FINANCIAL FREEDOM

Starting A Business

Starting a business is unarguably the fastest way of exiting the rat race and attaining freedom. Starting a business is not an undertaking that should be taken lightly, and rushed into. Out of a hundred start-ups, ninety fail in the first five years. Of the surviving ten, nine fail in the next five years. That means that of the hundred that shot off the starting blocks, there is only one man standing at the tenth anniversary.

These are intimidating odds, odds you have to reckon with, as you prepare. Most of the “failures” fail before they start. Lack of adequate preparation is the major single cause of business failures. There are so many rivers to cross before opening day. Choosing the right business, adequate market research, feasibility studies and business planning, start-up capital, experience, passion, entrepreneurship etc etc…

This article is not about how to start a business. There are tens of thousands of how to sites, some which will be recommended at the end of this article. This article is meant to inspire you to go for it, and surmount the obstacles. Put your act together, cover all angles, respect the odds and prepare for setbacks, for they sure will come calling.

Start Small
The safest way is to take baby steps. Start small, learn the ropes and gain more confidence to take it to the next level. By starting small, you make inexpensive mistakes and your ability to recover and move on is higher. The bigger you start, the bigger the magnitude of setbacks you will face. In the face of the magnitude of the setback, many give up, throw in the towel and call it a day.

Setbacks sure will come. Some people call it failure. Whatever the nomenclature you chose, they sure will pay you a visit, so you better get prepared. My favorite take on this is in Rich Dad’ s Retire Young, Retire Rich. Rich Dad gave young Robert the Wright brothers’ perspective on failure:

“Those young men knew they were going to fail, so they found a safe piece of ground to fail on. They did not jump off bridges or cliffs. They found a large flat piece of ground with a good strong wind, and practiced failing until the day they could fly... “

Recognize the odds. Prepare for them. Do your homework well. Most of the work is done at the preparation stage. There are so many angles to cover, financial, legal, real estate, insurance, company and allied matters, taxation, human resources etc. leave no stone unturned. Don’t make the mistake of believing that passion and doggedness alone will see you through. If you are operating a wrong business model or faulty business system, you are swimming against the current. The more prepared and educated you are about the area you are going into, the lesser your risks and higher your chances of success.

In ancient societies, one does not just start a business, you serve apprenticeship for a certain number of years before you go solo. That way, you are not operating in a new terrain. Don’t venture out starry eyed like lovelorn teenagers that believe that love conquers all, money does not matter. It does.

Go For It
Your success or failure in business is decided in the theatre of preparation. However, you cannot continue preparing forever. After having done all, a time comes to just do it. The night before opening day is the scariest of all. Like a pilot, go through your instrument checks. Confirm that all systems are ready to go. Say a prayer, close your eyes and jump…

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