There are plenty of great reasons to start a business, from becoming your own boss and earning more money to enjoying a more flexible schedule and building new skills. But like any worthwhile endeavor, launching and growing a business comes with its share of challenges.
If you’re passionate about your business idea, don’t let the inevitable entrepreneurial pain points keep you from moving forward. As most small business owners will tell you, the risks and challenges are usually worth the rewards. We’ll highlight seven of the biggest challenges new entrepreneurs face and share tips and resources to help you overcome them and set your business up for success.
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According to the
U.S. Census Bureau, nearly 30 million U.S. businesses operate without employees, proving you don't need office space, a storefront or a large team to get started. Many entrepreneurs begin by
starting a business from home and scale as demand grows.
The biggest challenges of starting a business
Consider the following challenges most entrepreneurs face when starting a business and take steps to overcome them.
1. Running the show alone
New business owners wear many hats as they get their businesses off the ground, often handling sales, marketing, accounting, information technology (IT) and more. But few entrepreneurs excel in every area, and trying to do it all can quickly become overwhelming.
Chris Rivera, founder of The Ecommerce Accountants, initially thought being a good accountant was all that was necessary to become a successful accounting firm owner. “I quickly realized that technical expertise alone wasn’t enough; I needed to master skills outside of accounting, particularly sales and marketing,” Rivera shared.
Rivera needed to learn how to market the business, attract clients and communicate the company’s value. “I had to step out of my comfort zone and invest a lot of time into learning how to sell — something I hadn’t anticipated as an accountant,” Rivera explained.
However, even if you expand your skill set, it’s impossible to handle everything on your own. If you try, you risk your health, your energy and your productivity. Workplace burnout is a very real risk for solopreneurs who refuse to delegate — and it can catch up with you faster than you think.
How to overcome the challenges of running the show alone
When you’re running a business, be honest about your strengths, your blind spots and how much your time is really worth. Professional growth matters, and you should keep learning, as Rivera did. But at some point, sharing the load becomes essential.
Here are some ways to handle the many responsibilities that come with running a business:
- Look for outside help: Rivera says building a strong team is essential for entrepreneurial success, even if giving up some control doesn’t come naturally. “Transitioning from being an individual contributor to managing and scaling a team was a learning curve,” Rivera shared. Still, your business’s growth is worth ceding some control. For example, you might hire a virtual assistant, partner with a digital marketing agency or bring in an IT partner to lighten the load.
- Utilize Small Business Administration resources: Explore the U.S. Small Business Administration’s Small Business Development Centers (SBDCs). This nationwide program connects current and aspiring entrepreneurs with local experts who can help with business planning, financing, marketing and many other aspects of running a business.
- Get organized: If you’re feeling pulled in too many directions, start by mapping out your day. Write down your daily tasks and goals, then rank what needs your attention first and group similar work together. Knocking out related tasks in focused time blocks — instead of jumping from emails to meetings to admin work — can help you stay focused and get more done.
2. Finding funding
Finding investors, lenders and other financing sources is one of the biggest hurdles new business owners face. Not every business needs a major cash infusion right away, but you do need a realistic plan for keeping the business running and growing over the long term.
How to overcome funding challenges
When starting a business, you may apply for business loans, open a line of credit, self-fund your venture or raise capital from outside investors.
Here are some options and advice to consider as you navigate the challenges of securing funding:
- Utilize SCORE resources: SCORE, an SBA resource partner, offers mentors, educational resources and business advisors to help entrepreneurs succeed. Visit the SCORE website for expert guidance on the best funding path for your business.
- Consider a microloan: Microloans — typically for less than $50,000 — are another option for new business owners. Because the loan amounts are smaller, they may be easier to qualify for than traditional financing. Microloans can help fund a startup project, provide working capital or cover expenses like equipment, office space or new hires. Different microlenders have their own rules for how funds can be used and what qualifications applicants must meet.
- Consider an SBA loan: SBA small business loan programs are designed to help entrepreneurs start or expand a business. The SBA offers several financing options, including the popular 7(a) loan program, which provides up to $5 million for working capital, equipment and other business needs. (The SBA also offers a microloan program.)
- Create an investor pitch: Before presenting your business idea to investors, refine your pitch. Banks, investors and other lenders want to understand your vision, your business model and your path to growth. The more clearly you communicate that vision, the better your chances of securing funding.
- Explore alternative funding sources: Crowdfunding platforms, angel investor networks and venture capital firms may also be worth exploring, depending on your business model and growth stage. According to the Federal Reserve’s 2026 Report on Employer Firms, businesses that applied for loans, lines of credit or merchant cash advances in 2025 most often turned to large banks (41 percent), followed by online lenders (29 percent) and small banks (28 percent) — underscoring the value of casting a wide net when pursuing capital.
