Why Most Traders Fail: They Don’t Treat Trading Like a Real Business
Let me be real with you for a second… sadly, most people are going to be too lazy to even read this all the way through... let alone take this advice seriously. Trading is one of the most accessible businesses in the world. No employees. No inventory. No rent. No overhead. But that’s EXACTLY why most traders fail. Because it’s so accessible, people treat it like a hobby. They wing it. They gamble. They hope for the best. And here’s the truth: hobbies cost you money. Businesses make you money. Would you ever start a restaurant, a gym, or an e-commerce store without knowing your costs, managing your risk, or tracking your performance? Of course not. That would be insane. But this is exactly what 90% of traders do and that’s why 90% fail. To really drive this home, let me break down the average costs of starting some common businesses: - Restaurant: $250,000+ (equipment, rent, food, staff, permits). - E-commerce Store: $50,000+ (inventory, ads, tools, shipping). - Gym/Fitness Studio: $100,000+ (equipment, space, licenses). And this is to just open the doors! Now compare that to trading: - Trading Account: $500 – $5,000. - Prop Firm Challenge: $10 – $300 (for the chance to manage six figures). - Education/Resources: $0 – $20,000 (depending on how serious you are). Even if you’ve blown 500 accounts or failed 30 prop firm challenges, you’re still spending FAR LESS than most entrepreneurs just trying to open their doors. But here’s the problem: most traders don’t think about trading as a business, so they never invest in it like one. If You Think Trading Education Is “Expensive,” Read This Some people complain about the cost of trading education or prop firm challenges. But let’s get real: Would you hesitate to spend $50,000+ on a college degree that doesn’t guarantee you a job? (Most people do this without even thinking.) Would you hesitate to spend $20,000 to start a business, knowing it could change your life forever? Don't have it? According to Chat GPT... approximately 25% of all small business startups take loans to start it. They have to believe 100% in their business to get it going.