So, you’re thinking of starting your own business. Good for you; it takes guts to get off the couch. This endeavor will prove to be your biggest challenge, but also promises to be your greatest achievement. Business ownership is not for everyone and when you decide to throw your hat into the ring, remember one very important thing: pick your advisory team wisely.
Entrepreneurial ego is often the difference between achieving new business operational status and simply spending time and money brainstorming a new business concept but never getting it off the ground. However, and this is a BIG however, entrepreneurial ego can also cloud your vision and decision-making. Let’s face it, if you have never gone into business before the difference between success and failure is knowing what you don’t know. This is where your team of business advisors comes into play.
Small businesses rely on a select team of proven professionals; people who know their stuff and know how to use it. Included in this assembled group of advisors is an accountant, lawyer, banker, and start-up business advisor. Eventually you will add marketing, website development and hosting, risk managers (insurance), and a litany of other specialty advisors; but not yet.
An advisory team, especially one that communicates with each other, is a rare species in the small business ecology, yet assembling such a group is one of the most important decisions you will make as an aspiring entrepreneur. So make these decisions wisely and use professionals who know their stuff.
For instance, use an accountant who does not simply look at data after the fact. Select one that helps you strategically decide what systems work the best and what metrics you need to make decisions. As for the lawyer, use one that understands the business start-up process and can offer guidance on how to avoid pitfalls. And when it comes to a banker, select one that shows a commitment to your company, and not just in terms of wanting to loan you money. Your banker must understand your business and be willing to leverage banking products and services that help you.
As for your start-up business advisor, the most important criteria in selecting this person is be sure to select one with a proven track record of starting, growing and operating small businesses. There is value in using a consultant who has consistently made payroll, and this ability should not be undervalued. There are plenty of pseudo entrepreneurial support entities who claim to have the ability to help, but be cautious. Just because they say they can do it doesn’t not mean they can, have and will.
Real Odds: Only 3,000 patents out of 1.5 million are commercially viable, according to Richard Maulsby, Director of Public Affairs for the U.S. Patent & Trademark Office.
Trade Secret: Many aspiring entrepreneurs believe there is abundant government money available to start a new business venture. This belief is simply not true. We suggest you do your homework and begin working with experienced professionals who have achieved entrepreneurial success themselves.
