Ways How NOT To Start A Business

A journey that begins with a wrong step seldom ends at the right destination.

Becoming your own boss has sort of gained a global appeal. These days many people start up their own businesses for virtually any reason. Somehow it doesn’t seem to count anymore what led people to go into business, going into business has suddenly become the new mantra of the 21st century. Obviously, there are several factors owing to this global trend some of which are; the emergence of the Internet, the unreliability of job security, the God-like attention given to successful entrepreneurs, the rise of the knowledge worker and so on. In the end, it’s not the number of businesses that are being started that matters, but the number of businesses that thrives.

Therefore, in this article I will be x-raying some of the ways how NOT to start a business so that in the end, you can have the right mindset needed to start a business. I welcome you to join me in this exciting journey and as you go through this unusual article I want you to constantly bear this in mind, failure in business is usually as a result of how you start. It is the beginning of a thing that often predicts the end. As always, I encourage you to share this unusual information with as many entrepreneurs as possible and don’t forget to share your thoughts and opinion in the comment box below. There’s no way you’re going to read this, without having one or two things to say; trust me, it’s just too unusual for you to keep quiet. J

Enjoy!

1. Don’t Start a Business for the sake of MONEY

Top on the list of reasons why people go into business is the strong desire to amass wealth. I have never known of a more ineffective way to think about business than this. As unpopular as it might sound, most business failures stem from this singular fact alone. Why? Because the moment making money becomes your primary focus as an entrepreneur, delivering value which is the foundation of effective business practice becomes secondary. And when this happens, no matter how great your business is, it automatically goes on a downward spin. Nothing kills a business faster than putting money first before adding value. So when next you’re thinking about starting up a business, I suggest you lose every possible thought about making money and focus entirely on delivering consistently superior value. Trust me, I’m talking from experience (of other people), starting your own business for the purpose of making money is a sure fire way of being highly indebted and having cardiac arrest!

2. Don’t Start a Business because you LOST your job

Closely related to the issue of money is going into business because you lost your job. As you’ve probably realized, this is how many people end up as entrepreneurs. At first glance, there might not be anything wrong with this approach of starting up a business, but taking a closer look will reveal a vital truth; people who lose their jobs are often driven by fear and to start a business because you are afraid is absolutely disastrous. The implication is often enormous; top on the list is that you will never exercise the due diligence starting a new business entails. Why? Because the fear of living without a regular income since you no longer have a job will keep haunting you and eventually start making you place unrealistic financial expectations on your new business venture. Second on the list is that you are emotionally unstable the first few months of losing a job, especially when you didn’t see it coming. The disappointment can be disheartening, the more reason why you shouldn’t go into business with such mind frame. Why? Because in the world of business, disappointments are a natural prerequisite for success. Meaning, the more disappointments you get, the closer you are to success.

3. Don’t Start a Business because you HAVE money

I know you’re probably startled about this one. You certainly didn’t see it coming. Well, it’s as wrong as starting a business for the sake of making money. How? Here’s the thing most people with money don’t realize, it doesn’t take money alone to make a business work. Starting and running a business will cost you more than all the money you think you have. There are just too many things a business will demand from you that money can’t even buy, for example; how much does it cost to buy the passion needed to build a SIGNIFICANT (unique and useful) business? Have you ever seen passion being offered for sale? In fact, no university or institute of learning can even teach you passion (not even Harvard or Stanford J). Here’s the truth, having money is good, but it’s not sufficient enough to make you want to start a business. Starting a business requires gut, passion, ingenuity, creativity, resilience and so many other personal character traits that all the money in the world is insufficient to buy!

