Act Your Age! – Advice for New Business Start-Ups
Posted by admin on June 20, 2008 in Business Start Up Advice [ 0 Comments ]
It’s not often that this phrase is used, especially by parents. However, in business and with respect to business start-ups, “acting your age” is a crucial part of defining who you are, what you will become, and ultimately your success.
I have been employeed by established and profitable companies with years of experience under their belts, who acted just like what they were. I have also been employed by and have founded businesses that were trying to act, well, just like what they weren’t — established, profitable companies.
Three tips I recommend any start-up follow so you “act your age”:
1) Don’t assume any fixed costs until absolutely necessary.
2) Do consider both equity and debt financing – the benefits of both are many and debatable, but the process of discovery and debate concerning your financial options will help you establish confidence in not only what you’re selling, but also how you’re going to finance sales.
3) Religiously invest in the sales of your products/services. This may be especially difficult for technology companies, such as ones I’ve been involved with, but the key to your success is not really your productor service (accepting the fact that it meets standard market needs), it is your people and process that will sell it.
I have experienced a number of entrepreneurs who have tried to run their businesses like they were already Fortune 500’s. And the one’s I’ve seen do that have failed. So maybe just this one, and certainly not from your parents, I tell you to “Act Your Age”.