Live Long and Prosper
August 3rd, 2010 by kara
In business, there is a 50% survival rate in the first five years. How many entrepreneurs would have chanced their future if they knew their odds were the same as a coin toss? Only 25% of the surviving 5-year businesses make it to the 10-year mark. Is there a way to dramatically increase the odds of success and longevity? Yes! The businesses that make it to their 10-year anniversary have four common traits.
Passion
The long-lived business owner has a deep passion for their work.
Passion is rooted in values, strengths and tasks. The mom who casually snapped photos of her kids who then blossomed into professional photographer sustains a business because she uses her values and strengths, and thus loyally carries out the tasks needed through the ups and downs of business.
Her value of self-expression drives her to bring out a subject’s essence through her lens. The strength of her style and lighting sense let her instinctively line up shot after amazing shot.
Balance
The owner that prospers has mastered the importance and how-to’s of balancing their work and personal lives.
It’s easy to say yet balancing these is a common struggle. Some owners choose more play over work; therefore don’t put in the time needed create a profitable venture. While others work too much, spending little time engaging in their personal life. Focusing too much on either side will eventually diminish your profits or passion for your craft.
Management
The entrepreneur that has mastered quality management leans on it to take their days in stride.
Quality management is having 1) the ability to make logical and calm decisions, 2) the education and skills needed and 3) a robust shared system to manage tasks. Lacking just one of the elements, your management quality will be shaken, as will your longevity. For instance, if you make emotionally driven decisions—rather than logical and calm decisions—when business cash is low, your company will suffer.
Plan
The owner that practices an annual planning process thrives.
A plan does not mean developing a detailed book that spans 10-years. It means that you have created at least a one-page plan about where your business is going this year.
A solid plan is balanced. If all of your plans relate only to sales, eventually one of the less-attended areas will bring down the company. A sound plan also goes beyond objectives (i.e. increase sales by 15%). It answers how, who, when, why, and where: “To increase sales by 15%, I am going to teach five workshops this quarter with my assistant’s help.” (Where is the area of the company affected which in this case is Sales.) The Why of your plan is the always the same: Because it is the most financially sound decision that honors the business purpose.
Focusing your Enterprise on these four keys—Passion, Balance, Management and Plan--will let you boldly go where no business has gone before.
Post new comment