Not everybody has the entrepreneur source it takes to start a business. Many people need the structure of being told what time to get to work and what time they may leave. They need the structure and the fear of being fired that a job gives them. They are happy to trade the responsibility of having their own business with doing their jobs and being able to go home. If that describes you, you may not be the right person to start a business.
If, on the other hand, you want to take your future in your own hands, if you are self-motivated to be able to go to work every day without anybody telling you what to do, if you are ready to accept full responsibility for the outcome, go through this page and determine the characteristics I call the “Entrepreneur Source”.
What is The Entrepreneur Source?
Evaluate yourself to determine whether you are suited, emotionally and financially, to start a business and whether you have or can acquire the specific knowledge to become successful.
- Entrepreneurial Spirit
Entrepreneurs expect obstacles and roadblocks. They are persistent and donÂ’t give up easily. They set their intention and then find the mechanism. It may sound trivial, but itÂ’s important to remember the following equation:
Intention + Mechanism = Result
Make sure your intention is consistent and persistent. Then find the right mechanism and you will get the results. Success and failure are determined by what we actually do today, not by what we intend to do or would like to do tomorrow! You will find the mechanism if your intention is to do what it takes to become successful. Get a deeper understanding of the “entrepreneurial spirit” and the characteristics of successful people.
- General business knowledge and specific knowledge
General business knowledge includes rudimentary accounting, knowledge of different marketing techniques, governmental requirements, and a basis for decision making as to the type of business entity. Specific knowledge has to do with the business you choose. Become an expert. You will learn how to become an expert near the bottom of the next section, “Step 3: Setting and Achieving Goals” in the section entitled “Now that I have my Business Idea, How do I Get the Knowledge I Need?”.
Before you start your business you should know:
- How much capital the business requires
- What your overhead is going to be
- How much time it will take before your expected cash flow becomes positive
- What your monthly living expenses are, and
- The amount of your cash reserves and other income.
Information like capital requirements, overhead, and the expected timing of your cash flow will derive from your business plan. You should be able to determine now what your monthly living expenses are and what your cash reserves and income are.
- Time leverage
One of the advantages of owning your own business is the use of time leverage. Before you decide on a good business to start, have a firm grasp of the concept of time leverage and determine whether you will be using it in your business. If not, you are buying yourself a job.
Part Time or Full Time?
One big decision you will need to make at this point, a decision which will determine your choice of businesses, is whether you are going to start your business on a full time or part time basis. Here are some things to think about before making your decision.
Just as we fill up our available physical spaces in our lives, we tend to fill up our available time. We are all given 1,440 minutes each day, no more and no less. Effective people use their time efficiently and get more done. They practice good time management skills. Click here for some lessons on time management skills.
If You Have Lost Your Job
In this economy in particular, and in history in general, millions of people have lost their jobs. Often we go through a grieving process when we lose our jobs. There are, however, some specific strategies that can be used, that will make a great deal of difference to your future. Click here for specific strategies that can be used by those who have lost their jobs.
You Now Know
You have now determined whether you have what it takes to start a business–where to get the “entrepreneur source”. You know that starting a successful business is difficult and yet rewarding, both financially and emotionally. You now know:
- The characteristics of successful people (the entrepreneurial spirit)
- The importance of general business knowledge and specific business knowledge
- That the use of time leverage is what frees you from trading hours for dollars and is the vehicle to becoming rich
- Whether you will start your business on a part time or full time basis
- The importance of time management and how to beat procrastination
- Strategies for what to do if you have lost your job