Do You Have What It Takes?
You have your business plan in hand. You are excited about starting your business. The world is eagerly awaiting your product or service. After a few months, the money will be rolling in. Then after six months, reality sets in. You are not making enough money to meet your obligations. How are you going to make the lease payment on your building? You are two months late on your mortgage because there is not enough money coming in from your business to make the payments. Your home life is suffering because you are stressed all the time. Your family is pressuring you to do something and do it fast. Should you close the business and get a job or give it another 30 days to see what happens? You thought your business would be profitable in a few months and all your dreams would be fulfilled. You had a great idea that would quickly replace the income you were getting from your job but now financial resources are dwindling.
I see this scene played over and over again in the lives of some small business owners. How can you avoid being in this situation? Here are a few questions to ask yourself before starting your business that will help you avoid the scenario I just described:
1. Do you have emotional strength? Can you handle the stress and strain of running a small business or being on your own without the guarantee of having a steady paycheck? Can you handle having inconsistent income? A person who is emotionally weak would say something like, "This is too much for me to handle." when things start falling apart in their business. Fear creeps in, then you panic, and then you are out of business. An emotionally strong person would say things like, "Once I get through this, the lessons I learn will serve me well in becoming more successful in my business." Do you have emotional strength? You won't be able to persevere through the hard times if you don't have emotional strength.
2. Do you have the financial resources to survive? Financial resources to survive for a certain length of time will increase your odds of success in your own business. I don't know what that length of time will be for your business. It is different for every business and for each individual. If you only have four to six months of savings, then you probably don't need to start your own business. It can sometimes take one - three years (or longer) before you see a steady income from your business. Can you survive this long without a steady paycheck?
3. Do you have a strong center of influence? Surround yourself with supportive people who energize you and your business. Surround yourself with people who believe in what you are doing and believe you are the person to do it. These are people from whom you can seek counsel when necessary. They won't "tell" you what to do but will provide support and help you work through the difficult issues that come up in your business. Be careful who you let into your center of influence.
Entrepreneurship is a lifestyle and it's a lifestyle that is not well suited for everyone. But for those few who do enjoy the entrepreneurial lifestyle, there is nothing more rewarding. It will give you a sense of satisfaction and accomplishment that is almost indescribable. Just make sure you have what it takes before beginning your journey.
I see this scene played over and over again in the lives of some small business owners. How can you avoid being in this situation? Here are a few questions to ask yourself before starting your business that will help you avoid the scenario I just described:
1. Do you have emotional strength? Can you handle the stress and strain of running a small business or being on your own without the guarantee of having a steady paycheck? Can you handle having inconsistent income? A person who is emotionally weak would say something like, "This is too much for me to handle." when things start falling apart in their business. Fear creeps in, then you panic, and then you are out of business. An emotionally strong person would say things like, "Once I get through this, the lessons I learn will serve me well in becoming more successful in my business." Do you have emotional strength? You won't be able to persevere through the hard times if you don't have emotional strength.
2. Do you have the financial resources to survive? Financial resources to survive for a certain length of time will increase your odds of success in your own business. I don't know what that length of time will be for your business. It is different for every business and for each individual. If you only have four to six months of savings, then you probably don't need to start your own business. It can sometimes take one - three years (or longer) before you see a steady income from your business. Can you survive this long without a steady paycheck?
3. Do you have a strong center of influence? Surround yourself with supportive people who energize you and your business. Surround yourself with people who believe in what you are doing and believe you are the person to do it. These are people from whom you can seek counsel when necessary. They won't "tell" you what to do but will provide support and help you work through the difficult issues that come up in your business. Be careful who you let into your center of influence.
Entrepreneurship is a lifestyle and it's a lifestyle that is not well suited for everyone. But for those few who do enjoy the entrepreneurial lifestyle, there is nothing more rewarding. It will give you a sense of satisfaction and accomplishment that is almost indescribable. Just make sure you have what it takes before beginning your journey.
posted by Mike Coleman @ 2:03 AM
1 Comments:
At June 2, 2009 6:26 PM ,
Judy Rodman said...
Extremely wise advice, Mike. Like buying a puppy, this is a decision that should not be a spur of the moment impulse. Thinking it through can spell the difference between having the persistence to see it through the almost inevitable "dips". Your advice has been a game changer -a life changer- for many, including me. Thanks!!
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