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Entrepreneurship Archive

Gaspedal.com

Go big or stay small?

image I shared some entrepreneurial advice in a Fortune Small Business story by Emily Maltby:

... [If] you are struggling with the decision of quitting your day job to pursue this full time, a dilemma that many young entrepreneurs face. "You need to make a lifestyle choice," Sernovitz says. "Either remain as a small boutique with high prices and few customers, or build a big business with many employees to manufacture the products." But be prepared to take on a different role if you do the latter. "Instead of being a craftsman, you will be managing the people doing the work," Sernovitz explains.

Read the full story here.

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Entrepreneurial Adventure

You hear this phrase often from real entrepreneurs: 

"My latest entrepreneurial adventure"

Not venture ... adventure.

Here's a clue to all those considering starting your own thing:  If you can't describe it as a fun, exciting, life-changing adventure -- don't do it.

Same advice goes for you experienced entrepreneurs -- if it's not still an adventure, it's time to move on.

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The Shortcut

I wish I wrote the following ... but Quinn McDonald said it better. I get a call like this every day. (Read the original full post here.)

The voice on the phone could have been any business call I get in the course of a day.
“I’m an artist, and a coach, and I teach business communications.”
“Great,” I say, and almost always, I know what’s coming.
“I’ve noticed on your website that you teach journaling classes, even incorporate them in business seminars,” the eager voice says.
“You are right,” I say waiting for the next question.
“Well, I’m having trouble getting a lot of people in my class. And you’ve had this up on your site for a while. So you must be doing something right. Can you give me some tips and shortcuts so I can be successful?”
It’s seldom that I am at a loss for words, but this is a sure way to make me speechless. Lacking understanding, I aim for clarity.
“I’m not sure what you want me to tell you,” I ask, although I’m beginning to think I do.
“I want you to give me shortcuts and tips to be successful,” the voice says.
“What are you doing now that works?” I ask.
“Well, I’ve been a coach for about six months and word of mouth isn’t working,” she says.
“Word of mouth is a method that comes after there are enough happy mouths to talk about your work. Word of mouth takes about four years to work,” I say.
“What? That can’t be. Look at all those people on the internet, and their sites, and all the ones that get thousands of orders overnight,” she says, what about them?
“I don’t know about them,” I answer honestly, “Here’s what I can tell you about my success. I work 120 hours a week, divided over 7 days. I make mistakes, I fail, I figure out what went wrong. I do something else. I advertise, I use every opportunity I can find, some work better than others. I don’t have a secret, and I don’t know any shortcuts.”
The voice at the other end of the phone is quiet.
“You won’t help me. Women are supposed to help each other,” she says.
“I am helping you. I’m telling you from my experience that there is no shortcut. I can give you tips, though.”
“OK, she says, GO.”
“Keep track of what works.
Listen more than talk.
Ask questions.
Go “huh?” a lot and wonder why.
Advertising takes longer to work than you think it should.
Run ads at least 7 times before you expect them to work.
Have a clear idea of what your business is about.
Know why what you do is different from what other people in the same line of work do.
Know what your features and benefits are, be ready to explain them.
Most people know features really well, but explaining the benefits of your service is the key to success.
Don’t ever undervalue yourself, but understand that value is a relative thing.
Don’t think everyone in your audience is rich, and don’t plan on having just rich people for an audience.”

Those are the best tips I know.
“Oh.” She sounded disappointed. “So you won’t share shortcuts.”
“I can’t,” I say, wishing I had some myself. I’m not pushing 50, I’m dragging it, and I wish I had discovered some shortcuts.
“Can I ask you another question?” the voice asks.
“Sure, go ahead. If I know the answer, I’ll tell you.”
“Do you know someone else, maybe someone famous, who’ll share their shortcuts with me?”

Nicely said, Quinn.

These are the shortcuts I know:

  • Work your ass off
  • Try everything. You never know.
  • Repeat what works. Stop doing what doesn't work.
  • Make lots and lots of friends.  You never know who can help you someday, so help them first.
  • Read everything you can get your hands on, from people who aren't like you.

As long as I'm at it, here is the secret shortcut to losing weight:

  • Eat less crap
  • Exercise more


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Psychological secrets of successful entrepreneurs

Startup250 Entrepreneurs old and new ... check out this column I wrote for Center Networks about some of the emotional tricks necessary to win the startup game.  They running a month-long series of smart guest columns.

Andy's Tips - Psychological Secrets of Successful Startups

In the end, it's not brains, or good ideas, or money that make an entrepreneur successful. Plenty of people have those. It's your positive attitude, guts of steel, and refusal to believe that you won't succeed. I've advised hundreds of startups -- and the winners all learned these 10 lessons:

  1. Customer service first. Take care of the people who give you money. Everything else grows from here.
  2. Ethics matter. There is no undo for dishonest behavior. It will haunt you later.
  3. Borrow brains. You aren't smart enough to succeed on your own. Surround yourself with mentors, advisors, and winners. Read everything. Grab every idea you can get your hands on.
  4. Recognize busy work and distractions. Many good startups have starved while they designed the perfect office, logo, and vision statement. Get to work

Read the rest here

Thanks to Allen Stern for the opportunity!

I used to write a lot more about entrepreneurship in the dot com days, when I ran a incubator and taught Internet Entrepreneurship at the Wharton School of Business.  Readers: Do you want more of this?

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Hey, Entrepreneurs: TAKE A DAY OFF!

Dear Entrepreneur:

It's a holiday weekend. 

You need to turn off your computer, take a deep breath, and relax for a few minutes.

Why?

  1. Everyone else is relaxing.  Don't be bugging them with emails over the holiday.
  2. Your job is to convince people that you are a "real" CEO of a "real" company.  It's hard to look big and established when you also look like the junior staffer who has to work weekends. 
  3. You need to rest.  You may think you are doing a good thing when you're working 24/7. You're not. You're getting tired, slow, and unfocused.  A few days of recharging is essential.
  4. You need to think. Your job at a startup isn't to do the gruntwork. It's to steer the ship through a changing environment (and to be clever). Exhausted people aren't clever. This means that your brain is more valuable than your labor.  Hire an intern, free your time to think.

At this point you're telling yourself that you're just too busy to stop right now.  You're wrong.  It's a marathon, not a sprint.  If you don't believe me, ask successful CEOs of big companies.  Don't ask your fellow in-the-trenches startup freaks.

Now do this: Start --> Turn off computer --> Shut down

--

Special thanks to BazaarVoice CEO Brett Hurt, who just emailed me from Hawaii.

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