I learnt from Business School all the rudiments of starting a business and so I felt that intellectually, I had a pretty fair idea on the steps to take when establishing my business. However, nothing prepared me for the daunting realities and experiences of being a start-up business owner!
Knowing and translating a business vision and mission into mere statements are not too difficult to accomplish. What is tough is translating these into an effective business model that generates sustainable cash flow.
Our initial business strategy looked impressive on paper but two years down the line, we had redefined it several times over because of the stark realities that confronted us. Looking for the right employees to run with your start up vision can be one of the most challenging and frustrating experiences ever.
I have come to the sad realization that most people focus on having more degrees than a thermometer, yet they don’t have a clue about what it takes to be part of a start-up, pacesetting, performance driven business. What good is your certificate if you can’t transfer the knowledge gained into skills and abilities which produce results and profits for your employer?!
For over 2 years, my partners and I had to build and market our business model on our own because in spite of the numerous recruitments and orientations we had, we could not find the right caliber of people to hire who could perform in the way we wanted them to. The positions we required were individuals who were creative, strategic thinkers, problem solvers, persuasive marketers and performance driven.
Yet many of the candidates who passed through our rigorous recruitment sessions wanted a “ready-made” organization where they could simply cruise in and be offered a plush office, nice perks and fat salaries on a silver platter! Nobody wanted to be part of a team of struggling visionaries who were passionate about birthing a concept that would make a difference in their world.
Another challenge that turned out to be a sobering experience for me was identifying the “right” target market for our niche services. Through several mistakes made and insights gained, we had been able to design a superior service package to suit our targets. We had worked hard on developing our business model and marketing strategies.
Yet, something was just not right. Feedback collated from our potential clients clearly indicated that they were delighted with our services. The excitement and immense interest after our presentations were vividly evident. What was missing was that these achievements still did not translate into cash flow. Just a few people were paying for our services and for 2 years, we were not breaking even; instead we were piling up debts!
This is where my “business school book knowledge” abruptly ended and “practical strategic thinking, determination and grace to forge on against all odds” set in. Global statistics indicate that the first 5 years for most start-ups are turbulent periods of struggling to build a business model, making mistakes, learning from them, gaining business experience, perfecting skills and competence and trying to find the right team to implement a business vision.
It takes a lot of courage, determination and grace to go through the birthing periods of a business. It’s certainly not for the fainthearted! Some Founders are unable to take the heat, so their businesses fold up after a few years. However, those of us who choose to forge on, gain valuable experience, enhance our skills, insights, wisdom and direction on many levels. I believe these are what we leverage on to eventually breakthrough to become the formidable business owners who get to inspire others.
What has your experience been?
Coming up next week: sharING some deep seated thoughts: How NECESSARY is Versatility to a Business Owner?
