“Would you like me to give you a formula for success? It’s quite simple, really: Double your rate of failure. You are thinking of failure as the enemy of success. But it isn’t at all. You can be discouraged by failure or you can learn from it, so go ahead and make mistakes. Make all you can. Because remember that’s where you will find success.”
–Thomas J. Watson, past Chairman and CEO of IBM
Simply put, failure is a reality when it comes to the business world. And the only way to manage failure is to learn from it. Being an entrepreneur in today’s business world not only requires patience, creativity, and courage, but also a hefty dose of tenacity and positive thinking. The secret to achieving success and managing failure is being a smart and savvy entrepreneur. But what does this look like? Let’s take a closer look:
Paying attention to your competition: Business owners must understand exactly what their customers want and need, as well as recognize the competition and what their products and services look like.
Always try to learn from the successes and failures of others. By keeping track of your competitors, and monitoring their sales and marketing tactics, you can gather information on how to improve your own business efforts and learn about opportunities to expand your offerings.
Concentrating on being motivated and truly committed: Successful entrepreneurs must consistently think about the potential payoffs, as well as the risks. Understand the need to commit to your business, in addition to the time and drive it requires.
Focusing on your rate of growth: Instead of scaling too quickly, consider developing your business on a small scale. For example, some entrepreneurs begin by selling to friends and family as a first step.
Developing a comprehensive, detailed business plan: A business plan is vital in helping you target customers and seek out funding. These plans not only create the foundation for your business, but they provide direction and can entice investors and potential business partners. A business plan should include the following:
Executive summary – a clear snapshot of your business
Company description – describes what you do
Market analysis – research on your industry, market and competitors
Organization and management – your business and management structure
Service or product – the products or services you offer
Marketing and sales – how you will market your business and your sales strategy
Funding request – how much money you will need for the next several years
Financial projections – information, such as balance sheets
Appendix- an optional section that includes credit histories, licenses, résumés and permits
Building a talented and versatile team: Because you can’t run every aspect of the business, it is very important to develop a strong team that can help you. Find experts who can assist you in creating a strong, sustainable business.
Leading effectively: Employees are vital to your business growth. To help cultivate talent and build strong teams, you should keep employees happy and engaged; help employees grow; foster consistent training; build trust; promote from within; take charge and lead by example; inspire others; and encourage listening and brainstorming.
Considering new technologies: Since the beginning of the Covid pandemic, most companies have adopted work-from-home policies. As we enter into 2022, it is clear that remote (and hybrid) working is here to stay. As a result, project management, team collaboration, and conferencing capabilities are all vital to a successful virtual business. These tools allow employees to work from anywhere, while also collaborating, brainstorming and working together as a team. Below are several tools that can help any virtual office improve their communication efforts:
Team Collaboration: Trello, Divvy HQ and Confluence
Project Management: Asana, Trello, Divvy HQ and Basecamp
Conferencing: GoTo Webinar, Zoom, WebEx and Google Hangouts
Making Realistic Business Projections: There is no question that having an optimistic and positive outlook are extremely important for entrepreneurs. However, equally important is the need to be sensible and realistic. Try not to overestimate your potential revenue and underestimate your business costs. Having realistic projections about costs and revenues can be the difference between success and failure.
Understanding the Need to Delegate: While it is common for entrepreneurs to see themselves as multi-talented, every human being has strengths and weaknesses. In addition, there are only 24 hours in each day. As a result, it is vital for entrepreneurs to think of delegation as a benefit to the business. Consider outsourcing specific job functions and tasks, such as personnel, marketing, IT, advertising, website and social media, legal, and accounting; invest in software that streamlines your day-to-day job duties; or think about bringing on additional employees.
Launching a new business is full of triumphs and disappointments, but entrepreneurs must learn to celebrate the successes and manage the failures. After all, in the words of American businessman Thomas J. Watson: “Failure is a teacher; a harsh one, but the best.”
When starting a business, it’s beneficial to form your business earlier rather than later. We can help you incorporate your business properly to ensure you’re on the path to long-term growth and success. Start your NEVADA LLC online or we can help you get started by contacting us at 800-508-1729. We’re here every step of the way.
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