshoot a website issue or deal with a client's late payment. It's rarely a simple 9-to-5 routine.

Every day is unpredictable, especially in the early stages. You might plan to work on a marketing campaign but then spend hours trying to fix a banking issue or figure out your bookkeeping for the week. Tasks that seem small or insignificant can suddenly demand hours of your time, and that constant state of unpredictability can be exhausting.

That's one of the hardest truths about running a business—there's no such thing as a "typical day." Your business demands are constantly shifting, and as the owner, you're expected to adapt quickly to whatever comes your way. Some people thrive in this environment; others don't.

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Is it really worth it to start a business?

Many would-be entrepreneurs ask themselves this question, and the answer isn't straightforward. Yes, running a small business can be rewarding in ways that a regular job can't match. There's immense satisfaction in building something from the ground up, making your own decisions, and seeing the direct impact of your efforts. Financial independence is also a big draw, but it's important to understand that success takes time.

I won't sugar-coat it—starting a business is tough, and the downside can be harsh. Long hours, stress, and financial insecurity are common challenges. However, if you're passionate about your idea, willing to put in the hard work, and understand that success takes time, then it can absolutely be worth it. For me, the sense of ownership and the ability to work on something I believe in have made all the challenges worthwhile.

What is the downside of running a business?

The downside of running a small business often boils down to the amount of responsibility you carry. Unlike working for someone else, where you can clock out at the end of the day, running a business means you're always on. There's no safety net; if things go wrong, it's on your shoulders to fix them.

Financial instability is another significant downside. In the early stages, cash flow can be tight, and you may have to invest much of your money to keep things running. This can be incredibly stressful if you're not making a profit immediately. Things like bookkeeping and tax obligations can be a source of anxiety, as mistakes in these areas can have serious consequences. Using services like Thriday, which automates these tasks, can alleviate some of that pressure, but there's no escaping the fact that you're ultimately responsible for everything.

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What is the hardest thing about running a business?

In my experience, the hardest part of running a business is balancing everything. Time management becomes a critical skill, as does the ability to prioritise tasks effectively. You may have a dozen urgent tasks at any given moment but only enough time to handle a few. Deciding what needs immediate attention can feel like a constant juggling act, and it's easy to feel like you're always behind.

Another challenge is dealing with failure. No matter how well you plan, things will go wrong. Customers might leave negative feedback, products might fail, or a marketing campaign might fail to deliver the results you expected. These setbacks can be challenging to deal with emotionally, but they're an unavoidable part of the process. Bouncing back from failure is one of the hardest—but most important—skills for a business owner to develop.

What are the biggest benefits of running a business?

Despite the challenges, running a business has some significant benefits. First and foremost is the freedom it provides. You have control over your destiny and can make decisions that align with your vision and values. For me, the freedom to set my schedule and work on projects I'm passionate about has been incredibly fulfilling.

There's also the financial potential. While the early days can be financially tough, if your business succeeds, the financial rewards can be much greater than those of a traditional job. You're building something that can grow and scale and potentially provide you with long-term security.

Lastly, there's the personal growth. Running a business forces you to develop new skills, from marketing and sales to bookkeeping and tax management. It's a steep learning curve, but you become more capable and resilient with each new challenge.

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Where do you get help from when running a business?

No one can run a business entirely on their own. One of the best things you can do as a business owner is to seek support from various sources. This might include hiring professionals to handle tasks like accounting or legal advice, joining a small business support network, or using automated tools like Thriday to streamline day-to-day operations.

Mentorship is another valuable resource. I've found that talking to experienced business owners who have faced similar challenges can provide invaluable guidance. They can help you avoid common pitfalls and offer practical advice based on their experiences.

What do most people not talk about when running a business?

One of the least discussed aspects of running a business is the emotional toll it can take. People often talk about the financial risks and the hard work, but they don't always mention the isolation and stress that come with it. Being a business owner can be lonely. You're responsible for everything, and that level of responsibility can weigh heavily on your mental and emotional well-being.

Another thing that people need to talk about more is the constant fear of failure. Even when things are going well, there's always the nagging worry that something could go wrong. Whether it's a sudden drop in sales, an unexpected tax bill, or a major client leaving, the uncertainty can be stressful. Managing this anxiety is a critical but often overlooked aspect of running a business.

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Why do people stop running a business?

There are many reasons why people stop running their businesses. Financial struggles are one of the most common causes. If a company isn't generating enough revenue, it can become unsustainable. Burnout is another major reason. The constant demands, long hours, and emotional strain can lead to exhaustion, causing some business owners to walk away.

Others stop because their priorities change. Life events, such as starting a family, can shift a person's focus away from their business. Sometimes, people realise that running a business isn’t what they thought it would be. The stress and responsibility might outweigh the benefits, leading them to pursue other career paths.

How can I make my business idea a success?

Making your business idea successful requires hard work, persistence, and strategic planning. First, ensure your idea solves a real problem or meets a demand. Market research is essential to ensure a viable audience for your product or service.

Next, focus on managing your finances effectively. Monitor cash flow closely, and don't underestimate the importance of good accounting and bookkeeping practices. Automated tools like Thriday can help you stay on top of your finances and reduce the stress that comes with tax time.

Lastly, don't be afraid to seek help. Whether through mentorship, professional services, or technology, getting the right support can make all the difference.

How does Thriday make running a business easier?

Thriday was designed to make some of the hardest parts of running a business easier. From automated accounting and bookkeeping to simplifying tax reporting, it's a tool that can save you time and reduce stress. One of the biggest advantages of using Thriday is how much it streamlines financial management. Instead of spending hours manually tracking expenses or worrying about missed tax deadlines, Thriday automates these tasks, giving you more time to focus on growing your business.

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Final thoughts

In a world where the hardest truths about running a small business can feel overwhelming, having a tool like Thriday can be a game-changer. It allows you to manage the essential aspects of your business without the constant headaches that come with manual accounting and tax reporting.

Running a small business is a journey filled with challenges, but with the right mindset, tools, and support, it can also be one of the most rewarding experiences. Understanding the hard truths is just the first step toward success. If you need any help, feel free to contact our team at Thriday, who will be happy to have a free consultation on how to start your business. Just email us at wecare@thriday.com.au.