Many cities, counties and regional economic development groups offer grants, mentorship and startup programs that help
small businesses empower their communities, whether that means creating jobs, filling empty storefronts or bringing needed services to the area.
3. Finding and attracting customers
Attracting customers is where many new businesses stumble. After all, if no one buys what you’re selling, you can’t succeed. Before you launch, make sure you’ve done the market research to confirm there’s demand for your product or service. From there, you’ll need to identify your target audience, understand their needs and determine what they’re willing to pay.
How to overcome the challenge of attracting customers
To find and attract customers, start with a marketing plan that clearly defines the following:
- Your target market.
- Your product’s strengths and weaknesses compared to the competition.
- Your marketing position and message.
- Where you plan to market your product.
- Your marketing budget.
Most startups don’t have massive marketing budgets, so finding low-cost ways to make a big impact matters. The good news is that digital marketing tools and social platforms have made it easier than ever for startups to reach highly targeted audiences without spending a fortune.
Here are some marketing strategies to consider as you work to attract new customers:
4. Maintaining a positive work-life balance
Ask almost any entrepreneur, and they’ll tell you that maintaining a healthy work-life balance isn’t easy. It’s all too common to start answering emails early in the morning, spend the day bouncing between meetings and tasks, then find yourself back at your computer after dinner trying to squeeze in just a little more work.
Before long, exercise, sleep and quality time with friends and family can start slipping down the priority list.
How to overcome work-life balance challenges
As difficult as it may be, setting clear boundaries between work time and personal time is essential, as the stakes are real. Chronic overwork is linked to burnout, poorer decision-making and higher rates of anxiety and depression. A 2025 study published in Preventive Medicine found that U.S. workers who regularly logged 55 or more hours per week faced a significantly higher risk of cardiovascular-related death, reinforcing years of research linking long hours to serious health problems.
Building intentional downtime into your schedule isn’t a luxury — it’s a business strategy.
If you finish your to-do list by 8 p.m., resist the urge to dive into tomorrow’s tasks. Spend that extra time with your family, go for a walk or head to bed early. Your body and mind will thank you.
One simple way to stay focused is to prioritize tasks using the ABCD method. "A" tasks are mission-critical, "B" tasks should be completed that day, "C" tasks are helpful but less urgent, and "D" activities — like mindless web browsing — should be minimized.
5. Not having a safety net
A traditional full-time job comes with its own headaches, but it also offers a level of financial security many entrepreneurs don’t think much about until they’re on their own. That regular paycheck, employer-sponsored health insurance and retirement benefits like a 401(k) plan can feel pretty reassuring when bills are due and life gets busy.
When you strike out on your own, those built-in safety nets disappear. Your income isn’t guaranteed until your business starts generating consistent revenue. And if you decide to pay yourself a salary, you’ll also need to account for payroll taxes. If you want health insurance, retirement benefits or other perks, your business will likely be footing the bill.
How to overcome the lack of a safety net
Not having a financial safety net can feel intimidating at first. The good news is you have options, including the following:
- Work while you build your business: Consider launching your new venture as a side hustle while keeping the stability of your full-time job. It may mean longer days and a busier schedule, but the steady income and benefits can provide valuable breathing room while your business gains traction.
- Fund your business: Another option is securing funding through an angel investor, business loan or business grant. With enough capital in place, you may be able to pay yourself a modest salary while you build and grow your company.
- Minimize your startup costs: Depending on your business model and industry, keeping startup costs low can make the transition much less stressful. Cloud-based software, remote work arrangements and freelance talent can all help reduce overhead costs while you support yourself through personal savings or other financial resources.
6. Accountability
Every job comes with deadlines, projects and performance expectations. But when you’re running your own business, there’s no manager checking in, no coworker picking up the slack and no one else stepping in if something falls through the cracks. Staying focused, meeting deadlines and following through all come down to you.
How to overcome the accountability challenge
Most entrepreneurs embrace the idea that the buck stops with them. Still, staying on track takes more than good intentions. Strong prioritization, time management and a little structure can make all the difference.
Here are some ways to stay organized and accountable:
- Choose a digital calendar, project management app or other platform with built-in reminders.
- Create a to-do list and rank your most important tasks first.
- Assign a deadline to each task, and estimate how long it should realistically take to complete.
- Review your priorities regularly to make sure you’re staying on schedule.
Time management and task prioritization are skills that can be learned and strengthened over time. Here are a few additional strategies to consider:
- Take a class on time management or improving productivity.