4. Don’t Start a Business because you want TIME Freedom

The thought of not having to wake up early and rush off to work can be very enticing to would be entrepreneurs. But take it from me, I’ve been in the game now for 4 years; the fact that you didn’t wake up early and rushed off to work doesn’t mean you are not at work. Being an entrepreneur means working all of the time even in your sleep. That your fantasy of time freedom will naturally go sore once you choose to become your own boss. How do I mean? You see, it’s not that you wouldn’t have more time to yourself when you’re an entrepreneur, certainly you would. But the irony of it all is this; that time freedom is for you to do some creative work and not for you to be idle and indulge yourself in some unproductive activity. You left your job to have enough time to do what you really care about in life, that’s all the definition of time freedom you’ll ever get – having enough time to make a SIGNIFICANT contribution with your life to the world. True entrepreneurs hardly stay idle indulging in pleasurable activities just because they have time freedom. They are always in the creative process, picking up clues here and there of how they can make the world a better place by utilizing their time, money and life for something worthwhile.

5. Don’t Start a Business because OTHERS are doing it

Anything that is popular has a way of being highly contagious. People just literally jump at it without any logical explanation. Believe it or not, this is how so many people ended up in the world of business. Since everyone they know is quitting their 9-to-5 jobs to go start their own thing, why shouldn’t they do the same? The down side of going with the bandwagon is this; you’ll lack the staying power critical to survival in the world of business. At first, the thought of being your own boss can be very enticing, but sooner or later you’ll realize it’s not a bed of roses. And when this reality sets in, you’re the only one who would be left alone to figure out a way of making it through the stormy days. So start a business because it’s what your soul desires and not what the society or your peers desires for you. Starting your own business is not about boosting your personal ego or winning a popularity contest, it’s a personal decision born out of an internal conviction!

6. Don’t Start a Business because you HATE working for others

Now here comes the tricky one; starting a business because you hate working for others. After wanting to make money, this is another popular reason people give for going into business. Listen, as popular as it may seem, here’s the truth; 99% of popular things are either totally wrong or mere misconceptions. That you hate working for others is no guarantee that you will succeed or enjoy working for yourself. In fact, there’s more work to do working for yourself than you ever thought you did working for others. So if you hate working for others, you might just as well hate working for yourself. What it turns out to be sincerely is this; you simply don’t like work in general and this is why starting your own business is the last thing you should ever think of doing. Why? Because business is the domain of unlimited work; there are no working hours like your regular 9-to-5 job. Welcome to the 24/7/365 days a year working schedule!

7. Don’t Start a Business just LIKE everybody else (Differentiate or Die)

In my field of business development, I have seen so many people go into business just because they saw somebody else succeeding in it. This is a higher form of going into business because others are doing (point #5 above). You observe a business and simply go make a clone of such business. So what do we get? The same kind of business but with different brand names. I don’t get it; “Why would any right thinking person choose to be a duplicate of another when it’s absolutely possible to excel being an original?” As a matter of fact, you have higher chances of succeeding going into business as an innovator than being a duplicator.

The business terrain is already overcrowded filled with countless number of companies doing almost the same thing you have in mind to do. Unlike in the past before the advent of the internet where you had only local or national competitors, such is no longer the case in this age of globalization. Now your competitors are all over the world and just one click away from your local or national target market. So why would you want to build a business just like your neighbour? Here’s the deal; if your business doesn’t stand for something SIGNIFICANT (unique and useful) there’s no need repeating what others have already done and giving it another name. Meaning, if there’s nothing positively unusual about your business, don’t bother going into business to offer the same old milk but now in a new brand skin or container. Doing this is the fastest way of route to extinction. In other words, differentiate or die!

8. Don’t Start a Business without SUFFICIENT planning

Business is a highly complex activity and therefore requires adequate planning. It’s been statistically proven that inadequate planning is top among the reasons why most businesses fail. I’m sure you already know that by now (that’s why it’s the second to the last point J). Why then did I include it in the list? Because most times, the problem is not about what we don’t know but more of what we do know but never put to use or practice. There’s a phrase that best captures the essence of planning and it goes like this; “He who fails to plan, plans to fail”. And a key element of planning is having a long term perspective of things or as it is popularly called; seeing the big picture. Which intentionally, happens to be the subject matter of the next point to which we now turn.

