Your Business Wisdom

ABC's TO ASSIST YOUR GROWTH

NEWS TO GROW BY . . .

The economic indicators are starting to look better, and there’s hope in the air that perhaps we are truly at the bottom of the deep well we’ve been descending into for quite some time. This is a perfect time for you to be investing in your business.

Here are three key tips for you to focus on to increase growth and profit and accelerate your business:

A. Work on your business, not in it. I start every small business training course and seminar with this statement. Think about where you need to be six months from today and ensure all of your actions are aligned with achieving those goals. When we’re busy working in the business, on a day-to-day basis, we sometimes end up doing activities that lead us astray from our real business goals.Remember if you are now growing your business, who is?  

B. Make sure you truly understand and can define what differentiates your company from your competitors. This not only includes companies that provide products or services similar to yours, but rather all of the firms that compete for the same customer dollars. For example, one of the successful entrepreneurs I know runs an HVAC (heating, ventilation, and air conditioning) company. In reviewing her competitors, she realized that some of her prospects were deciding between spending money on a new AC system or a new swimming pool. That makes swimming pool companies her direct competition. Competition is not always obvious and it is important you do not assume you know who your competition is. Many times as in this example it comes it different forms.

C. Remember that sales is not a four-letter word. Selling is about listening to your customers’ needs and addressing them clearly and thoughtfully. It’s not about telling somebody everything you know about your products and services. Good salespeople spend at least 75% of their time listening to their customers’ needs before talking. With a typical adult attention span of 15 to 30 seconds, that means you need to truly do your homework before you meet with a key prospect so the message you provide is clear, concise, and targeted toward providing them with a solution that is customer-focused. You must understand your potential client is ONLY concerned about fulfilling his needs and not what you need, require and want.

Good Luck and Happy Marketing - Need Sales Improvement Contact Us Today.

THAT 4 LETTER WORK. . .A 'CUSS, YOU TELL ME!

You’re starting a business, you must be crazy that’s so risky! You want to start a business, how much risk can you take? You’ve got to be nuts to quit your job and start a business, why take the risk?

Ever heard these kinds of comments from others, either about business or any aspect of your life. It usually goes like this

YOU: I’m thinking about doing ________.

THEM: What? Are you insane, I wouldn’t do that if I were you, just too risky!

First remember, THEY ARE NOT YOU!

Whatever the topic may be, from starting a business, to wearing white after labor day, others are quick to give you advice about what you should do that is largely a part of what they perceive to be “safe” or “risky” behavior.

That EVER PRESENT Four Letter

Risk, or the perception of risk, has probably kept you from doing quite a bit in your life, I know it has mine. More often than not, this perception has been shaped by what others have told you is risky, and coming from trusted confidants you’ve probably believed them.

It doesn’t take much to be high on an idea one minute, and have somebody smash our dreams the next by using that little four letter word – R.I.S.K

But here’s the little secret about risk that nobody has ever told you…

Risk Is Relative

That’s right, risk is completely relative. So when somebody tells you that you shouldn’t do what you want to do because it’s too risky, what they really mean is that it is risky relative to their situation, their own biases, or outlook.

Risky or Safe, You Tell Me?

Ever seen footage of the guys who do free climbing? I’m talking about the people who set off up the face of a 1000 foot shear cliff, with no ropes, no safety harness, and only their feet and hands to keep them from plummeting to their death? If you’re like me you say to yourself “Wow, that’s risky!”

But, to the free climber who’s been doing it for 30 years, learned how to climb a rock face before they could walk, and have 1000’s of hours of climbing under their belt – ascending that mountain is safer than driving in a car, flying in an airplane, or riding a roller coaster at the fair. Activities that you or me probably think of as fairly safe.

When NASCAR star Jeff Gordon flies around the race track at 170 miles per hour, that looks pretty risky. But as one of the best drivers ever, and with years of practice under his belt, driving that track is about as risky as me walking my dog.

What Does This Mean To You?

Simply put – you define your own risk. Your background, personality, expertise, education, and essentially everything that makes you goes into what is risky for yourself!

When people tell you something is too risky, they are saying that it is too risky for them. Given their makeup, their situation, they wouldn’t try it. But what does that have to do with you? Nothing!

This goes for business as well as life. Risk is relative, don’t accept someone else’s risk profile for you, or live a life based on what others think is risky.

