Building a Business for Novices – Part I
When you are an entrepreneur, you embark upon a great adventure in order to create wealth for yourself and others. This adventure demands much upon the entrepreneur as it is a faith (read “risk”) venture. To start a business, you must believe in the business you are pursuing, believe in your abilities, and believe in the approach you are using to reach your goals toward a successful business.
I would like to compare it to building a house. One wise man said, “By wisdom a house is built, and by understanding it is established; by knowledge the rooms are filled with all precious and pleasant riches.” So, it is prudent to proceed wisely when it comes to building a business. I hope to provide some wisdom through this blog for the novice business owner.
So, if building a business is likened to building a house, then what can we learn from this analogy? First, you lay the foundation of the house… the bedrock, the support… that which keeps the life of the business standing upright. So, the foundation of a business consists of the core principles of running the business from the start. This is so important. As “weight” (additional workload and sales) are added, the foundation determines the ability to support these additions. Very simply, your beliefs, your character, your actions, your competence, your people skills, your management and your leadership will all be tested along the way. The truth is, some can only go so far based upon the foundation they laid.
For me faith in God is a requirement because of the spiritual direction I gain from God through Jesus Christ in the process of building my business. I would say this faith is the “cornerstone” of the foundation for my business; it is the measure by which everything else in the foundation is evaluated. Consequently, I am suggesting that your belief system will be the cornerstone in your business foundation. Whatever you believe will have influence in how you pursue your business goals.
Related to this foundation is also the capitalizing requirement in starting a business. Some businesses in the service industry require little initial capital, other than the means to live while starting the business and making it profitable. Other types of businesses including those selling services and products require varying amounts of capital outlay for equipment and/or inventory and other start-up costs to begin the business. Consequently, wise capital options are necessary, and a business plan is thus a requirement to get funding. Regardless of Capital needs, a business plan should be part of the foundation in the starting of any endeavor. The business plan answers the question about how you plan to create wealth with the operation of your business.
I will continue “Building a Business for Novices” in the next blog.