Entrepreneurial Risk Management:

Venture Management

Managing Risk in a Business Startup

Managing Growth-related Risks and Turn Them Into Opportunities

Getting Prepared

In business, you can never allow yourself to get comfortable with the status quo, because it is always changing. Surprises may be fatal to your business.

Risk is inevitable, avoiding risk impossible. Risk management is the key, always tilting the venture in favor of reward and away from risk.

Identifying and Managing Risks

While all opportunities are associated with risk, the biggest risk is to miss them. Risk results usually not from unpredictability but from ignorance. The more you know about what you are doing, the less risk you run. If you can define risks, you can limit them. Look back on any opportunities you missed and use your past mistakes to learn how to recognize opportunities.

At any its development stage, the company faces the five major risks that change in nature as company evolves:

1. growth risk;

2. technology risk;

3. marketing risk;

4. financial risk; and

5. team and management risk.

You cannot avoid these risks, but you can manage them.

From original technological idea generation, the company evolves in several stages:

• gestation;

• start-up;

• pilot stage;

• roll out;

• growth;

• expansion; and

• maturity.

Ten³ Problem-Solution-Action (PAS) Business Development e-Coach will lead you through your company's growth stages and will help you to manage the risks you face and turn them into opportunities.