|Avoiding problems are much easier than correcting them!|
Bad things happen to good people for many reasons. Individuals are different and some are great to interact with while others should be avoided. Development of a business takes lots of time, money, and energy. Developing a great reputation is important to the success of the business. Association with others can affect your reputation. There are those that bring complexity to your company and those that enhance and improve the business. Great care is required to ensure you are always dealing with those that improve your business.
Likewise, certain business parameters are critical to success. Some chose to avoid seeking the correct characteristics, while others focus on them with great care. Business is a mix of skill, execution, association, and desire. Making money requires careful selection of the right business models and people. It is easy to walk into traps. The following are a few OOPS factors to avoid.
1. Investor: An investor that seems to mean well but never executes or follows through on promises is someone to avoid. Occasionally such actions are egregious and bring shame to other organizations. For example, an investor promising to provide funds for a competition award places the organizers in a bad light when failing to follow through. Failing to make good on promised introductions to other investors increases concerns about the individual. When this investor exhibits the trend with companies in other states, one can only assume this investor is a person to run from!
2. Profit: No matter how many times the business model suggests the revenues are not sufficient to become a real business, some entrepreneurs seem to continue to develop the enterprise as a business. They never explore ways to expand the revenue model and get caught in the trap of building and spending with minimal chance of making any real money. Lifestyle businesses are great, but at least try to break even. Stay away from business concepts where there may be insufficient revenues!
3. Personnel: Building a business requires having great people. Sometimes the selection misses the mark. There is a difference between missing the mark and hiring a disaster. A CFO in personal bankruptcy or a CEO sued for improper actions increases the chances of a death spiral for your company. Select those you associate with very carefully!
4. Organization: Some are great organizers and planners and others are not. Failure to plan and execute properly on a business is a great way to fail. The ability to plan is critical in business. Whether you are the one responsible or someone else is in charge, ensure that you plan and develop contingencies! Run the business to succeed.
Taffy Williams is the author of: Think Agile: How Smart Entrepreneurs Adapt in Order to Succeed to via Amazon