Starting a business is a challenge and around 70% do not survive past the first year. Chances of a business surviving can be increased if the owner increases his or her entrepreneurial intelligence. Entrepreneurial intelligence is the knowledge and skills needed to increase the chances for a business to succeed. Starting a business in today' economy is daunting and can get quite confusing. However, there are ten nuggets of entrepreneurial wisdom based on real awareness and understanding of the critical make-it-or-break-it requirements of starting a business.
Self-delusion does not have a place in starting a business. An honest, unpassionate assessment of the strengths and weaknesses of your startup idea is essential. Because you think you have a good idea, it is not enough to ensure success.
Keep It Simple
Simple is usually the most effective strategy, especially in startup businesses. Focus your resources and efforts where the impact and profits are the greatest.
Continually Develop Your Products and Services
Companies often fail because another business starts offering a superior product or service. Entrepreneurs must adapt and/or innovate to pivot out of the inevitable plateau and decline that every business faces.
Learn How to Market Your Products and Service
Marketing is getting your product and services to the customer. Every entrepreneur must have a strategy how to exchange money for products and services. Marketing strategy continually changes because the market continually changes.
Build a Winning Team
Every entrepreneur must be a manager, marketing director, HR director, and accountant. The problem is that few (if any) people are good at all four. An entrepreneur must put together a team of people for their business to succeed.
Keep Immaculate Records
Although it may not seem important in the early stages of a startup, it is important to hire a first-rate certified public accountant. They can help you avoid many financial pitfalls.
Never Run Out of Cash
The saying goes, "Cash is King." This is especially true with small businesses. I have witnessed beginning entrepreneurs begin spending profits too quickly. Work toward having cash available to take the business through the lean times.
Avoid Rapid Growth Pitfalls
Too many sales, made too fast, can also kill a business as much as too few sales if they are not managed correctly. Managing growth is a make-or-brake condition of small businesses.
Know Your Business Inside and Out
This understanding is the foundation for controlling the company and improving the profits. Business pivots cannot be made without a correct understanding of the business and their markets.
Formulate critical and challenging goals and convert them into productive activities. Knowing when and how to adapt or innovate in an ever evolving global market is the key to success.
StartupPower is having there third workshop on August 11 at Binary Space in Bryan, TX. The topic of this workshop is on Identifying Your Market and Customers.
There was good attendance at our last entrepreneurial workshop (1.2) Binary Space in Bryan, TX.
The topic of the workshop was the four phases of entrepreneurship. Although, every startup business begins differently, every startup goes through these four phases. Every startup begins with an idea. Ideas for a business comes from many different sources. Inspiration for startups may be taken from other entrepreneurs, ideas may come out of a person's need or the entrepreneur may see a situation in which they can take advantage. It does not matter where an intrepreneur gets their inspiration, their startup begins with an idea.
After the entrepreneur has an idea for a business, they must do a lot of research. Every good idea is not marketable and a good idea without customers will die a quick death. I have heard it said, "A fair idea with customers is better than a great idea with no customers." The entrepreneur must decide if their idea is viable or not.
Once the idea has been vetted through a process of personal research and insight from experienced businessmen and trusted advisors, the entrepreneur begins developing a strategy. This strategy culminates in a Business Plan. Having a written business plan gives the entrepreneur and their team a roadmap, but it also gives potential investors the information they need to decide to invest in your idea or not.
When the strategy is in place, a launch date should be set. The launch of the business begins the action phase and the fun (or challenge) of starting a business begins.
Workshop 1.2 also discussed the life-cycle of organization. Businesses go through a cycle of start-growth-plateau-decline and death. The goal of the entrepreneur is to avoid the decline and death phases. Decline and death are unavoidable without adaptation and innovation. If the business owners are not aware, another business can set up around you and offer cheaper prices and/or a better product or service. Organizational death is not always avoidable, but it requires the diligence of the management team so that they can adapt or innovate.
Our next scheduled workshop (1.3) is scheduled for August 11, 2016 at Binary Space. The topic for the workshop discusses perhaps one of the most important topics of entrepreneurship that is discussed far too little--your market and customers.
Please leave a comment about this workshop or a question about entrepreneurship. Just click on "comment" above this article.
Thank you and hope to see you at the next workshop.
Startuppower conducted its first monthly workshop for emerging entrepreneurs on June 16 at Binary Space in downtown Bryan, TX.
The first workshop laid the foundations of entrepreneurship by discussing the questions "what is entrepreneurship", "who is an entrepreneur", and "why become an entrepreneur," and the characteristics and traits of successful entrepreneurs. There are many definitions of entrepreneurship, but one aspect of being an entrepreneur that is always part of the description is RISK. Everyone agrees that starting your own business venture is risky with no guarantee of success.
Anybody can start their own business, but they need to understand the risk involved, learn as much as they can about starting businesses, and it is very important for them to understand themselves. Knowing your personal strengths and weaknesses is important for emerging entrepreneurs. Lists of hundreds of traits of successful businessmen have been compiled, but the four essential traits for every entrepreneur was discussed.
Starting your own business venture is possible, but not easy. Startuppower Workshops have been started to (1) teach entrepreneurial practices, (2) to bring together established and emerging entrepreneurs, and (3) to help start your business.
Our workshops are monthly. Our next workshop is scheduled for July 14, 2016 at Binary Space (110 N. Bryan Ave.). Four phases of entrepreneurship will be the topic of the workshop. We will also discuss your ideas for starting a business.
For more information email me at firstname.lastname@example.org or call at 979.308.7470.
Please leave a comment or question about entrepreneurship in general or the startup workshops by clicking on the "comments" above the article.