"Ways of Being a Successful Entrepreneur"
Chapter 1 Being an Entrepreneur Topic Page 7 Habits of Highly Successful Entrepreneurs 4 Tips to Help You Do It Instead of Dreaming About It 5 Are You a Guerrilla Entrepreneur? 5 3 Most Common Money Personality Types 6 5 Tips for Deciding if It’s the Right Time to Start Your Business 6 The 3-Step Success Plan 7 Entrepreneur Personality Checklist and Essential Qualities 8 List of Emotional Intelligence Factors That Complement Entrepreneurship 9 How to Use Your Subconscious Mind 10 Advice for Defining Your Business Goals 10 7 Effective Ways to Set Your Goals in Motion 11 8 Success Secrets for Entrepreneurs 12 3 4 Section 1. Covering the Basics 7 Habits of Highly Successful Entrepreneurs E ntrepreneurs tend to be involved in every aspect of their business, being the bookkeeper, marketer, human resources manager, mediator, customer liaison officer, and cleaner. The small- er the business, the harder it is for the owners to delegate these functions because they dislike spending any money. They fail to realize that if they invest their dollars wisely in accessing the right type of goods and services to grow their business and be more effective, they will see pos- itive changes occur over time. It takes time to build a good “business mindset.” People who grow their businesses successfully do the following: 1. Highly successful small business owners are great role models. They practice what they preach. They lead from the front. 2. Highly successful small business owners invest time and money in their team and themselves. They develop their people and themselves through personal and professional devel- opment. They utilize outside expertise, as the successful small business owner recog- nizes they do not have all the answers. 3. Highly successful small business owners are organized. They know how to manage their time and have systems in place, which enables them and their team to work effectively. 4. Highly successful small business owners are fit and healthy. They understand that having a healthy mind and body improves their productivity and general well-being. They realize that keeping themselves fit and healthy enables them to cope with the pressures of running a business. 5. Highly successful small business owners have a life. They make time for their personal life a priority because they know it makes them happier and more successful. 6. Highly successful small business owners look after their clients. They know that clients are the life-blood of their business. Without clients there would be no business. They ensure they continually look after them. 7. Highly successful small business owners are decisive. They are not afraid to make decisions and take action. They have to if they want to their business to thrive. Source: Lorraine Pirihi, “7 Habits of Highly Successful Small Business Owners,” The Organised Times, Vol. 7.12, June 2003, www.office-organiser.com.au/Newsletters/newsletter132.html. Chapter 1. Being an Entrepreneur 5 Tips to Help You Do It Instead of Dreaming About It Here are some smart tips from Valerie Young, author of the Changing Course newsletter, on the best way to stop dreaming—and start doing. Get the point of life. It’s short; if you don’t do it now, when will you? Get passionate. Most successful businesses are built on the entrepreneur’s passion. Get a grip on “it.” Young says “it” is what scares you—and “it” is different for everyone. Understand that fear comes with the territory. Get real. Know that it isn’t going to be easy. Get informed. Talk to people, join associations, and read everything relevant. Get ready. Set a target date, and create a plan to get you there. Get support. If you have a network, call on them. If you don’t, create one. Get going. Do at least one thing a day to advance your plan. Source: Rieva Lesonsky, 365 Tips to Boost Your Entrepreneurial IQ. Are You a Guerrilla Entrepreneur? Here, the original guerrilla marketer, Jay Conrad Levinson, shares the traits of a great guerrilla. ■ Guerrilla entrepreneurs, says Levinson, know the journey is the goal, but they know they are in charge of their businesses, not the other way around. ■ Balance is important to guerrillas. They build some free time into their work sched- ules and respect those leisure hours as much as their work ones. ■ Guerrilla entrepreneurs live in the present while remaining well aware of the past and enticed by the future. ■ Do you have a plan? Smart guerrillas do—they know who they are, where they’re going, and how they’re going to get there. And they re-evaluate their plans regularly. ■ Finally, Levinson says, guerrilla entrepreneurs are positive and upbeat. Sure, life may be unfair and problems always arise, but it helps to keep your perspective and sense of humor. Source: Rieva Lesonsky, 365 Tips to Boost Your Entrepreneurial IQ. 6 Section 1. Covering the Basics 3 Most Common Money Personality Types W hat’s your money personality? The three most common money personalities are achiev- ers, money master, and entrepreneurs. This is according to the book, Your Money Personality (Kathleen Gurney). 1. Do you seek challenges and consider money a scorecard? Entrepreneurial types are more interested in making the sale than in managing their money. 2. If the above doesn’t sound like you, maybe you’re an achiever. These people are more conservative, know how their money works for them, and trust no one else to take care of their finances. 