QUESTIONS TO ASK YOURSELF BEFORE YOU START YOUR

BUSINESS

WHY YOU SHOULD START A BUSINESS

Flexibility Independence Freedom

Personal fulfillment Passion Financial

independence

You Choose the People You Work With

Recognition Create jobs

QUESTIONS TO ASK YOURSELF BEFORE YOU START A BUSINESS?

1. CAN YOU WORK ALONE AND TAKE RESPONSIBILITY?

2. DO YOU WANT A BUSINESS OR DO YOU JUST WANT MONEY?

3. CAN YOU HANDLE STRESS?

4. CAN YOU HANDLE REJECTION?

QUESTIONS TO ASK YOURSELF BEFORE YOU START A BUSINESS?

5. ARE YOU WILLING TO LEARN?

6. ARE YOU A LEADER OR A GOOD MANAGER?

7. WHAT ARE YOUR STRENGTHS?

8. ARE YOU PREPARED TO TAKE A RISK?

CAN YOU TAKE RESPONSIBILITY?

• Working for someone else means that we have guidance, structure, and someone directing our activities.

• We don’t bear the financial risk or assume responsibility for how the business is managed.

• Running our business requires us to manage all those activities and ensure that they are being carried out effectively and efficiently. We bear the financial risk and are responsible for how the business is managed. It requires hard work and commitment.

No Manager

• Capable of motivatingourselves

• Manage our time effectively

• Be productive

Must be

DO YOU WANT A BUSINESS OR JUST MONEY?

There is a tendency to view business

ventures as a means to making large amounts of money, and while

this can be the case, it rarely

happens quickly.

Often times it requires years and years of effort and hard work. Many

startups operate for years without even

break even, let alone making a

profit.

By asking yourself what it is you really

want from your business can really help prepare you

for any obstacles or tough times that you may face in

making your startup work.

DO YOU WANT A BUSINESS OR JUST MONEY?

Most entrepreneurs operate on fairly tight budgets and if money is your main motivator,

this can be a disheartening time.

While money can certainly be a valid

motive and the main motive for a lot of

business owners who desire financial

independence, it is essential to

accompany it with another motive or

reason.

By pursuing something that has meaning and value to you, you will

find it easier to get through the difficult times. Otherwise, it

may be too tempting to give up when the

going gets tough

CAN YOU HANDLE STRESS?

Factors contributing to stress:There is just simply not

enough in hours in the day for an entrepreneur. There will be many days where

you will have to put in long hours, not to mention

periods of high pressure to meet deadlines and land

key clients.

Obtaining finance and making decisions while facing uncertainties are just some of the ongoing

situations that can contribute to a business

owner’s stress levels.

A business will inevitably experience ups and downs

throughout its life cycle, and more often than not, many face emotional and financial turmoil at some

point.

CAN YOU HANDLE STRESS?

Factors contributing to stress:

When running your own business, you are likely to lose

sleep and experience higher levels of stress than

usual.

Running a business may, unfortunately,

require you to miss out on key family time and events.

It is very important to consider these

things and ask yourself is this

lifestyle for you?

Exercise Meditation Breaks Balancing family life

DEALING WITH STRESS

CAN YOU HANDLE REJECTION?

Rejection is something that every business owner will experience

again and again throughout their journey. It is inevitable.

Whether you’re looking for finance from a lender or seeking potential investors, rejection will

be part of that journey.

Others will not always see your idea as clearly and confidently as

you do.

The most important thing is not to let rejection affect you and try to

learn something from it.

Find out what they didn’t like and identify those areas you may need

to improve on.

Feedback is crucial to stepping forward. Use rejection as a means

to motivate yourself to push forward and improve.

ARE YOU WILLING TO LEARN?

• THE KEY TO SUCCESS OFTEN CORRELATES WITH YOUR ABILITY TO CONTINUALLY INVEST IN YOURSELF AND YOUR ABILITIES.

