Business Failure
Reflecting back on my interview with Jim Smith I would like to cover a few things that really stood out to me in looking into being an entrepreneur. This items that lead to success in a business are: knowledge of the business, networking, capitol, and that inter drive.
For an individual to really be successful they need to know the field they are trying to successes. This comes with time and experience in that particular field. As with Jim his first attempt with owning a business was after being in the field for over seventeen years. Being in the field as a “hand on man” you gain a valuable knowledge of what to expect on a day to day basis. Establishing time in the field over the years you also gain the trust of individuals you work around and are better able to relate to what their needs are. This is critical when becoming in a higher position over employees. What Jim did not have was the knowledge of the business side of things. Jim soon found out that it was more than just knowing the field but now had concerns dealing with the business side of things such as:
• Permits
• Insurance
• Taxes
• Licensing
• Human Resource
• Technology
What also hurt Jim on his first trial at business was his network. It is important to look at all aspects of where you’re going to your supplies, contractors, building engineers, this guy that guy…. And you have to get a relationship and name that is known from scratch. This is difficult to do in many business. One reason why many business fail today.
Capitol was another boundary that factored into starting a business. Jim had back on the first business plus he had “savings in the hole”. It takes a lot to keep a business running and there are many times someone coming into a business you don’t notices fees and finances going out as you did when you were in the field. It takes companies usually at least two years or more to start seeing any profit off their investment. The economy will play a big factor especially in these
For an individual to really be successful they need to know the field they are trying to successes. This comes with time and experience in that particular field. As with Jim his first attempt with owning a business was after being in the field for over seventeen years. Being in the field as a “hand on man” you gain a valuable knowledge of what to expect on a day to day basis. Establishing time in the field over the years you also gain the trust of individuals you work around and are better able to relate to what their needs are. This is critical when becoming in a higher position over employees. What Jim did not have was the knowledge of the business side of things. Jim soon found out that it was more than just knowing the field but now had concerns dealing with the business side of things such as:
• Permits
• Insurance
• Taxes
• Licensing
• Human Resource
• Technology
What also hurt Jim on his first trial at business was his network. It is important to look at all aspects of where you’re going to your supplies, contractors, building engineers, this guy that guy…. And you have to get a relationship and name that is known from scratch. This is difficult to do in many business. One reason why many business fail today.
Capitol was another boundary that factored into starting a business. Jim had back on the first business plus he had “savings in the hole”. It takes a lot to keep a business running and there are many times someone coming into a business you don’t notices fees and finances going out as you did when you were in the field. It takes companies usually at least two years or more to start seeing any profit off their investment. The economy will play a big factor especially in these