3. Or are you a money master? “Value” is the key word here; money masters are bargain hunters, who always demand a cheaper price. You can change the negative parts of your money personality, but you have to set goals and be honest with yourself. Source: Rieva Lesonsky, 365 Tips to Boost Your Entrepreneurial IQ. 5 Tips for Deciding if It’s the Right Time to Start Your Business 1. When real customers are willing to pay real money for your product or service, you have a real business. Start with the fundamentals: Who are you and why should anyone care? If you’re not passionate about what you’re doing, then why should anyone else be? Every great business is built on a great story, so start telling yours to potential customers and see if they buy what you’re selling. Testing should always be done with real customers, not with family and friends (who may only tell you what they think you want to hear so they don’t hurt your feelings). 2. Create evangelists for your idea, and make sure they know how, where and why to buy from you. If you’ve already built a fan base for your new business, you’re one step closer to your grand opening. This set of people who support your idea will help you find your early customers. What are you offering and how does that stack up to the competition? Start creat- ing a sense of urgency to build demand for your product or service. What can you do to be the “have to have” instead of the “nice to have” in the category you’re entering? Chapter 1. Being an Entrepreneur 7 3. If the days (and nights) fly by and you have more ideas than time to address them all, you’re moving in the right direction. If you can’t shut off the stream of ideas you’ve got to make your business a success, it’s probably time to start acting on them. 4. When you believe in your core that a bad day on your own is better than a good day at your desk job, you’ve got nothing to lose. The important thing is to keep moving forward and learn from every experience. You can’t wait for the perfect time to launch; you just have to course correct as you get more feedback along the way. Being an entrepreneur means making decisions with- out perfect information. Get used to it—or find another career path. 5. If you’ve made it this far, you owe it to yourself to give it a shot. If I haven’t scared you off yet, you may be onto something. How do you get those early customers you can later reference? Ask for the order! People value things they pay for, so always charge a fee. Remember that your enthusiasm and curiosity will inspire others. Never give up on what you believe in. Source: Paige Arnof-Fenn, “Is It the Right Time to Launch Your Business?,” www.entrepreneur. com/article/0,4621,320154,00.html. The 3-Step Success Plan What’s the path to fame and fortune? Learn from the success of others. Here’s how to start your success plan. According to Michael Jefferys, author of Secrets of the Motivational Superstars, you must follow three steps: ■ First up, you need a written action plan detailing how you intend to achieve your goals. Remember: goals not written down are merely wishes. Your written goals are the road map to your success. ■ Never give up! Sure it sounds simple, but a lot of people throw in the towel before they should. To succeed, you must be willing to do whatever it takes. ■ And finally, don’t delay. You never know how much time you actually have to achieve your dreams, so you better get to it now! Source: Rieva Lesonsky, 365 Tips to Boost Your Entrepreneurial IQ. 8 Section 1. Covering the Basics Entrepreneur Personality Checklist and Essential Qualities ■ Are you ready to put your own house, other assets, and collateral on the line? ■ Are you a persuasive salesperson? ■ Do you possess confidence in yourself as well as in your business concept? ■ Are you able and willing to raise a significant amount of money from investors? ■ Have you evaluated your strengths and weaknesses? ■ Take an EQ test and measure your ability to work with people. Source: Rieva Lesonsky, Start Your Own Business. There are three essential qualities entrepreneurs all share: 1. A healthy cynicism: Successful business owners are not deluded by dreams, fan- tasies or illusions about how the world “oughta be.” They look closely at the world through their five senses, see what is really going on out there, and conform their behavior to the real world. They accept whatever they see at face value, without value judgments, and give people what they want—not what the business owners thinks they want. 2. Insecurity: In business, a little anxiety is a good thing. It helps you spot threats before they become serious and spot opportunities before your competitors do. It keeps you awake (often at night) and focused, always asking new questions, always doubting the conventional wisdom. When business owners get too comfort- able, decide they finally know what they’re doing and start running their businesses on cruise control, that’s when failures start to happen. 3. Chutzpah: As defined in Leo Rosten’s classic book The Joys of Yiddish, chutzpah is “gall, brazen nerve, effrontery, incredible guts; presumption plus arrogance such as no other word, and no other language, can do justice to.” Make no mistake. Successful business owners are tough, driven, determined, courageous, persistent, and fiercely aggressive in pursuing their goals. Source: Cliff Ennico, “Do You Really Have What It Takes?,” www.entrepreneur.com/article/ 0,4621,308119,00.html. Chapter 1. Being an Entrepreneur 9 List of Emotional Intelligence Factors That Complement Entrepreneurship Emotional Intelligence is a set of acquired skills and competencies that predict positive out- comes at home with one’s family, in school, and at work. People who possess these are health- ier, less depressed, and more productive at work and have better relationships. ■ Self-Analysis: Analyzes own emotions in different situations and states. ■ Analysis of Others: Recognizes how others are feeling in different situations and states. ■ Self-Expression: Expresses emotions and emotional needs appropriately for the sit- uation. ■ Discrimination: Recognizes feelings and emotions that point to dishonesty or manipulation. ■ Thinking: Uses feelings and emotions to redirect or prioritize thinking. ■ Judgment: Uses feelings and emotions to facilitate judgment and decision making. ■ Sensitivity: Capitalizes on mood changes to appreciate multiple points of view. ■ Problem Solving: Uses emotional states to facilitate problem solving and creativity. ■ Symptoms: Can spot the clues and warning signs of common emotional states. ■ Outcomes: Perceives the causes and consequences of positive and negative emo- tions. ■ Complexity: Understands complex feelings, emotional blends, and contradictory states. ■ Transitions: Understands transitions among different feelings and emotions. ■ Openness: Open to pleasant and unpleasant feelings and emotions. ■ Monitoring: Monitors feelings and emotions and reflects on implications and meaning. ■ Others: Handles others’ feelings and emotions sensitively and effectively. ■ Impression Management: Pattern of responses consistent with socially desirable responding. ■ Reading People: Identifies own and other people’s feelings and emotions. ■ Using Emotions: Uses feelings and emotions to facilitate thinking and problem solving. ■ Understanding Emotions: Understands how emotions operate and affect behavior. ■ Managing Emotions: Monitors feelings and emotions and knows how to control them. Source: MySkillsProfile.com, “Rapid Personality + Eq Questionnaire,” www.myskillsprofile.com/ tests.php?test=23, and “EIQ16 Questionnaire,” myskillsprofile.com/eiq16_sample_report.pdf, p. 8. 10 Section 1. Covering the Basics How to Use Your Subconscious Mind T he programming tool for unleashing the full powers of your subconscious mind is definition of purpose. The clearer your picture of what you want, the more activity you inspire inside your subconscious system. There are three main ways to put this to work, and they all involve writing: ■ Continually develop your goals in writing. Paul Meyer, founder of the Success Motivation Institute, says, “If you are not making the progress you’d like to make, it is probably because your goals are not clearly defined.” There is power in continually sharpening the definition of your goals on paper. Clarity is power. ■ Write out your business plan. A written, detailed business plan combines goal set- ting, action planning, and problem solving. It makes ideas believable. ■ Create and use daily checklists. Have some organization in your day: see where you need to go and what you have done. These three action steps have great practical value, but they also serve to communicate to your subconscious mind, in an organized manner, the seriousness of your objectives. Source: Dan Kennedy, No B.S. Business Success: The Ultimate No Holds Barred Kick Butt Take No Prisoners Tough & Spirited Guide (Entrepreneur Press, 2004), pp. 188-189. Advice for Defining Your Business Goals 1. Be specific in what you want for your business. 2. Be optimistic and phrase your goals in a positive manner. 3. Be realistic with your goals. 4. Look at the short term as well as the long term. 5. Consider how much income you want to make during your first year of operation. 6. Consider a balance of life, leisure, and work. 7. Look at which type of setting is most comfortable for you to work in. 8. Watch out for your ego and be honest with yourself and others. Source: Rieva Lesonsky, Start Your Own Business. Chapter 1. Being an Entrepreneur 11 7 Effective Ways to Set Your Goals in Motion 1. Stop seeking approval from people. You don’t need anyone’s permission to fulfill your dream. Trust yourself and give yourself permission to succeed. Having support from people whose opinion you value is a wonderful thing but it should not be the criterion for whether you begin acting on fulfilling your goals or not. If you really desire to turn your idea into reality, constantly floating it around and seeking the approval of people will waste your time and kill your dream. What will happen to your idea if you don’t get the approval of those whose permission you so desperately need? Nothing! 2. Don’t wait for perfection. Waiting for a time when everything is perfect and in place will cause you to lose your enthusiasm and abandon your goal. Conditions may never be as perfect as you desire. You may never have all the money, time, or knowledge you desire to begin working on your goals. You must take risks, learn and improve as you go along, and then watch as every- thing begins to fall in place. If you have to wait for the perfect time to begin working on your goals ..., you will be waiting a long time! 3. Create time for the goal. Many people have dreams, ideas, or goals, which remain unfulfilled because they are too busy doing everything else but work on the goal! If you have a goal to achieve, you must be ready to invest your time and resources to ensure that it succeeds. Making excuses about lacking the time to work on goals that are important to you is a procrastination tactic, which will kill your dream before it has a chance to see the light of day. There is always time to work on what we love and consider important. Create that time and see your dreams begin to unfold! 