• KNOWLEDGE IS A FUNDAMENTAL ELEMENT OF A STARTUP’S SUCCESS. IT IS IMPORTANT TO KEEP UP TO DATE WITH INDUSTRY TRENDS AND CHANGES BY ATTENDING COURSES, TRADE SHOWS, NETWORKING, ATTENDING SEMINARS,

READING ETC.

• CONTINUAL LEARNING AND SELF-IMPROVEMENT IS A FUNDAMENTAL ELEMENT OF THE ENTREPRENEURIAL JOURNEY.

ARE YOU A LEADER OR A GOOD MANAGER?

• THERE ARE PEOPLE WHO ARE GREAT LEADERS AND PEOPLE WHO ARE GREAT MANAGERS.

• IT’S NOT ENOUGH JUST TO BE A GOOD MANAGER. GOOD LEADERS HAVE BIG IDEAS COMBINED WITH THE ABILITY TO COMMUNICATE THOSE IDEAS EFFECTIVELY AND

CONVINCINGLY TO OTHERS BOTH INSIDE AND OUTSIDE THE BUSINESS.

• THROUGH THEIR ENTHUSIASM AND PASSION, THEY HAVE THE ABILITY TO INSPIRE AND ENCOURAGE OTHERS TO FOLLOW THEM.

• LEADERSHIP IS AN ESSENTIAL ELEMENT OF A SUCCESSFUL STARTUP. ENTREPRENEURS NEED TO BE ABLE TO LEAD, INSPIRE AND MOTIVATE THOSE AROUND THEM.

Warren Bennis (in his book, “On Becoming a Leader”) composed a list of the differences:

GOOD MANAGER GOOD LEADERManagers administer Leaders innovate

Managers imitate Leaders originate

Managers rely on control Leaders inspire trust

Managers have a short-range view Leaders have a long-range perspective

Managers focus on systems and structure Leaders focus on people

Managers accept the status quo Leader challenge status quo

Managers have their eye always on the bottom line Leader’s eye is on the horizon.

Managers do things right Leaders do the right thing

WHAT ARE YOUR STRENGTHS?

“KNOW YOUR STRENGTHS. KNOW YOUR WEAKNESSES. DON’T BE AFRAID TO TRY THINGS AND FAIL IF THOSE FAILURES WILL

TEACH YOU WHAT YOUR STRENGTHS AND WEAKNESSES ARE. AND WHEN YOU TRY AGAIN, BUILD YOUR BUSINESS AROUND

THE STRENGTHS! THE MORE YOU “KNOW THYSELF,” THE CLOSER YOU’LL BE TO SUCCESS.”

– KEVIN HARRINGTON

(INVENTOR OF THE INFOMERCIAL, AS SEEN ON TV PIONEER, AND SHARK TANK)

ARE YOU PREPARED TO TAKE RISKS?

• STARTING YOUR OWN BUSINESS WILL INVOLVE SOME RISKS.

• THESE MAY INCLUDE:

LOSING YOUR

SAVINGS

GIVING UP A REGULAR PAYCHECK

DEPENDENT ON A

REGULAR CASHFLOW

ENTRUSTING KEY

EMPLOYEES

ADVICE FROM ENTREPRENEURS

DONNA NODSON

STARTED BUSINESSES, WORKED WITH START-UPS - CONSULTING, BUSINESS STRATEGY20 YEARS OF EXPERIENCE SPANNING EUROPE AND NORTH AMERICA, BA, MBA

“Entrepreneurs should know how

to read, write and manage a business plan”

“You don’t have to be an expert at this, and you may

be going through the process for the first time

while starting your business. This is a critical skill that will serve you well as you work to navigate the constantly

shifting landscape of business.”

“Work through the business planfilling out the information you

know. Identify the information you still need and come up with a

plan for obtaining it. Your business plan will change, probably quite a bit. Don't get frustrated; this is part of the process. You might make

one decision based on the information you have available at that moment. A week later, you

find out different information and need to re-evaluate whether your

initial decision still makes sense. This is ok.”

