As anyone who studied business knows, there are many types of businesses. We’ve all heard the statistic that most businesses fail within their first year, and that can be daunting. However, I believe the secret sauce for running a successful business is to have a purpose. If you understand your “why” behind what you’re doing, your work becomes more important. You’re not just selling stuff that doesn’t have value, you have a specific avatar in mind whose life will be improved because of your product or service.
Finding the Purpose Behind Your Business: What is your “why”?
The Entrepreneur’s Purpose
There are many reasons people become entrepreneurs, but the main one is that they believe they can offer something to the market that isn’t already there. Entrepreneurs are driven by their passion to be different and offer the best product or service on the market. Being an entrepreneur incurs a lot of risk, so their “why”, or purpose behind their business must be strong enough to outweigh the costs.
The Coach/Teacher’s Purpose
I founded WealthBuilders because a lot of my friends and colleagues came to me asking for professional advice. They wanted to know how to buy and hold real estate, or how to start a successful business. I knew that I could scale this teaching to a higher level so I could reach more people.
I tell the story often about how God taught me building wealth wasn’t just about building bigger barns for myself. It was about helping others build bigger barns for themselves, and I knew I had to start teaching what I had learned. The teacher is driven by their desire to share their knowledge and help others rise.
The Service Oriented Purpose
This type of business is driven by their desire to serve people in a specific area. For example, a shoe company could be driven to make the best shoe to serve runners. This shoe reduces injuries and is light enough to be easy to run in. That is their purpose.
Service Oriented Businesses can also be non-profits. The purpose here is to serve people, not profit.
David Briggs and I co-founded Tricord Global because we knew there were many entrepreneurs in Uganda, but their biggest hurdle was finding capital. We provide investment capital for these entrepreneurs as well as provide a 4-8% return on our investor’s funds.