Some of the world’s most successful entrepreneurs are known for being school dropouts. Richard Branson, Bill Gates, Steve Jobs, and Michael Dell, to name a few. These are all real-life examples of why you don’t need a degree to build a thriving business.
While education is important, entrepreneurial success often depends on life experience, soft skills, character, and mindset. These core elements help build the resilience and emotional intelligence every business owner needs. The UK’s leading company registration service, Rapid Formations, explains why.
The business degree myth
Let’s start by debunking a common belief – that a business degree is essential for starting a business. Numerous examples prove this is not the case. Many of the most influential entrepreneurs struggled academically and didn’t finish formal education. Richard Branson, for example, didn’t complete high school, let alone university.
However, for an aspiring entrepreneur, it can be difficult to compare yourself to a multi-billionaire like Richard Branson. So, let’s take a look at some more relatable data.
Recent GoDaddy research show that 19% of micro business owners without a degree have an annual turnover of over £100,000 – matching the 19% who do.
By gender, 34% of female and 47% of male entrepreneurs earn over this amount. What’s more, over 75% of respondents said they’re glad they didn’t attend university, leaving them free of crippling student debt.
Pursuing a degree is becoming increasingly less common while entrepreneurship is rising. If you’re an aspiring business owner without higher education, you shouldn’t let that stop you from taking the next step.
Entrepreneurial skills that matter more than a degree
So, what do you need if you don’t need a business degree? Let’s explore some valuable skills and traits that make a successful entrepreneur.
- Problem-solving
Not everyone is a natural problem solver. A crucial business skill like problem-solving isn’t generally something you can fully develop at university. A degree can certainly provide the foundations for it, but it requires practical development and real-world application to use successfully in a business capacity.
Once you’ve mastered this ability, it will allow you to think outside the box, disrupt markets, and take calculated risks that promote long-term entrepreneurial success.
Danielle Applestone, CEO and Founder of Applestone Consulting, expresses:
“From what I can tell, having a technical background and some lived experience trying to build your own business is actually more significant than having an MBA.” She adds: “If you’re good at problem solving and learning new things, then it doesn’t really matter what degree you have.”
- Resilience and adaptability
Every business owner faces challenges. Before launching, you might struggle to find funding. Once your company is up and running, it could fail in the first few years.
Overcoming these difficulties and learning from failures will make you a resilient entrepreneur, allowing you to bounce back and succeed.
- Leadership and people skills
There’s a lot of human interaction involved with running a business. Whether you’re networking, pitching, or recruiting, entrepreneurs need excellent people and communication skills to connect with others and build strong relationships.
Leadership is also crucial. When you employ people, your employees will look to you for guidance. It’s your job to set an example and drive company culture.
- Financial literacy
Money management skills are a must. Entrepreneurs must understand basic budgeting, cash flow, and investing to make informed decisions about their company’s strategy and future.
Alternative ways to learn business skills
If you don’t naturally possess any of the above skills, don’t worry; you can easily learn and master them. Here are a few ways to do this:
1. Self-education
Reading books, listening to podcasts, and watching videos are excellent ways to develop your business knowledge and confidence.
We also recommend reading the Rapid Formations blog, where you’ll find regular articles on a variety of topics, such as incorporation, legal and compliance, and business news and advice, to develop your entrepreneurial knowledge. You can also receive these top tips straight to your inbox when you register a company through Rapid Formations, so you’re always up to date.
Another excellent alternative is taking online courses in specific skills you’d like to learn, such as marketing, sales, or economics. These are far more affordable and shorter than university courses. Take a look at popular websites like Udemy and Reed Courses.
2. Mentorship and networking
Learning from the experience of others is a powerful way of setting yourself up for success. Connect with experienced entrepreneurs and industry professionals who can share their wisdom and offer practical business advice.
We recommend attending local networking events, contacting other business owners on social media, and signing up for business mentorship programmes.
3. Hands-on experience
An incredible way to develop essential business skills is simply through giving it a go. Try a side hustle if you’re not ready to leave your full-time job. This is a taster of entrepreneurship and offers real-world, practical experience.
When a business degree can be useful
While a business degree may not be essential for aspiring entrepreneurs, that doesn’t mean it’s completely redundant. A degree provides valuable theory-based learning that can help you enter certain sectors like consulting, finance or marketing.
Some business degrees also offer practical work experience and networking opportunities, connecting you with notable brands and meaningful business contacts that you may rely on later in your entrepreneurial journey.
Additionally, the experience of obtaining a degree isn’t limited to the certificate you receive at the end. A business degree can help you develop numerous transferrable skills that will set you up for a successful career as an entrepreneur. For example, communication, business acumen, and organisation.
We’d like to stress that obtaining a business degree and achieving personal growth through alternative means are not mutually exclusive – combining both methods can put you at a considerable advantage.
Ready to start your success story?
Business degrees are advantageous, but they’re not essential to be a successful entrepreneur. Often, mindset, personal skills, and real-world experience matter more. That said, entrepreneurs must keep learning. Focus on self-education, mentorship, and practical experience to maximise your chances of success.
Ready to take the next step? Start your success story with company registration experts, Rapid Formations.
Simply choose your ideal company name and formation package, and complete your company details. Not only will they take care of your application, but you’ll also have continuous access to valuable resources that will expand your business knowledge and help you grow a successful business.