4. Decide once and for all! The process of goal achievement, like most things in life begins with a decision. You decide what you want to achieve and then you plan how you intend to achieve it. If achieving your goal is important to you, your inability to make crucial decisions about what you should do, how you should do it, and when you should do it will waste your time and choke your dream. Make up your mind and stop second- guessing yourself. When your mind is made up . . . , nothing can stop you from mak- ing progress with fulfilling your goals. 5. Be bold and take the initiative. Be bold! You are the one in charge of turning your dreams to reality. You need to be proactive and actively involved in the process of working on your goals to ensure you achieve them. 12 Section 1. Covering the Basics Just because you have shared your ideas with others does not necessarily mean that you are no longer responsible for turning them to reality. Don’t sit around wait- ing for others to make suggestions and guide your idea to reality. Don’t leave your dream entirely in the hands of others. Nobody cares about your dream like you do. 6. Invest in your dream. No idea is self-funding. Don’t be deceived into thinking that people will invest or finance your idea just because it is brilliant. If you are lucky, someone may invest in it, but if you are not, you will have to invest your time, energy, and finances towards activities that will fortify and fulfill your dream. You may have to invest in the acquisition of knowledge or expertise that will help you achieve your goals. It would be a good idea to keep some money stashed away to finance your goal. 7. Do one thing at a time. Commit yourself only to projects and activities that are connected to your main goal. Whatever you do should directly or indirectly add up to a move toward your main goal. Failure to do this will confuse, overwhelm, sidetrack, and drain your energy. To get started on achieving your goals, you need to plan for it and make it a pri- ority. If you keep crowding and cluttering your life with what does not matter, you many never, ever achieve your goals. Remember that you can’t do all things, but you can do one thing! Source: Caroline Jalango, “7 Effective Ways to Set Your Goals in Motion,” www.motivation- zone.com/13901.html. 8 Success Secrets for Entrepreneurs 1. Success Secret #1: Take 100 percent responsibility for your life. In a society where people blame everything from their parents to the government for their failure to get ahead in life, these men and women refused to buy into the men- tality that says, “I could succeed if only it weren’t for _____.” Successful people don’t buy into this victim thinking. Taking 100 percent responsibility for your life is one of the most empowering things you can do for yourself. 2. Success Secret #2: Live your life “on purpose.” The difference between living your life on purpose and not living it on purpose is like night and day. The latter consists of simply getting through the week with the fewest problems while expending just enough effort to get by. But, when you live your life on purpose, your main concern is doing the job right. You love what you do—and it shows. Your conviction is as evident as it is persuasive. And you will find that people want to do business with you because they sense your commitment to giving your all. Chapter 1. Being an Entrepreneur 13 3. Success Secret #3: Be willing to pay the price for your dreams. Successful men and women find out what it’s going to cost to make their dream come true; then they find a way to make it happen. Most important, they don’t com- plain about the work it takes to achieve their dreams. You can get practically any- thing you want in life—if you are willing to pay the price. 4. Success Secret #4: Stay focused. Every day, we are bombarded with hundreds of tasks, messages, and people all competing for our time. This is why the ability to focus on your goal is so critical to achieving it. Focusing requires giving up some things in the present because you know the time invested will pay off big-time down the road. Spend as much of your day as you can focusing on achieving your goals and dreams. Focusing is like any habit; the more you do it, the easier it gets. 5. Success Secret #5: Become an expert in your field. If someone followed you around at your business all day with a video camera to make a how-to tape for people who want to do what you do, would it be a tape you’d be proud of . . . or embarrassed about? If the latter, make the decision today to work toward being the best in your field. How? By studying the experts. The quickest way to become successful is to find out what the best are doing then do what they do. 6. Success Secret #6: Write out a plan for achieving your goals. Taking the time to write out an action plan, or map, for how you’re going to achieve your goals is one of the best ways to get there faster. Brian Tracy, one of America’s most successful business sales trainers and speakers, points out, “Goals that are not in writing are not goals at all. They are merely wishes or fantasies.” 7. Success Secret #7: Never give up. It may sound simple, even obvious, but when you’re truly committed to achieving your goal, giving up isn’t even an option. You must be willing to do whatever it takes to make it happen. 8. Success Secret #8: Don’t delay. We must remember that we don’t have forever. The clock is ticking, there are no time-outs, and sooner or later your number is going to be called. Top achievers know this, but rather than seeing it as something negative or depressing, they use it to spur them on to go after what they want as energetically and as passionately as possible. Source: Michael Jeffreys, “Power Up,” www.entrepreneur.com/Your_Business/YB_SegArticle/ 0,4621,226997,00.html.