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Advice for starting a business


Destructo
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For those of you whom have turned your passion into a business, or just started your own business from nothing, what advice would you think is valuable information to pass along to those who are considering taking the plunge?

 

- How long did it take you from concept to day 1?

- What held you back? Was it for good reason? Did it turn out to be nothing?

- Did you end up moving onto something else?

- Did you fail? How'd you react?

 

We're in the mental concept creation and discussing with the future partner stage right now, so just trying to use some of the advice and experience others have had.

 

Thanks!

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- Don't have a business partner if possible.

 

- If you need to borrow money, get 30% more than you think you need.

 

- You can be great at the business and terrible at finding and maintaining staff and you'll fail (or you won't grow). Make sure you're good at HR or hire someone who is good.

 

- Make an organizational chart that outlines all of the possible positions in your business, and look to staff them incrementally (phasing yourself out), until the only position you hold is the one at the top of the chart. This way you have something to work toward each month, quarter, and year, to gradually move toward a company that runs itself.

 

- if you're dealing in contracts, make sure you have good attorneys

 

- If you have an IP or other concepts or methods you've come up with, make sure you get an attorney to draw up a quality non-compete and NDA for employees to sign.

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For those of you whom have turned your passion into a business, or just started your own business from nothing, what advice would you think is valuable information to pass along to those who are considering taking the plunge?

 

- How long did it take you from concept to day 1?

- What held you back? Was it for good reason? Did it turn out to be nothing?

- Did you end up moving onto something else?

- Did you fail? How'd you react?

 

We're in the mental concept creation and discussing with the future partner stage right now, so just trying to use some of the advice and experience others have had.

 

Thanks!

 

No business partner unless you are happy to lose money to said partner!

 

In my personal opinion business is very instinctual I was asked by so many the questions you asked above and I don't really know how to answer them maybe I should sit down one day and think about it.

 

Personally I have no fear of failure because I believe 100 % in my decisions once I make them, I take my time analyzing my decisions and I do it very carefully, once the decision is made I have no regrets, 100% full steam ahead, do not take no for an answer, find alternative solutions to reach your goal if you encounter obstacles, eyes on the prize and do not let anything deter you.

 

The thing that gives me all the comfort I need in any transaction I go into is my worse case scenario situation, once I establish that set point I make the decision commit 100% and so far I've never failed.

 

I believe this is more of a personality trait than something which I can teach somebody, I react, change, adapt according to the situation at hand and the obstacles I encounter IMO that's unteachable, it is instinctual!

 

Good luck in your endeavors!

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I believe this is more of a personality trait than something which I can teach somebody, I react, change, adapt according to the situation at hand and the obstacles I encounter IMO that's unteachable, it is instinctual!

 

Not only is it hard to teach, and some people just don't have the mindset for it, in my experience our (US Based) education system is highly deterrent to that style of thinking. Everything they teach is how to be a good employee, not how to innovate, be a leader, and make your own way.

 

I will say it can be learned, but it almost has to come from personal experience through trial and error. It seems to be a very difficult thing to learn via mentoring unless you're constantly exposed to it over many years via family businesses, etc.

 

Take that for what it's worth, as I am not a "business owner" aside from a few income producing real estate ventures.

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- Don't have a business partner if possible.

 

For one venture he is needed. He is the talent, I'm the pusherman ;)

 

- If you need to borrow money, get 30% more than you think you need.

 

Funding for the joint venture is secured internally for the time being, the solo venture requires such little amount of capital to begin I can cover it out of pocket.

 

- You can be great at the business and terrible at finding and maintaining staff and you'll fail (or you won't grow). Make sure you're good at HR or hire someone who is good.

 

For the joint venture, it won't require staff beyond the two of us for some time. I take comfort in that. But when we do need additional people, I am confident in picking a team that is both talented and trustworthy, otherwise I'm not afraid to fire someone if they are costing me money without good reason.

 

- Make an organizational chart that outlines all of the possible positions in your business, and look to staff them incrementally (phasing yourself out), until the only position you hold is the one at the top of the chart. This way you have something to work toward each month, quarter, and year, to gradually move toward a company that runs itself.

 

I like that idea. Definitely something I'll be working on.

 

- if you're dealing in contracts, make sure you have good attorneys

 

Excellent advice.

 

- If you have an IP or other concepts or methods you've come up with, make sure you get an attorney to draw up a quality non-compete and NDA for employees to sign.

 

Thankfully we aren't inventing the wheel but offering services that are not IP protected. Granted, down the line something may develop out of it, but for the time being it won't be an issue.

 

Thanks for the advise!

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No business partner unless you are happy to lose money to said partner!

