Many new business people will suffer from the mental clutter that comes from the flood of ideas, opinions and worries about your business.
You'll fall into one of two categories initially:
Either you will spend days and weeks constructing business plans and designing logos and websites, only to stop after a while because nothing seems to be working (or if you are lucky rather than putting all of that work in you will have just sat with a notebook and wrote out ideas and then scratched them out, saving yourself a lot of time!) Or you'll have read enough, or been taught enough, to know the basics of designing and business and understanding the essential business skills that you will need to possess in order to maximize your success.
So, let's save you some valuable time, and go through those basics here. There are ten of them, so grab a drink and bring your notebook. Here we go. 1. You have to be able to communicate effectively
Communication is essentially the heart of your business. You'll be pitching your ideas to investors, negotiating deals, leading teams, and the ability to convey your message clearly and persuasively is vital.
On a face to face level, you'll be listening, articulating ideas, explaining yourself and will need to be able to adapt your communication style to different audiences.
The pay-off for good communication is enhanced collaboration, increased trust, and more open doors to lucrative opportunities.
If you think that communication is not that important, have a look online at how much money professional copywriters make. Most are well into six figure annual earnings. And if you can't communicate well yourself, $1,000 invested in an email or campaign that will make you x20 that amount, is a no-brainer investment.
2. You have to be able to understand the world of finance
This is non-negotiable for business people. It's staggering how many I speak with you want to start their own business without any knowledge of finance. Most people are their own worst enemy in this case. If you think you'll be able to wing it during the first few months, maybe you can. But at some point, you're going to get nailed to the wall. There are financial trapdoors all over the place for a new entrepreneur, and chances are, if your business fails, you'll end up broke, possibly in court, and most importantly, you and only you, will have been responsible for destroying your business. There is no excuse these days. It's not about having a degree, or spending five years as an apprentice. Get online and find a course on basic business finance. Some are free, some are a couple of hundred dollars. They are worth it, as there are so many areas you will need to have a working knowledge of, that you can then master as time goes on. You'll need to be able to manage cash flow and budgets, and also analyze financial statements and forecasting.
Financial literacy will empower you to make informed decisions that drive profitability and sustainability. This is the case whether you're just beginning and bootstrapping your startup, or seeking investment from venture capitalists and angels later on. If they see you coming, they'll walk away at best, or at worst wrap you up in financial jargon and steal your business from you. Again... all your fault. Learn how the money works, or say goodbye to it. 3. You have to be able to plan
Business planning involves many areas: setting goals, devising a roadmap, allocating resources to achieve long-term objectives.
You don't want to face challenges reactively. Rather, you want to plan for a proactive approach by anticipating challenges, identifying opportunities, and charting a course of action in advance of the arrival of those. Have contingency plans in place to deal with bumps in the road, larger issues and all out catastrophes. I've spoken a lot about risk management on this blog - this is not by chance, I find it to be essential for your business. As the old saying goes: 'Hope for the best. Plan for the worst." Again, study up on planning. Whatever comes at you can usually be sorted with some pre-planned escapes and OODA loops.
If you can develop strategic thinking skills, you'll be better able to navigate market dynamics, stay ahead of your competitors, and adapt to changing circumstances effectively. Be prepared for the good and the bad in business... or you'll be gone.
4. You'll have to know how to market
Your ability to effectively market can make or break a business. You need to understand your target market, make compelling value propositions (or use a copywriter), and leverage various marketing channels to reach your audience. This could be social media platforms or even printed matter, television or radio. Whether you use digital marketing, content creation, or branding strategies, mastering marketing fundamentals is crucial for building brand awareness, attracting customers, and driving sales. Again, as with everything else on this list, get training, find professionals who can help you. Get mentored. Because if you don't, you risk being seen as a dreamer, taking chances that everything will be ok. Anyone investing in your business, will want to know your business acumen, and if you come across as taking unnecessary and uneducated risks with your business, or with your customers, they will walk away.
5. You have to be able to network
The old saying, "It's not what you know, but who you know," holds very true in the areas of entrepreneurism and starting your own business.
