In Chapter Two of The Financial Times Guide to Starting a Business, I take you past the entrepreneurial mindset shift to an in-depth start-up audit designed to test your readiness for business ownership. Your idea is good – now let’s make sure you are ready for the rollercoaster of start-up life.
The commitment reality check
I believe in transparency. While this is undoubtedly a thrilling chapter of your own business book, chapter two of mine asks you to look at the nuts and bolts of your life before you sign a single contract.
- The time investment – Are you prepared for the step change that comes with being an owner rather than an employee?
- The support system – A start-up that thrives requires more than just your effort; it needs a foundation that will hold you up when things get difficult.
- The ‘why’ factor – Success comes from your inner purpose, your own personal reason why you’re doing this.
Caution: I could argue that if your ‘why’ isn’t strong enough, the inevitable knocks of business ownership will be much harder to overcome.
The skills gap: Learn, delegate, or outsource?
One of the most practical tools I offer in the Guide is the personal skills assessment. It’s time to be honest with yourself and identify and tackle the gaps in your skill set.
Put aside the inner saboteur, this exercise is about making improvements through either:
- Learning/honing the skills
- Delegating them elsewhere such as a staff member or AI
- Outsourcing to professional individuals who specialise in the area.
Financial truth-telling
More honesty… It’s not always an area business owners relish looking into, but you cannot build on a foundation of financial denial. Approaching your business numbers pragmatically is, I believe, the best way to identify positive action to influence your cash flow.
The Guide helps you identify the false sense of security that a monthly pay check provides and encourages you to plan and prepare for worst-case financial scenarios to ensure you can put contingency plans in place when the trigger is pulled.
Tip: Try consciously playing out the scenarios that could derail you, and writing down any precursors you identify, followed by trigger actions that could follow.
What is decision velocity?
A key takeaway from Chapter Two is the concept of decision velocity. Many potential business owners never launch because they’re waiting for everything to be just right. In life we’ve all asked ourselves, ‘Is it the right time to… buy a house, have a baby, go back to study, change jobs?’ Did you come to the conclusion that there is never really a ‘right time’ for those things? Waiting for everything to be perfectly in place before starting a business isn’t always a viable option for a new business owner.
Tip: Sometimes good enough is good enough for you.
So, are you ready for the startup audit?
If you’re ready to start your business, but the time isn’t ‘perfect’, is the time good enough? There are certainly times when it’s not a great idea to start a business, so go through the start-up audit to give yourself a reality check:
- Can you commit, now, and for the foreseeable future?
- Have you got the skills, or resources to acquire them?
- Do the numbers pan out?
- Are you confident you can make decisions that drive a step change?
Position yourself for entrepreneurial success
I have spent years as The Entrepreneurs Mentor, and I was honoured to be asked by The Financial Times to write The Guide to Starting a Business. I see it as the culmination of my years of experience, both in my own businesses, and helping others grow theirs, and I’m pleased to be able to share it with you now.
Build the readiness NOW, to start and to lead in business.
Get your copy of the Guide today
Ready to equip yourself with the ultimate entrepreneurial blueprint and take the full readiness audit? Order your copy of the Guide today and transform your approach to business.