9. Don’t Start a Business that cannot OUTLIVE you

One of the underlying principles of the Accounting profession is called; “going concern” which means that a business must be in perpetuity. That is, a business is meant to exist as far as there’s still a need to be met. It’s just basic human nature; I mean who wants to raise a child only to watch the child die before their eyes? In the same regard, you should never start a business that has a short lifespan. Starting a business from a short term or temporary viewpoint, as far as I’m concerned is the definition of selfishness. Why build something temporary when you have the potential to create something eternal? The joy of any creator is to see his/her creation rise above their widest dream and outlive the very existence of the creator. So here’s the ultimate question for you; “does your business have the capacity to outlive you?” OR “Would your business still be in existence long after you’ve gone?” Never start or go into a new business without asking and providing answer to either of these questions.

Legitimate Work From Home Business or Home Business Opportunity Help And Advice

Legitimate work from home business or Home Business Opportunity Home businesses are one of fastest growing sectors of business today, with the recent recession people are looking for an alternative to finding work which can and is getting lower and lower paid.

The fact of the matter is that employers have to become more competitive as costs increase and clients want businesses to supply their goods or services for less. Therefore it is clear to see that employers who lost staff to the recession, are now re-employing but at lower rates, sometimes even at the minimum wage rate. This allows the employer to cut costs and become more competitive.

Let’s face it if you were an employer under pressure you would do so too, it’s basic supply and demand in that there are many hundreds of applicants for each job that comes onto the jobs market and it naturally follows that employers can and do find new employees for less.

This is where the work from home businesses have come to many people’s rescue. This short article is written in order to help all those people who are looking to start up their own work from home business. I am certain many people who are at threat of losing their jobs or have lost their jobs would prefer to earn a real income from home rather than go back to work for less money than they are used to earning, I mean “How Much Do You Value Your Time” why should you work for peanuts to line somebody else’s pocket?

One of my first work from home business mentor’s favourite saying is this, “it takes just as long to go broke as it does to get rich! So don’t get mad get wealthy!”

How To Get A Good Home Business Opportunity.

If you are going to start a home based business then trust me you are going to need a mentor, someone to set you targets, show you how to achieve your goals and be there for you when you need that home business coach and mentor.

Beware there are lots of make money online programmes out there but you must be careful, there are no secrets and there is no magic bullet, but there is a “Formula” a systematic approach that anyone can use to make money online in their own home based business opportunity, and it isn’t that difficult, you just need someone to show you how and to help and encourage you.

Warning if you see get rich overnight offers on the internet and they seem too good to be true 99 percent of the time they are. The importance of researching any home based business opportunity cannot be stressed strongly enough. Like most people I fell for many scams and get rich schemes that cost me dearly, I very nearly went broke, so here are a few pointers to help you decide.

1. If a home based business opportunity seems too good to be true it probably is.

2. If someone rings you from a call centre and promises to show you how to make money online and how to build websites (which is easier than you think and any way you don’t need to know how) they will usually ask for between $5,000 and $12,000 “Investment” tell them to get stuffed!

3. If a call centre member of staff on $10.00 per hour really knew how to make money online, don’t you think he or she would be doing it themselves?

4. Stay away from MLM’s and Matrixes unless you have hundreds of like minded acquaintances that will join you, trust me you will become avoided and very lonely.

5. Check out the business and who is behind it.

6. Have they succeeded online themselves?

7. Have they taught others to build a successful home business?

8. Does this work from home business have a track record of happy successful clients?

Please just use your common sense, analyze what’s on offer, you need training and coaching, help and encouragement once or twice a week from a coach who has already made it. You need a coaching program and a personal mentor who was once where you are now.

Now when I first found a real opportunity after two years of being taken for an idiot, I was able to make a reasonable amount of money within 90 days. I stuck with this for a while and then went onto something bigger, I only tell you this so as you don’t make the mistakes that I made, start with a low cost coaching program, and do not buy a home business study course, yes, many of them are superb, but until you learn the basic formula for a home based business you probably won’t understand a word of it.

One of the main benefits of these businesses is that they are “earn while you learn coaching programmes” and I only know of a handful that will get you from where you are now to where you need to be quite quickly, and at a price affordable to the average guy, working or not.

