In the United States, when people launch new businesses, only around half of them manage to thrive and keep going strong for five years.
When the Amish start businesses, an astonishing 95% of them continue to be successful even after 5 years.
Despite not using things like public electricity, cars, computers, or attending high school, the Amish have achieved remarkable success in the business world.
The success rate of an Amish business is 95 percent.
So, what makes the Amish successful businessmen?
6 Reasons Why Amish Businesses Succeed
Excellent Work Ethic
The Amish work ethic is all about hard work, and it’s a big reason their businesses succeed. Hard work is just a part of everyday Amish life. When it comes to running a business, hard work has given them grit.
Forget about a 4-hour workweek. That’s not an option when you’re starting a business from the ground up.
The Amish always think about the long game in business. They don’t chase quick, big success. Their plan is not to exit the company after cashing in millions of dollars.
They believe in putting in consistent effort and building their businesses steadily over time, and passing them down to the next generation.
Amish kids learn the value of hard work by watching their parents and family members work hard every day. They don’t have lazy summers, they wake up early to do chores like milking cows and helping with farming.
They also see how their community works together. This teaches them that hard work is important for their family and their community to thrive.
Little Overhead
Amish businesses often do really well because they keep things simple. They have big, successful businesses, and they don’t spend much on unnecessary stuff. Amish businesses don’t have things like air conditioning, fancy offices, or espresso machines.
Their workforce is made up of family members or young ones, which means they don’t have to pay high salaries.
Amish businesses don’t pay health insurance, pensions and Social Security taxes for their Amish employees. This is because the self-reliant Amish community refuses any type of government assistance programs.
Sometimes, all they need is a basic pole barn to run their business, and that keeps their expenses low, allowing them to be successful.
Customers Trust Amish Businesses
Amish businesses are successful because people know they do great work for a fair price.
This means they always have customers because their reputation for quality and affordability keeps them coming back.
The Amish stick to old-school values like being honest, having strong principles, and making top-notch products. This really appeals to customers and keeps them coming back.
Even though their competitors might say the Amish underbid, customers trust Amish businesses and keep coming back for their reliable services.
The Amish Stay Personally Invested in Their Businesses
The Amish don’t dream of building huge brands or corporations. They think differently. They believe that becoming too big can actually ruin things.
The Amish know that when you keep things small and maintain personal connections with the people you work with and serve, it builds trust.
For example, in Amish construction businesses, it’s normal for the owners to get hands-on and work as hard as the other builders under the same conditions.
Amish businesses do well because the owners are willing to work alongside the average employee.
People feel like they can rely on you, and that’s a big part of why Amish businesses do so well.
When a business gets too big, it can feel less personal and more like a faceless entity. You might not know the people behind the scenes, and it can be harder to trust them because they seem distant and impersonal.
Minimal Debt
Amish businesses are successful because most Amish entrepreneurs avoid getting into big debt.
By avoiding heavy debt, Amish businesses don’t have to worry as much about making large monthly payments or dealing with the stress of owing a lot of money.
This financial discipline allows them to operate their businesses with less financial pressure.
Amish people usually start businesses by using their own savings, getting help from family members, or borrowing money from their community.
Some Amish entrepreneurs do get small business grants or loans from government agencies or non-profit organizations.
Low Employee Turnover
Amish businesses often have the same employees for a long time that include lots of family members.
When customers see that the same people are working there year after year, it builds trust and makes the business more successful.
Having the same employees for a long time is good for a business because:
- Things stay steady, and the work doesn’t get disrupted.
- It saves money because hiring and training new employees can be expensive.
- Workers become really good at what they do over time.
- Customers see familiar faces, so they trust the business more.
What Do the Amish Invest In?
After getting rich, the owners of Amish businesses don’t change. While some of them are millionaires, they’re not into splurging on material things. Instead, they put more money into making their businesses even better.
They really care about owning land and houses. That’s where they choose to put their money.
There’s this saying: “It’s not about how much money you earn, but it’s about how much you spend.”
Whether you make $30,000 or $100,000 a year, if you spend all the money you earn, you’ll end up with no savings and little money left, or even broke.