All business begins with YOU.
You must be prepared for what is to come, and that means accurately assessing the following:
1. Current Financials & Cushions:
Here’s a newsflash, no business should ever come out of pocket.You never want to begin your business in the red zone, aka the negative.If your deliverable (service/product) does not provide the requisite $$$$ to do business, you aren’t doing business.Your current financials and cushions is your safety net.You want your business at a break even for the first year or two.What does this mean?The breakeven is a myth.There should never be any upfront costs.Growth comes from getting paid, not paying out.Have enough savings to maintain your current lifestyle, or be prepared to sacrifice your standard of living for the growth of your business.Either way, you better not go into this venture thinking you are getting $$$$ from day one.
2. Business Acumen & Experience:
Do you know business?This is completely different from understanding your deliverable.(Remember a deliverable is your service/product).It goes without saying that you MUST KNOW YOUR DELIVERABLE, but business is much more than your deliverable.Do you understand accounting, can you read a contract, do you know how to negotiate terms, do you understand the costs of doing business, do you have any soft skills (networking), do you know how to price your services and ultimately how to be profitable?
Most of your business will be spent doing business, not the deliverable.The latter is the easy part.Getting paid, organizing your financials, networking, managing your staff (if any) and the like will consume your day.
The Entrepreneur is self-determined, and self-motivated.This is not an arena for the weak hearted and those accustomed to stability.Some months you’ll take in profits, while others will be dry as deserts.Cash from a few months will make it seem that it will continue without end, and then it does and you didn’t properly manage your finances.Now you are in the red.
YOU WILL BE REJECTED.Learn to learn from the word NO, but don’t dwell on the negative aspects associated with it.NO is the learning curve, and even at your best, you will still hear it.NO is universal, a multiplicity of variables factor into this response from a prospective end user (client/customer).Failure is where growth arises from.Be better for the Nos, not weaker.
Believe in yourself. Just as many go to night school to finish their education, get that doctorate, etc., sometimes keeping another job or maintaining a part-time gig is not the end all. You must believe in yourself, and work towards making your business profitable. Profit doesn’t necessitate that you are wealthy, but it does mean having a business that allows you to just do that business. Be rich with motivation, and not poor with pride. Work towards your goals with an understanding that every move is part and parcel to a bigger picture.
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