Micro entrepreneurs are the owners of small businesses that have fewer than five employees and have startup costs of less than $35,000 and annual revenue of less than $100,000. There are nearly 21.5 million micro entrepreneurs in the U.S. Examples of micro entrepreneurs are owners of bakeries, beauty parlors, child care facilities, repair shops, arts and crafts shops, painting businesses, contracting businesses, family-owned shops, auto body shops, small-scale restaurants, and small-inventory trading businesses.
Micro entrepreneurs face many hurdles in getting startup financing, and they sometimes lack the skills necessary to manage the financial aspect of their business. As a result, many micro entrepreneurs cannot grow and develop their business beyond a micro enterprise. Various micro enterprise development programs have helped micro entrepreneurs achieve great success and growth. These micro enterprise development programs have immensely helped micro entrepreneurs who lack collateral needed to secure a loan or those who have low or no credit by providing them with training, support, help in developing a solid business plan, and assistance in building their businesses. Successful micro entrepreneurs have contributed much to society by creating wealth, economic assets, and jobs.
How To Become A Micro Entrepreneur
It is essential to study the market thoroughly and understand that market’s customers before deciding on the type and kind of product or service to be offered.
Here are some suggestions:
Work out a sound business plan by doing extensive research and seeking help from the various micro enterprise development programs.
Make arrangements for the startup capital by using savings, opting for a micro loan program, or applying for a grant.
Do extensive market research, get the necessary training and skills required, and learn how to use technology to help run your business easily.
Study the competition and analyze how you can better them.
Get a good retail space to run your business as well as decide on the price, making sure it is right and has a profit margin; decide how to utilize the profit, whether you want to save it or reinvest and expand your micro business.
Make sure that the quality of the product is never compromised and that your customers are happy, ensuring customer retention.
Assistance for Micro Entrepreneurs
Micro entrepreneurs in the U.S. are in need of training and skill development workshops as well as help in utilizing technology to help run their business. Some micro entrepreneurs need access to easily available funds for startup and growth. In order to encourage more people to become micro entrepreneurs, state, federal, and private sectors should make available ample funding for such enterprises.
With a little effort, you can find firms that sell their services as well as products to help run successful businesses. You can even seek professional help to arrange business credit for micro enterprises.