DONNA NODSON

STARTED BUSINESSES, WORKED WITH START-UPS - CONSULTING, BUSINESS STRATEGY20 YEARS OF EXPERIENCE SPANNING EUROPE AND NORTH AMERICA, BA, MBA

“Make sure every person who is part of

your company knows your

business plan.”

“Everyone should be able to read the

company business plan and understand where they fit in the strategy. How does

their job contribute to the company goals?”

“It gives your management better visibility. It’s not just

about employees interpreting this for their own work… it’s also about managers (at all levels!) being able to better structure their departments

and the employee requirements to align with

company goals.”

DONNA NODSON

STARTED BUSINESSES, WORKED WITH START-UPS - CONSULTING, BUSINESS STRATEGY20 YEARS OF EXPERIENCE SPANNING EUROPE AND NORTH AMERICA, BA, MBA

“Think that the business plan has far too much

‘confidential’ information?

You don’t need to share a version that includes line-item visibility on things like salary or

exactly which clients owe how much money. Give

broad information.”

“Salary costs need to be x% of the overall revenue in order to

achieve [goal]; today the company is at y%.

This makes it much easier for people to

understand and manage salary

increases and hiring constraints.”

“The company has $/£ amount of funds outstanding

based on past-due client payments; this falls below the

company’s requirement of $/£.Cash flow relies upon client

invoices being paid on time. Lack of cash will impact the company’s ability to make x

other purchases. Then employees understand

why a purchase might be delayed from one month to

the next.”

CAREY GREEN

BUILT HIS BUSINESS TO OVER 6 FIGURES IN UNDER 3 YEARS, GROWING MORE DAILY

“Strengthen your determination muscles. You won’t succeed if you’re not willing to get back up every

time you fall. And I mean EVERY time. There will be lots of mistakes, missteps,

and difficulties on the road to success. If you can’t

overcome the discouragement to keep

going, you shouldn’t start in the first place.”

“Maybe take up something that requires a lot of you -

running, martial arts, fitness of some kind - to strengthen your mental game ahead

of time. I’m convinced that those kinds of things will help

you when it comes to the mental discipline needed to

be an entrepreneur.”

HAN OOI

STARTUP FOUNDER CREATING IOT PLATFORM FOR OUTDOOR SPORTS AND VR/AR INDUSTRY

“Deep Network of Friends/Associates with complementary skills -

Launching a startup is tough and scary and there are

many things you don’t know that can hurt you. So

volunteer your time to build relationship with other

people who may have parts of the knowledge that you

need. Joining a tech startup incubator is also another way

to meet such people.”

“Develop good money management skills in your

personal life and startup life - burn rate is one other those factors that can impact your success or

failure. If you fail to manage your cash flow well, you will die on the

vine. Being competent at managing finances is also a skill investors like to look

at when determining whether to fund you.”

“Courage and Passion - I was reading in the Hypomanic Edge

on how some societies have low rates of entrepreneurship

even though those societies are well off financially….some cultures and societies lack courage even though their

people are technically competent So the final

ingredient is this intangible.

- Doing a startup is like “Jumping off a cliff while trying

to learn how to fly.” ”

GERICKE POTGIETER

FAILED AND SUCCEEDED AT NUMEROUS BUSINESSES - CO-FOUNDER OF ARTIFEXKNOWLEDGE ENGINEERING – PUBLISHED WRITER AT INC

“Bread-and-butter money first, then you

can play.”

“My mentor was a very wealthy man, yet he still

gave weekly math lessons to high school kids with his

wife. I thought it was funny, why would a man driving

the latest Porche give math lessons?”

“That was to be one of my best business lessons.

He did it because it paid the bills and had nearly zero risk.

There would always be kids who struggle with math.

All of his other investments and businesses could fail but the weekly math lessons will

carry him through.”

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