- Experiment with a method like time blocking, where you dedicate specific windows to similar tasks. For example, you might answer emails from 8:30 a.m. to 9 a.m. and return customer calls from 9 a.m. to 10 a.m.
- Tackle your most important work during your peak productivity hours.
- Limit time-wasting habits, like mindlessly scrolling through social media.
- Consider hiring a freelancer or using AI-powered tools to handle repetitive or time-intensive tasks.
7. Hiring (and firing)
As your business grows, you’ll eventually need the right people around you to help carry the load. Startup employees often wear multiple hats, so entrepreneurs typically look for flexible, multi-talented professionals who can contribute to both day-to-day operations and long-term growth.
Of course, finding the right people is easier said than done. “I think the hardest thing in any business is hiring the right people,” said Thayer Sylvester, co-founder and chief executive officer of Carve Designs. Too often, someone who looks great on paper turns out not to be the right fit, and business owners must decide whether it’s worth investing more time, energy and money.
How to overcome hiring and firing challenges
Hiring is never an exact science. The good news is that startups can take steps to improve their odds of finding people who align with the company’s mission, values and culture.
Here are some hiring strategies to consider:
- In your job description, go beyond listing responsibilities and be specific about the type of person you’re looking for.
- During interviews, explain your company culture and why hiring for a cultural fit matters.
- Discuss both the hard and soft skills the role requires.
- If you’re hiring in a competitive market and don’t have the budget for a generous employee compensation package, consider alternatives like stock options or profit-sharing opportunities.
Still, even the most thoughtful hiring process won’t get it right every time. Sylvester advised cutting your losses as soon as it becomes clear an employee isn’t the right fit.
“From time to time, we don’t hire the right person,” Sylvester noted. “Learning to recognize that quickly and having open dialogue around why a certain person is not the right fit is critical to the organization’s success, and then moving on and hiring the right person.”
Letting someone go is rarely easy, and it can be emotional and uncomfortable for everyone involved. When the time comes, stay professional, acknowledge the employee’s contributions and clearly communicate the reasons behind your decision.
If an employee has valuable skills but isn't the right fit for your organization, consider offering professional support, whether that's constructive feedback, networking help or, when appropriate, serving as a
job reference during their job search.
Resources for starting a business
In addition to the SBA and SCORE, plenty of other resources can help entrepreneurs launch, grow and manage a new business. Here are a few resources worth exploring.
1. Turn to your local chamber of commerce.
Your local chamber of commerce likely offers educational materials, workshops and videos for new business owners. But one of the biggest benefits is connecting with and learning from established business owners in your area. They can help you navigate local regulations, recommend trusted vendors and share industry-specific advice based on real experience.
Your chamber may also offer valuable networking and marketing opportunities, including business directories, trade shows, job fairs, leadership events and lunch-and-learn sessions. These resources can be especially valuable for B2B businesses.
2. Create a LinkedIn profile.
Consider creating a LinkedIn business profile. Beyond peer-to-peer networking, LinkedIn gives business owners opportunities to market their companies, join industry- or topic-specific groups, participate in free webinars and connect with potential customers, partners and hires.
LinkedIn Learning also offers a library of expert-led courses covering everything from leadership and sales to software skills and professional development.
3. Find a mentor.
Do you know someone with experience in the type of business you’re starting? Ask them to become your mentor.
A mentorship is often an informal relationship where a more experienced professional shares advice, offers perspective and helps you work through business questions and challenges.
Mentors can provide valuable guidance, raise questions you may not have considered and help keep you focused and balanced as your business grows. They may also introduce you to potential customers, strategic partners or even funding opportunities.
4. Check out HR.com.
Even if you’re starting with no employees, hiring is likely in your future as your business grows. HR.com is a valuable resource for staying on top of workplace regulations, payroll taxes, benefits and other people-management issues.
The platform offers free HR compliance posters you can download and print, industry research reports, trend data and thousands of live and on-demand educational webcasts.
As your team grows and you bring on dedicated HR support, HR.com also offers certification prep courses and eligible programs that can help HR professionals earn recertification credits.
5. Access Google’s business resources.
As soon as your business is up and running, create a Google Business Profile. This free tool lets you control your business information across Google Search and Maps, improve local search visibility, build credibility with potential customers and collect valuable reviews.
Google also offers a wide range of business tools through Google Workspace, with plans starting at $7 per user per month with an annual commitment for the Business Starter plan. Workspace includes Gmail, Drive, Meet, Calendar, Chat, Docs, Sheets and Slides, making communication and collaboration much easier for growing teams.
And don’t overlook Google Analytics. This free tool shows how many people visit your website, how long they stay, where they came from and which pages keep them engaged.
Source interviews were conducted for a previous version of this article.
