Entrepreneurs encounter a myriad of risks, which can be broadly categorized into several types:
Financial Risk: This includes the risk of losing invested capital or facing cash flow issues. Market Risk: The possibility that the market may not respond favorably to your product or service. Operational Risk: Risks arising from internal processes, people, and systems, such as supply chain disruptions. Compliance Risk: The risk of failing to adhere to laws and regulations, potentially leading to legal penalties. Strategic Risk: Risks associated with the choice and execution of business strategies.