There are only 3 things to consider before starting a business. 

There are only 3 things to consider before starting a business. 

There’s a lot of pressure put on young entrepreneurs. It’s the pressure to only build scalable startups, rather than focusing their efforts on any other type of business. You can see this almost everywhere. If you’re not building high growth software or platforms, you’re seen as wasting your time.

It’s snobbish. And it’s dangerous. It relies on the idea that there are some businesses that are inherently better than others. And they’re the businesses that have room to become $100,000,000 companies.

If you’re looking to start a business, there are really only three concerns that you have to think about. Only three.

  1. Will I make money?
  2. Will I be proud of what I’ve built?
  3. Will I enjoy the work?

I cannot stress enough the important of those three points. They sum up the only three reasons to get into a business in the first place. You want to turn a profit, you want to build an asset you’re proud of, and you want to enjoy yourself.

It’s really that straight-forward. There’s not a whole lot more that you need to consider before you take the leap.

The right business to build is the one you want to build.

I know an entrepreneur who is building an incredible service-based startup. They work in the professional services sector, and they are turning over huge profits, well beyond their overheads. He’s a sole founder, and a successful one. We’re talking millions in profit with no shareholders to worry about.

We talked over a few drinks recently, and the topic of scalable businesses came up. He told me that when he first started, he used to be hugely concerned about the fact that the only way to scale his business was by hiring staff and establishing satellite offices.

But he’d slowly realised that he loved his business. He loved what they were selling and the clients they were reaching. There was no point in trying to chase a growth factor of X, because he already had sustainable growth in his current model. And he was enjoying his business.

It would be insane to suggest that a startup of a similar size that was attempting to raise investment and build towards hyper-growth is somehow better than his business. Sure, it might have a higher valuation, and its founders might end up a lot richer. But it’s not inherently better.

The right business to build isn’t the one everyone else wants. It’s the one you want.

Archives

Office Hours:
Monday - Thursday 8.30am - 5.30pm
Friday 9.00am - 5.00pm

Street Address:
Level 8
261 George Street
Sydney NSW 2000

Let’s get you on the road to success

or phone our friendly team on
 02 8267 6666.

myob5be283b202b56248a8a750d3_xero-gold-partner-logontaalogo_nobgCA logo_BR STACKED PMS_CTaxInstitute_log_CTAGovernance-Institute-Logo-EPSICSA-Logo58653005_Colour

Copyright 2020 Charltons © All Rights Reserved