10 Lessons Learned LESSON ONE: PREPARE TO FAIL I know, I know, this goes against every motivational book you read and all the tapes you listened to preparing yourself for your business launch. It is imperative that you listen to this lesson and any good attorney will tell you the same. Look, if you start from the bottom the only way you can go is up, right? And each success puts you further up the ladder. More importantly you are protecting yourself from day one. "Prepare to Fail" means have your business set up correctly, seek the advice of a smart attorney and either start out as a Corporation, an LLC, or some identity that will protect you and your family if something happens with your business. If you use this basis in all your dealing with investors, every contract you put together is protecting you if your business doesn't succeed. You will be thankful many times over that you did. LESSON TWO: HAVE A QUIT PLAN Never give up! However, there is a point where you have to agree that you will quit when things are not working as planned. It's better to set the quit plan upfront when the business begins then try to adjust when you are into it. This is imperative if you have a wife, husband or family. THEY ARE MORE IMPORTANT THAN YOUR BUSINESS!!!! It's true you might be making incredible improvements to a product or service, and that your business will change the world. However, there is nothing more important than your family or friends. You must set a quit plan from day one with all of them. A quit plan simply means when you have reached a specific point of investment or time when things are not working as planned, that all agree to walk away, liquidate, close doors or sell the business, period. LESSON THREE: CHOOSE YOUR PARTNERS CAREFULLY! I once had a business that was growing tremendously, I was young and naive and was approached by two "outstanding citizens" in the community. They wanted to help me grow the business and offered their services on a delayed billing plan. Being naive, I jumped at the chance not knowing they had one goal in my mind - to get me out, and and take over the company. The business failed because of legal battles. Whenever you think of bringing someone in take a breath... step back... and review the situation. What is the value of them coming in? Would it be better if you did it on your own or hired someone part time? Check their references. Are they easy to work with? Do they know your business? If you bring a partner into a business it is no different then a marriage! Seriously, it is that deep a relationship. In a good marriage there is give and take, compromise, teamwork, loyalty, dedication and empathy. A good management team is required for your success! Chances are if you are an entrepreneur you will need business partners that will balance you out. You probably are the sales and ideas person and you need someone to handle the growth, day to day operations, and financial matters. Sit down with the individual you want to bring in, get to know them well. Tell them your goals, your strengths and what you need their help with. Be honest and open and see if they are as well. Then when you do bring them in, follow what you agreed with them: LET THEM DO THEIR JOB! LESSON FOUR: HAVE A MENTAL CHECK UP! Any kind of mental illness can affect your functionality as a business owner. Get it checked first! Are you ADD, Bipolar, Afraid of Public Speaking, Suffer Panic Attacks, Can't handle Stress? Well my advice is either treat these things before you start a business or your chances or success for will diminish greatly. LESSON FIVE: NOTHING IS REAL UNTIL IT IS It's that simple. You can project numbers all you want, you can prepare for that great sale that is going to happen because you made such a great presentation, yet nothing is real until it is. Remember that! LESSON SIX: DON'T SELL YOURSELF TO YOURSELF Chances are you're a natural salesperson and can sell anything to anybody. You can convince yourself that this or that is going to happen therefore it's perfectly acceptable to spend that $5000 vacation on your credit card. Question yourself before you accept what you are saying as truth. You will definitely be able to sell anything to yourself so do some research before you believe it. LESSON SEVEN: LET SOMEONE ELSE MANAGE THE MONEY It's easy to think that you are never out of cash as long as you have a checkbook. Most entrprenuers don't understand forecasting, financial planning or tax consequences until it is too late. Make life easy, focus on sales! Give the money mangement to someone else to handle. LESSON EIGHT: HAVE FUN Why did you start the business in the first place? If you are not having fun, enjoying the freedom, building new relationships and loving what you are doing then sell the business. Get out. It's not for you! LESSON NINE: KEEP FOCUSED Keep your eye on the business plan you created and focus on what you do best and don't get distracted. Don't be tempted to over expand and move into area's that you are not familiar with. Limit your goals and keep things moving forward. LESSON TEN: LIFE GOES ON Okay, so in the end it didn't work and you learned a lesson. Congratulations, you are now getting closer to success. I learned a lot reading about the successful people I mentioned on my home page. All of them had great confidence in their initial venture. Yet it was at the point when things didn't work out and they lost it all that they finally made the necessary adjustments and grabbed the opportunity to achieve tremendous success. Now is the time to determine your next step; you won't fail if you learn and adjust. Readjust your direction, reinvent who you are and start again. John DeTitta