Now I want to share my own experience with you all regarding the ups and downs of home based business opportunities as I have seen several people quitting their home business just because they think that they lack the necessary skills and investment.

Well let me tell you now, that is simply not true, I have met online entrepreneurs, who (and I don’t mean to be offensive) if you met them you would think they are retarded, and I mean it, yet these people are very wealthy, surely if they can do it – you can too! Start with a low cost earn as you learn business, and very soon you will be a successful work from home business entrepreneur.

Word of warning Never start with an MLM or Matrix, they only make the guy’s that run them rich!

Success in any internet marketing business is built with knowing the formula, the systems and systematic approach to online marketing. The second step is learning, and please remember that your time and my time are limited resources. These are precious resources must be carefully used at all times.

What NOT to Do to Keep Your Home Based Business a Success

There is a saying in the Home Based Business world (or at least a saying among my Home Based Business friends), and that is, “The great thing about the Home Based Business Industry is that anyone can do it. The worst thing about the Home Based Business Industry…….. is that anyone can do it.

For the most part, starting a Home Based Business is fairly simple. Find a sponsor, sign up, and you are pretty much off and running. But the thing that most people don’t consider is what they shouldn’t be doing in regards to prospecting, training, and running your business in general.

Don’t feel like you have to talk to everyone you come in contact with and try to sell your opportunity.

Once people start a Home Based Business, they are incorrectly trained to go out, make a list of friends and family and call them constantly about joining the business. They are also taught to always be looking for an opportunity to bring up the business opportunity in conversations. Even if they are standing in line at the grocery store, find a way to start talking to the person behind you and look for a way to bring up the business. This outdated method is still taught today, and you will see tons of information telling you it’s an outdated method, but no one really explains why. Well don’t fret, I’m here to explain why.

The reason it doesn’t work is because people are so inundated with advertising and sales pitches today, that we shut people or advertisements down in the blink of an eye these days. It’s almost like it’s human instinct now. I mean think about it for a second. How often do you fast forward through commercials on TV now that we have the ability to do so? How fast did you sign up for the do-not-call list as soon as it came out? We as a society hate being sold to. Even if it is something we might need, the minute someone tries to “sell” us something we most likely shut down and block them out. When you drive do you even notice the billboards anymore, or are they just a part of the landscape that doesn’t even enter your mind?

So if it doesn’t work why are you taught this way? Well, it’s a really simple answer. Because it’s the easiest thing to teach and it’s easy to teach it to others. Home Based Businesses leaders teach this to their marketers because, quite frankly, they don’t know how to teach any other way. They give you a script, tell you to make a list of people you know, and give you a shot in the arm with an enthusiastic “Go get’em partner!”, and they hope that the numbers will work in your favor (here is a little secret, that rarely turns out well for the new marketer). And, when they are not getting any results, they tell the new marketer to try harder. Yeah, that’s helpful, try harder, keep calling the people that won’t even pick up the phone anymore when they see your number on caller ID, there is a good plan.

They think it’s to difficult to teach new people a different way, a better way of marketing their opportunity. So they give you some watered down, out of date system that will leave you frustrated and broke. Well there is a better way, there is a more effective way, and I will talk more about that in the next section.

Do not sponsor everyone that wants to get involved!!!

Huh???

Yeah, you read that right. I mean you could sponsor everyone that wants to start a business. In fact if you love to be annoyed, bothered 24/7, frustrated, defeated and depressed, by all means have at it. Remember this line from earlier?

“The great thing about the Home Based Business Industry is that anyone can do it. The worst thing about the Home Based Business Industry…….. is that anyone can do it.

Let’s get down to brass tacks. Not everyone is meant to start, own and run a business. Plain and simple. Might not be a nice thing to say, but it is a true thing to say. A Home Based Business owner, or any business owner for that matter has to have a certain type of desire and mindset. Now I’m not saying they have to be smarter than the average bear, not the case at all, but they do have to have a specific mindset. They have to understand that there is work involved, and that growing a business takes time and energy, and it takes dedication. You can’t just expect to succeed by taking the easy route.

