Anyoneย can build wealth, but not everyone will. Throughout my life of starting different ventures, I’ve come across what to do and what notย to do.ย These 12ย tips will help you make your dream of becoming an entrepreneur and building wealth a reality. So you’ve got the itchย to start up a business…ย Whatโs next?
Here are 6 things entrepreneurs should do and 6 mistakes entrepreneurs might easily make when starting up a new venture.
Do:
- Begin with the end in mind:ย This concept is shared in Dr. Stephen R. Covey’s book, “The 7 Habits of Highly Effective People.”ย Want to make a million? Write it down. Keep a record of your goals. Identify your target so you know where youโre headed.
- Find Your Business’s Value:ย There are three parts to this. First, know your unique strengths, or where you can add unique value to the market. Next, find your niche market for what youโre offering. And thirdly, of course, make sure people will pay money for this value!
- Stay Open to New Ideas:ย You wonโt just fall into riches and not every venture will succeed. Compile a list of at least 35 ideas to make a million dollarsโand keep brainstorming even after you’ve started a venture.
- Formulate a Business Plan:ย This is where you funnel all the work youโve done: crunch the numbers, structure your goals, and build a solid business plan. I personally like to use the Business Model Generation Canvas.
- Haveย an Exit Strategy:ย The simplest way to make $1 million is to create a business, or anย asset, that you can sell. Even though right now, this particular venture is all you can think about, you still need to have developed a strategy for how to get rid of it when/if the day comes. Successful people draftย their exit strategies before they open up shop.
- Build Systems and Scale Up:ย Pick a market that is either large or a market that has tangential markets to access. Put systems in place now so that you can accelerate your value and income later. Scale up and watch your funds grow!
Don’t:
- Try every thing that comes your way:ย Donโt jump at every โopportunityโ or tackle multiple ventures at once. Yes, it’s important to be open to ideas and to brainstorm. But you will do better to develop one thing well, and not five mediocre things.
- Start Ventures Half-heartedly: Instead of jumping on board a random idea or project without vetting it, you should invest your time, resources, and talents into something you love and will work hard for. If you aren’t 100% behind this venture, you won’t be able to inspire anyone else to be either.
- Start Without aย Clear Business Purpose:ย Ever heard of the โelevator pitch?โ An elevator pitch is something that not only helps you communicate to others, but also keeps you on track with your vision. Outline your goals and services and be prepared to concisely pitch your venture to investors and customers and yourself at a momentโs notice.
- Fail to Maintain a Low Overhead:ย At the start of your venture, and this is crucial to your success, it’s important to be frugal. Monitor and check expenses, forego needless and flashy items, and work at bringing down overhead.
- Require Too Much Money Upfront:ย Donโt doom your project by being dependent solely on investor capital. Scale down and simplify your idea to a manageable, early-stage venture. Create value before seeking investment!
- Refuseย to Get Out:ย Again, not every venture will succeed. The danger is ignoring when itโs time to walk away. Treat every failure as bought education and you’ll become a better, more successful entrepreneur. Mistakes help us evaluate what works and avoid what doesnโt next time.
Iโve made a lot of money in my life, but Iโve also lost a lot of money! This list is based off of my successes and my failures. But Iโm successful today because I used myย mistakes as a learning tool and allowed them to take me to the next level. Are you ready to join me?ย Following these tips will get you well on your way to a million-dollar business!
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