Tips for First Nations entrepreneurs wanting to start their own business

According to a recent study, the Australian First Nations business sector is growing at a rate of around 4% per year fueled by rising demand¹. Many aspiring First Nations entrepreneurs, however, face barriers to accessing financial, social, and symbolic capital. Scott Allen, CEO of Mandura, offers his advice to First Nations entrepreneurs looking to start their own businesses.

A changing landscape

“For First Nations businesses, the world is changing. It is no longer sufficient to be just a First Nations business. When speaking with customers, it is important to unpack the value that you bring to not only them as a customer, but to you as an organisation and to whoever it is that you support.”

“There was a time you could launch a First Nations business, develop a product, find a customer and be on your way. Today, being a commercial organisation first, a First Nations business second, and a social enterprise third, is essential to creating a meaningful First Nations business.”

Then, what are some pointers for first-time entrepreneurs?

Invest in yourself and stay true to your story

“If you want to be an entrepreneur, make the decision and chase the dream,” says Scott. “As an entrepreneur, your story must have unique value and benefits for both you and the customer. Don’t be afraid to incorporate your personal story and culture into the business and identify how it can benefit First Nations communities.”

Understand the market landscape

“As a First Nations entrepreneur, you must determine your market position. It’s no small feat to figure out how to align a corporate need with a social need, but it’s definitely possible and it will make your organisation better for it,” Scott says.

“Knowing how to get from point A to point B is essential. Consider the steps on your journey, your value proposition, your products and services, and the genuine and meaningful impact your company can have on your customers and the wider industry. Find that niche, figure out what the value is, and aim for it,” Scott advises.

Build relationships

Scott believes that investing time to build relationships is an essential part of starting a new business. “Customers are beginning to unpack First Nations businesses and what it means to them. Make an effort to establish and maintain relationships with suppliers and customers. Because our trade and commerce culture are built on relationships. Take advantage of something inherent in your culture.”

“Speak with your potential customers and have an open discussion about who you are and what you want to achieve. It may take speaking with ten customers before you realise that certain products do not fit your goals and their needs,” says Scott.

Scott highlights the importance of seeking advice and conversing with businesses who have experience in the First Nations landscape. “Engage with other First Nations businesses, if possible, as they may be willing to provide resources and advice. Speak to individuals who have expertise and knowledge about products or services, such as procurement experts.”

Avoid questionable transactions

“If it sounds too good to be true, it usually is,” says Scott. “As a First Nations entrepreneur and member of the community, you have a moral obligation to do the right thing. Don’t compromise your values in order to make a profit. Believe in yourself and your abilities.”

Making mistakes, according to Scott, is a normal part of the process. “It is perfectly normal to be incorrect at times. Learn from your errors and try again. Entrepreneurship is a process.”

“Being a successful First Nations entrepreneur requires a lot of hard work. You get to where you are by working hard, learning and engaging with others, and creating something real and meaningful that people can support. Ensure that your social values are consistent with your corporate commitment.”

Use the resources available to First Nations entrepreneurs

Although it is widely known that First Nations entrepreneurship has historically faced significant challenges in terms of funding and access to business resources when compared to non-First Nations entrepreneurship, Scott explains that there are avenues that can be leveraged to their advantage.

“Always keep an eye out for any available resources that are relevant to your business. Register with the Indigenous Chamber of Commerce and Indigenous Business Association, contact universities, listen to podcasts and visit government websites for business support and grant assistance. There are even First Nations-supported non-profit organisations that help aspiring entrepreneurs, such as Barayamal, a First Nations focused startup accelerator that offers essential education workshops, mentoring, early seed capital and working desk space.

While there are a few resources available for First Nations entrepreneurs, Scott believes that the most valuable resource is prospective customers. “They are the most reliable source of information.”