Acquainting Your Business

One spring afternoon, I nervously sat in a Schlotzskys Deli in Austin, Texas waiting for a successful businesswoman, a potential maven and mentor for my new business, to arrive. I found it ironic that she suggested Schlotzkys, a local success story. I tried to imagine how the founders of Schlotzkys must have felt when they opened their first store in 1971. Could they have imagined that 30 years latter they would be an internationally franchised restaurant chain? Their success was encouraging and gave me hope that my new venture would be wildly successful as well. I looked up to find Betsy Spears, a confident and dynamic woman, heading towards my table. After brief introductions, I asked her about her series of successful businesses. She modestly overviewed her career and then directed a poignant question towards me, “Why are you starting your own business?” I sat there with no response. She then shared how one of her mentors asked her the very same question at the beginning of her career. He told her there were three reasons for starting or owning a business: 1. You are altruisticly filling a need. Business returns don’t always come in the form of dollars. Non-profit organizations that contribute to needy communities give their owners and supporters great personal fulfillment. Note: filling a need is key to altruism. Giving is not a gift when it is not wanted or welcomed. 2. You love the process. If you love what you do, it may seem more like play than work. Starting your own business can provide you with greater independence, personal achievement and satisfaction, and a more ideal lifestyle. 3. You want to generate wealth. Not all entrepreneurs become wealthy, but it is not for a lack of trying. They expect substantial financial rewards to justify the greater risk and efforts associated with starting their own business. If your goal is to generate wealth, I highly recommend reading Rich Dad, Poor Dad. The author contrasts the mental constructs around wealth between the rich and the poor and highlights the roles of enterprise and passive income in the generation of wealth. Caution: Each one of these reasons can also cause your business to fail. Self-righteous Altruism - Pride can be a seductive road towards failure. The noble snob in us will ride high above the crowd on the backs of altruism to a martyr's death, if you allow it. If you do not gain fulfillment or reward for your service, why are you vested in suffering? A clear way of viewing your ‘gift’ is by acknowledging that it is actually your service product. Not receiving compensation creates an unhealthy business dynamic for both you and your clients. Financial Irresponsibility – Businesses are in the business of making a profit. If you are doing something that you love without also having a goal of making a profit, you are not running a business; you have a hobby. Individuals that hold a moral stance against money are often masking deeper issues. In order to have integrity with yourself, you have to be financially responsible. Overpriced "Crap" – Offering high priced, low quality products can be a successful business strategy for some, but rarely for independent service providers. Delievering poor quality services at a high price does not generate client loyalty. Gaining new clients for an independent service provider is too expensive for this strategy to be sustainable in the long-run. Customers will either find someone else or do without. Granted, one person's junk is another person's treasure. The key is to know what a client treasures better than your competition. Side Note: I want to stick up for pigs. I have heard many use "piggish" to describe greed, selfishness, and filth. I like pigs. Growing up on a farm and ranch allowed me to get to know many a pig. They are smarter than dogs or cats, and if given the chance, they are very hygenic and comical. Pigs have no hidden agendas. What you see is what you get with a pig. They are very curious and driven. Two traits you need to succeed in business.