Networking is about cultivating relationships with industry peers, mentors, potential clients, and investors. It involves attending networking events, joining professional associations, and leveraging social media platforms to expand your reach. Why do you think so many post prolifically on X?
A strong network provides access to valuable resources, insights, and opportunities that can propel your business forward. See someone you want to learn from on X, who happens to post that they are in town for a few days? Ask to meet up. But remember, if you are a walking shit-show, you'll be doing yourself no favors. Back to that all important advice that's threaded throughout this blog post: know yourself, know your business, and know how business itself works.
6. You have to be able to adapt resiliently
You are stepping into a highly unpredictable zone when it comes to running your own business.
You're going to have highs and lows, successes, and setbacks. To survive and hopefully thrive in such an environment, you'll need to be able to cultivate adaptability and resilience.
This is about embracing change, (back to pre-panning again!) learning from failures, and bouncing back stronger. The ability to pivot quickly, innovate in the face of challenges, and maintain a positive mindset amidst what can sometimes be near crushing adversity is what will set you apart from everyone else.
7. You have to be able to lead
As a person in business, you're not just building a company, you're leading a team towards a shared vision. Assuming you have a team. If not, you'll be leading yourself where you said you were going to go. Effective leadership involves inspiring yourself and others, fostering a culture of collaboration, and empowering whoever is involved, to unleash their full potential.
By developing leadership skills, you can cultivate a high-performing business that drives innovation, productivity, and organizational success.
But again, if you haven't been a leader in the past, what makes you think you can do it without educating yourself? "I am a leader." doesn't cut it. You'll need to gain that knowledge if you haven't already. There's lots of resources out there. Utilize them, before you walk into a room full of real leaders. They're not going to have you for breakfast, but they're not going to entertain you either.
8. You have to be able to manage time and your life
Time is a precious commodity for people juggling multiple responsibilities. Mastering time management involves prioritizing tasks, setting realistic deadlines, and eliminating distractions. It's about maximizing productivity and efficiency without sacrificing quality. By mastering this skill, you can optimize your workflow, reduce stress, and achieve more in less time.
You will need resources to do this. It's not just about being aware that the clock is ticking. Time management starts with the hour, but exists across the day, the week, the month, the year... Management of the hours of your day, into your short, medium and long-term goals and those of your business.
By the way, if you are a personal train wreck, it's better to invest time in sorting yourself out first, before starting a business. It rarely turns out well to try and do both at the time. But if it's just you being lazy and unfit, you could do it, and be unrecognizable in ninety days. Life Management tools I use: Apple Calendar Apple Fitness+ Trello
Freedom App Headspace Journal
9. You have to be able to problem-solve and make good decisions
In the dynamic world of business, challenges are inevitable. You will need to be an adept problem-solver, capable of analyzing situations, identifying root causes, and implementing effective solutions.
This will need to be supported by sound decision-making which is crucial for navigating uncertainties and seizing opportunities. By sharpening your problem-solving and decision-making skills, you can overcome obstacles and steer your businesses more effectively towards success.
10. You have to open to continuous learning and improvement
The Japanese call it kaizen. (I really should write a full bog post about this, as I spent a long time in Tokyo and saw this implemented from the grocery store to the multi-billion yen office environment.) Your business journey is a constant learning curve. You need to recognize the importance of continuous learning and self-improvement. Whether it's staying updated on industry trends, attending workshops and training courses, or seeking feedback, embracing a growth mindset is essential for staying relevant and competitive in a rapidly evolving landscape. But here's a simple litmus test for you. If you find yourself eye-rolling at the thoughts of training. Maybe the business you're in isn't for you.
It might be a substandard course that doesn't engage or inspire, but if you find this happening on a regular basis, then maybe you might want have a good look at whether you've chosen the right niche.
Most business people can't wait to get up each morning and work on their company. If you don't feel that way, it's not something to be ashamed of. Maybe take a few days and check your compass to see if you're still headed to where you wanted to go.
So, there you have it. A short guide to business essentials. In a nutshell: study these to the point of basic competence and you'll go a lot further than if you didn't.
Until next time!
Six