The challenges of being an entrepreneur in Brazil

challenges of being an entrepreneur in Brazil

What are the challenges of being an entrepreneur in Brazil? We know that capital and ideas investors in the country face major challenges and learning processes that can be positive or negative depending on their focus and market objective.

Whether it's a small, medium or large market, entrepreneurs can face endless obstacles in their business on a daily basis. And not all entrepreneurs, because they own the idea or the company, can stop to enjoy free time.

Generally, the entrepreneur, who is mostly the owner or partner of the business, is the individual who works the hardest and constantly thinks about the market the most.

In this article, we will talk more about the main obstacles that entrepreneurs usually face in their daily lives.

Challenges of being an entrepreneur in Brazil

People who decide to become entrepreneurs need to be aware that they will not have a boss or that they will be held more accountable in the case of intrapreneurship (working within a company as an employee). Below we present the main challenges.

1 – People management

When entrepreneurs decide to open their own business, they will certainly need to rely on partners, collaborators and employees.

In this case, on a day-to-day basis, you will have to manage people who will work in different sectors of the business, from production to customer service.

And managing people includes guiding, training, qualifying, monitoring each person's functions and aiming to create a pleasant working environment for everyone.

​2 – Financial management

When injecting equity or third-party capital into the company, the entrepreneur will need to be more careful with the company's finances. The entrepreneurial project requires efficient and well-directed financial management.

This area becomes more challenging, especially when the company's operating costs increase due to factors such as inflation and market downturn.

3 – Bureaucracy

Bureaucracy arises due to legal and tax responsibilities and duties associated with regulating the operation of the business. And bureaucracy can vary depending on the market segment.

In Brazil, over the last fifteen years, the bureaucracy involved in opening and closing companies has been significantly reduced, but our country is still among the most bureaucratic nations for opening, maintaining and closing a business.

4 – Innovation

The word innovation is in fashion, and in addition to being linked to the technological field and equipment applicable to production, it is also present in the renewal of methods and developments of production processes.

Innovation depends on the observation of the entrepreneur and everyone on his team, as well as the acquisition of new knowledge and the generation of ideas.

Conclusion

Therefore, entrepreneurship is a dream for many people, whether it is to open their own business or to apply new ideas within an existing company where they already work.

Regardless of whether you undertake a project out of opportunity or necessity, it is important to always be informed, understand the basics of the legislation, and seek guidance, consultancy and partners that can truly offer a positive contribution to the project's activities.

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