Five Rules for Entrepreneurs
I haven't written and or posted here on my profile on LinkedIn for a while (to my disappointment) because since the start of this year, I have been preoccupied with so many things particularly work, personal stuff, planning a holiday etc. However since this will be my first post this year and in a while now, I intend on making it worthwhile and I hope someone finds it useful. (It's about entrepreneurship.)
There is no one clear cut and or "right" path to succeed in life, particularly when it comes to entrepreneurship. In essence, there's no right time, situation, age, university/college degree etc. (This is exemplary in the lives of so many entrepreneurs nowadays that have made it big, and one that resonates with me is Colonel Sanders (KFC's founder). What's needed particularly more in this situation is the right mind set and less of knowing the "right stuff".
Essentially while there is no right path, below I give a brief description of five rules that many entrepreneurs if not all can live by:
- Do your research.
Many people emphasise the true value in doing a thorough research, in for instance prior going to a job interview, securing funding, even down to the very simple things like picking out a good restaurant to go on date. One thing many out there (including me) need to understand is that (i) Ideas only doesn't and can't make a successful entrepreneur - it's the delivery of those ideas that does. (ii) An ordinary idea doesn't automatically turn into a fortune. There is the need to be able to establish and quantify a real demand for the product and or service you are bringing to the market. Simultaneously, every entrepreneur need to be able to determine who their competitors are and whether it is smart to compete for the same things (i.e.: dollar, euro, pounds sterling etc.).
2. Identify your passion.
There are variety of entrepreneurs out there and but the most common reasons people start businesses will possibly start with: to fulfil a passion or to make "quick cash" - rather fulfilling passion helps to focus on creating change and or building something substantial/useful that actually meets people's needs and provides useful solutions. To add, passions allows entrepreneurs to keep on top of things when their friends are out attending parties, going on exotic holidays, hanging out or playing golf.
3. Start small and stay small (for a while!).
Every mega and or multi national corporation we know today started small (e.g.: Amazon, KFC, Coca-Cola, even UBER). At the beginning, there may be early successes which may trigger bigger dreams, but it is important to focus on the small steps first and perfect them before scaling up. Entrepreneurship is challenging; so entrepreneurs need to be prepared to be able to deal with any challenges that tend to come up (it is useful to note that challenges are inevitable) and perhaps more importantly, every entrepreneur should be able to adapt and change the focus of the business if and when necessary. Consider and focus on expansion only when the core of the business is running accordingly and profitably, and or when the business assets permits the funding of growth.
4. Set fixed goals.
At the early stage of the business it is important for entrepreneurs to set goals, however it is possibly better to set small goals by keeping it nice and focused to five to six goals maximum, for the business and re-examine them regularly. Operating a business as an entrepreneur involves making several decisions that it may be consuming at times. Evaluating the business goals consistently as an entrepreneur will allow the entrepreneur to prioritize better, by focusing on what must be done and by when.
5. Develop an exit strategy.
Coming up with an exit strategy from early on might seem inappropriate at the planning stage, however it can be a guide to the way an entrepreneur grow and shape their company. Do you plan to sell the business for a capital gain? Close the doors and walk away at some point? Go into 50% equal split with a potential future business partner? Each alternative can influence the entrepreneur's operating decisions separately so having an idea of where the business is heading in 5, 10, 15 years should be a priority for every entrepreneur.
Does this help anyone? I hope it does!
Goodluck!
Pelumi Joseph