Georgia Career Information Center Risk Taking Owning a business involves some risks. In fact, there is some risk in almost any undertaking. If a person evaluating a business venture can figure out a way to handle worst case scenarios, then planning for more likely risks and benefits becomes practical.
Business owners take chances with their own savings, plus money borrowed from others.
Loans usually have to be repaid even when the business fails. Money is not the only risk. Business owners also risk time, energy, relationships, and self-esteem. When someone decides a business venture is worth the risk, one of the next steps may be borrowing money from friends, relatives, or banks, or trying to find people willing to invest in the business. It is useful to outline all the risks and benefits to potential lenders and investors to help them evaluate the venture.