That being said, you as a Team Leader have the responsibility, I will even say an obligation, to yourself and to the person / people you sponsor, to make sure that they “get it”, and understand what it takes to become successful in this competitive industry. You have to make sure that they understand that, even though you are there to always help them and work as a team, that they will eventually have to work independently after they are trained. Now I’m not saying train them for 5 hours and send them out on their own, no no no, that is what the old school teachers do. I’m saying that you work together as a team, get the person trained, help them until they are comfortable, but this has to happen within reason. It shouldn’t take 5 years. I would say it should only take a month or two of regular training and close teamwork. Let me tell you something. There is nothing worse than a person that calls you 24 times a day with dumb questions, complaints, and whines constantly. This will drain you emotionally, physically and just destroy your morale. You will be miserable and in turn the person you sponsored will be miserable and broke too. Believe me, I went through it, and I promised myself that I would never go through that again. I would rather have three reps. on my team, that get the business model, have the attitude to succeed, and can work as a team as well as independently, and not be constantly dependent and need to have their hand held every step of the way, than to have 100 people that are just gonna drain me emotionally. IT”S JUST NOT WORTH IT!

So when talking to others and they show interest in becoming a business partner of yours, make sure they have the qualities it takes to run, own and grow a business. It’s not hard to figure out if they “get it” or not. Most people can figure out if a person has “it” or not. And if they don’t have the qualities, then just politely tell them that this might not be the best option for them and move on. It amazes me how many Home Based Business owners are so afraid to say no to people. If you are so worried about sponsoring people that you will sponsor a person who will make you miserable, I might suggest that you look into another type of work, because you will have a long painful road ahead of you.

Do not educate yourself constantly.

So we have discussed how many companies train you the easy, watered down, ineffective way. They teach a system that is easily duplicatable to everyone, but is hardly effective for anyone. Now, it’s not the companies fault mind you, they have to find the easiest way to get people started, but again for the person that “gets it” this will not be enough, because, well, you want to succeed, and the people that don’t “get it” won’t go past the basic training the company provides, and they will fail and quit because they won’t understand what we are about to discuss. But again, you won’t have to worry about people on your team quitting because, as we figured out earlier, you only sponsor people with the right qualifications, RIGHT?:)

You need to constantly add tools to your business tool box. There are some great programs out there to help you take you business to another level. It amazes me how new Home Based Business owners will invest in starting a new business and then not invest in their business education. Does a doctor graduate medical school and never educates themselves any further? Does a real estate agent consistently study the real estate market and it’s trends? Well the Home Based Business owner has to do the same thing. They need to plug in and study what the leaders of the industry are doing. They need to keep up on the trends and they need to invest in their education. I personally require my new business partners to purchase some of my favorite educational tools because I know it will help them in the long run, and if they don’t, they will not become a part of my team. I mean if you are not willing to invest in your education and training, how much success do you think you will have? Not much.

Be impatient.

Rome wasn’t built in a day and your Home Based Business won’t be either. It is not a “get rich overnight” thing, nothing is. People that tell you that are lying to you, plain and simple, and they do not have your best interest in mind. It takes time to build and grow a business, and you need to be ready to put the work in. How long does it take? Well there are so many factors it varies person to person, but on average I will say 1-2 years to really start making a substantial income. Is that to long for you? Well then you are not made for this business. Any professional knows that this is the general rule of thumb for any business in any industry. If you don’t have the patience to wait that long, you might want to just work for someone and and not start your own business. You also need to sustain yourself while you are building. As i mentioned earlier, if you are going to invest into starting a business you need to also invest in your education. Now I’m not talking about thousands of dollars in educational tools and trainings but there does have to be some money invested nonetheless, but the money that is invested into your education will pay you back 100 times the cost in the long run. You also need working capital for advertising, marketing and the general running of your business, again, no different that any other type of business, but remember these costs are significantly lower that most types of business, but they are things you need to be aware of if you want to own a successful Home Based Business.