Set Yourself Up for Success by Being Prepared in Advance.
By Christian Warren Freed
They say there has never been a better time to seize control of your dreams and launch your own business. While it may feel we are enmeshed in turbulent times, the opportunity is there, ready for you to reach out and take it. Like anything we do in this life, it all comes down to proper preparation and knowing the battlefield before you engage.
Currently, there are over 33 million small businesses in the United States. Don’t let that number fool you. On average, 70% of those businesses make it beyond two years. That number drops significantly (less than 50%) for those managing to keep their doors open for at least five years.
Perhaps more daunting, it is estimated that small business owners only make a little over $60,000 a year on average. While there are plenty of established jobs with higher income, does that mean you need to abandon your dreams? I say no.
The good news is there is a wide and growing range of goods and services being provided by small businesses. The growing call to “support local” drives many small towns, including our own. With one in five small businesses being owned by minorities, there is a whopping 46% of the current United States workforce being employed by small businesses.
Customers have come to expect a higher quality of service from small business owners, placing more pressure on budding owners doing their best to keep their heads above water. So, one question is, if you are considering opening your own store or business, what can you do to stand out and stay in business long past that five-year mark?
Another question in my mind is where do civilians get their leadership training? The army is one thing. Huge on developing leaders, for the obvious reason. If someone goes down, there needs to be a ready replacement to take over. I always figured it was the same in the real world, but when I saw a major pharmaceutical company put my wife in charge of her own department with zero training, I was appalled. Not only were they setting her up for failure, they did nothing to increase her skillset or knowledge base.
It’s mind boggling. I can’t imagine taking this attitude into any small business endeavor. We want to succeed. We deserve to. I reached out to Holly Springs resident and professional leadership performance coach, Laura Workman, for a little insight. Here’s what she had to say:
What is the #1 mistake new business owners make to prevent them from being successful?
New business owners often make the number one mistake of operating their business from their brains, which can quickly become overwhelming for the individual or team and lay the foundation for scalability disaster. Many new business owners dive headfirst into their ventures with a great vision but need to lay a solid foundation of strategic systems—defined and documented processes to ensure consistency and a blueprint for the team. This lack of structure can lead to inefficiencies, inconsistencies, and wasted resources, ultimately hindering the business’s growth and success and potentially [leading to] burnout.
Is formal leadership training necessary before starting your own business?
It is beneficial but not necessary. Many successful entrepreneurs have thrived without formal training or experience in these areas by relying on their innate skills, learning through hands-on experience, and seeking guidance from mentors and advisors. However, having some leadership or management knowledge can significantly enhance your ability to navigate the complexities of running a business effectively—areas such as effective decision-making, talent management, communication skills, and strategic planning.
While formal training can provide a solid foundation in leadership and management principles, practical experience and a willingness to learn are equally important. As new business owners step into entrepreneurship, they can consider information and formal options such as attending free webinars from local small business associations, online courses, or finding a mentor.
What is the one piece of advice you would give someone looking to start their own business?
Identify a problem that you can prove to be a problem and have a solution. Small business owners are great visionaries and can sometimes overlap a vision for their company with a passion project.
Take the time to do market research, devise a business plan, and invest all the resources you can to make a strategic decision. I encourage new business owners to build a business around their “ideal life” and “why.” Business is not for the faint of heart. You will need a solid strategy and north star to keep you focused.
Do you have any tips or accountability measures you focus on?
Absolutely! Accountability is essential for driving progress and achieving success, and there are several strategies I implement with my clients to ensure they stay on track and hold themselves to a high standard. Here are a few:
Know your numbers and make data-driven decisions. After establishing your business objectives, identify key performance indicators (KPIs) and metrics to track progress and measure success. But don’t stop there; assign accountability to a team member and regularly monitor these metrics in weekly meetings.
Conduct effective meetings. People often have meetings to discuss the issues and never make a decision. This can result in wasted time, money, and energy. Learn how to define the purpose, outcomes, and actions that need to be taken to drive the results.
Action Plans. We develop action plans using the SMART criteria outlining the specific steps for our clients to achieve their goals, including deadlines and responsibilities. Breaking down larger objectives into smaller, manageable tasks makes progress more tangible and achievable.
Continuous Evaluation and Adjustment. We encourage clients to regularly evaluate and adjust their strategies based on feedback, results, and changing circumstances. Flexibility and adaptability are key to sustaining momentum and driving ongoing progress.
Final question. What value does a performance coach bring to businesses?
A performance coach brings immense value to new and established business owners by serving as a strategic partner and bringing years of proven experience, which can accelerate the growth strategy and, ultimately, profitability. Here are a few ways in which a performance coach can positively impact a business:
Strategic Guidance: A performance coach helps business owners develop and execute strategic plans to achieve their goals. By leveraging their expertise in business management and leadership, they provide valuable insights and guidance to navigate challenges and capitalize on opportunities the business owner may have not expected.
Accountability: One of the greatest benefits of working with a performance coach that we hear from clients is the accountability they provide. Scaling a business can be stressful. It’s imperative that a business owner stay focused on their objectives, track progress, and course correct as needed.
Skill Development: Performance coaching can also assist business owners in honing essential skills such as time management, decision-making, communication, and delegation. By providing targeted coaching and training, they empower business owners to become more effective leaders and managers.
Problem Solving: When challenges arise, a performance coach is a trusted advisor who helps business owners identify solutions and navigate obstacles effectively. They offer fresh perspectives, creative ideas, and proven strategies to address complex issues and drive sustainable growth.
There you have it, folks. In preparing for your startup, these are great steppingstones for sustained success. If you are thinking of starting your own business or maybe just launched your brand, now is the time to think about the future and arming yourself with as many tools as you can. With half the country admitting they shop local at least twice a week, can you afford not to?