 

Agreed. For the joint venture it requires him as he is the talent. I'm just the idea and pusher man. ;)

 

In my personal opinion business is very instinctual I was asked by so many the questions you asked above and I don't really know how to answer them maybe I should sit down one day and think about it.

 

Sounds like a book is in order. Could make you millions ;)

 

Personally I have no fear of failure because I believe 100 % in my decisions once I make them, I take my time analyzing my decisions and I do it very carefully, once the decision is made I have no regrets, 100% full steam ahead, do not take no for an answer, find alternative solutions to reach your goal if you encounter obstacles, eyes on the prize and do not let anything deter you.

 

That's a good mindset to have. I often find too many scenarios for failure and let that make me gun shy. It's something I'm working on getting over. My constant need of perfection sometimes is a hindrance from starting. I used to be full-steam ahead regardless of what was out there, but as i got older I lost that edge, I'm trying to find it again.

 

The thing that gives me all the comfort I need in any transaction I go into is my worse case scenario situation, once I establish that set point I make the decision commit 100% and so far I've never failed.

 

I'm part way there, i think of the worst-case scenario and often the "fear" instilled from that will hold me back. Once again, something i'm working to overcome.

 

 

I believe this is more of a personality trait than something which I can teach somebody, I react, change, adapt according to the situation at hand and the obstacles I encounter IMO that's unteachable, it is instinctual!

 

It is something that can be taught, but just as easily lost if it's not an innate trait in a person.

 

Good luck in your endeavors!

 

Thanks!

 

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Not only is it hard to teach, and some people just don't have the mindset for it, in my experience our (US Based) education system is highly deterrent to that style of thinking. Everything they teach is how to be a good employee, not how to innovate, be a leader, and make your own way.

 

Exactly. College while helpful for my career did nothing for the entrepreneurial spirit I had going in except for suppress it. It's a long road to reignite the fire again, but the coals are glowing more.

 

I will say it can be learned, but it almost has to come from personal experience through trial and error. It seems to be a very difficult thing to learn via mentoring unless you're constantly exposed to it over many years via family businesses, etc.

 

Mentoring is something I've always tried to find, but can never find someone that is willing to invest the time with me for it. Which is VERY frustrating.

 

Take that for what it's worth, as I am not a "business owner" aside from a few income producing real estate ventures.

 

Experience is experience, and that is worth more than you'll know.

 

Thanks for the help!

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No business partner unless you are happy to lose money to said partner!

 

In my personal opinion business is very instinctual I was asked by so many the questions you asked above and I don't really know how to answer them maybe I should sit down one day and think about it.

 

Personally I have no fear of failure because I believe 100 % in my decisions once I make them, I take my time analyzing my decisions and I do it very carefully, once the decision is made I have no regrets, 100% full steam ahead, do not take no for an answer, find alternative solutions to reach your goal if you encounter obstacles, eyes on the prize and do not let anything deter you.

 

The thing that gives me all the comfort I need in any transaction I go into is my worse case scenario situation, once I establish that set point I make the decision commit 100% and so far I've never failed.

 

I believe this is more of a personality trait than something which I can teach somebody, I react, change, adapt according to the situation at hand and the obstacles I encounter IMO that's unteachable, it is instinctual!

 

Good luck in your endeavors!

:iamwithstupid: and whatever business you are getting into, you better know your competition better than they know themselves. and study the industry/market inside and out. (know what your getting into)

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:iamwithstupid: and whatever business you are getting into, you better know your competition better than they know themselves. and study the industry/market inside and out. (know what your getting into)

 

Also sound advice. Thanks!

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My only advice would be to go into a business where there is the potential to make millions not just a few hundred thousand. I see alot of people around me aiming low when there is alot more potential.

 

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  • 2 weeks later...

I certainly understand all the statements above about not having any business partners. But, how do you handle web based start-ups? In some cases you need someone to manage server(s), someone to manage database(s), programmer(s), etc, etc. There are a lot of start-up forms for stock ownership (in the company) and vesting that are supposed to help prevent issues, right?

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Camaro97- All your server and web work would be outsourced easily for pennies through sites like Elance and Odesk. Its all fairly strait forward. No reason to give up ownership for the easy stuff.

 

Swing over too thefastlaneforum.com and read all you can. Its a great site in with many like minded business guys from all walks of life. I think the founder is a member here as well (mjdemarco)

 

Mods - if that link violates board rules please remove it.

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Camaro97- All your server and web work would be outsourced easily for pennies through sites like Elance and Odesk.

 

I recently let go of my entire web team. I would be interested in using some of the people off of these sites. Has anyone used anyone from these sites? I have an office in Chennai and maybe I could get one of those guys to work from my office there.

 

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