Good Luck and Happy Marketing, Need Help Contact Us Today

ENTREPRENEUR REALITY CHECK

Ah, the life of an entrepreneur. Come up with a business idea, write your business plan, line up a bunch of venture funding, and retire to a private island a few short years later when you go public.

If you’re heading off to business school right now, reading this on your iPhone, dreaming of buying your own island. . . sorry for the ice bath of reality I’m about to dump on you.

I strongly urge you consider the following:

You’re more likely to make a living than make the Forbes 500

Most entrepreneurs end up making a living, and some make a really nice living doing what they love. Very few end up buying their own island, they’re too busy saving for their kids college and making the mortgage payments.

There is no money line to get in

There are a lot of people just like  you out there competing over very scarce resources. But don’t think you’ll just get in line and pick up your check. You’ll definitely need to be the cream of the crop to attract venture funding. More realistically, look for alternative sources of funds.

It’s more about you than your plan

Business success has more to do with you than anything else. The best plans mean nothing in the hands of the wrong person.

You’re in sales, whether you think so or not

Every business on the planet is selling something. You’re either selling a product(service), idea, or yourself…YOUR MUST learn sales fundamentals, and apply them to everything you’re doing. 

You are going to fail

Yep, you will fail. You will probably fail multiple times. If that concerns you, pick another path for your life. If it doesn’t concern you that you will be an utter failure at some point, good – with every failure you get one step closer to success, clicheé but true.

Conclusion

Being an entrepreneur can be the most satisfying thing you’ll do with your life. Understand there’s a lot more to it than supply/demand curves, business plans, target markets, or financial projections.

Most of it won’t be taught in a Business 101 course , it’ll just be up to you – but that’s part of being an entrepreneur.

Good Luck and Happy Marketing

WHAT IS A GREAT IDEA?

There is one question I seemed to be asked almost daily, and it always starts with a preface;

. . .“I have a 'great' idea for a business.…and

No one has ever done it before…and,

I know it will be a complete 110% success….

Next, they ask their question....Is my business idea good enough”?

Now, depending  where I am, and my mood I first provide my perceptive on the word " Great ", which is:

I firmly believe “great” is the most overstated and misunderstood adjective in the English language. Alexander The Great was great (no pun intended); and according to pop culture so is the irreverent Sponge Bob!

One conquered the Known World, and was honored and revered. And one is a cartoon cult figure on cable TV who lives in a pineapple under the sea 

Great does become relative to a thinking mind vs. an emotional mind. Not to mention the time in which we live. Edison invented the light bulb it changed the world, if today you worked on a business plan to develop the light bulb, well you get my drift!

I am certain if you consider this type of analysis you can also cast your own spectrums on the word  (TERM) "great".

 

Back to their original question;

Next, “No one has ever done it before !!!”

Do you mean - Done it successfully, tried it unsuccessfully, thought about it and realized it was doomed to failure, considered the risk vs. reward and said no way…. What is it and how do you know this?

If they are still talking to me after I provided the above information I go a little further -

Finally, as we all know, “good enough” is VERY relative, but I will provide some ideas for you to think through in answering that question for yourself.

Ask the Question Another Way

Not, “Do you think my idea is good enough to start a business?”…what people truly mean is “do you think I’ll make money doing this?”. And in most cases they dream of a lot of money!

The short answer is- most ideas you can think of are good enough to start a business around –truth be told- - - you can probably make some money doing almost anything. Notice I said some, enough to cover startup costs, running expenses and of course profit!

The real question is whether or not your business idea is worth the risk, and will provide adequate reward if it works out. For sake of argument let’s say adequate return is enough money for you to live on, at least replacing your current income.

So now the question changes once again, this time to “given my idea, what is the potential?” We’ll talk about potential in a minute, but first let’s dispel some myths about what your business idea should be.

Business Idea Myths

To make an adequate return, your business idea doesn’t need to be:

• Revolutionary
• Totally unique
• Game changing
• Competition free

Now, you’ll make a heck of a lot more money if your idea happens to be one of the above – but the honest truth is very few of us will invent the new wheel, or be so unique we become our own category.

You can make your adequate return, and then some, if within your business idea you can see your unique selling proposition.

Unique Selling Proposition

Simply put your unique selling proposition (USP) is the reason I’d buy from you and not a competitor. What makes you special, why do you deserve a share of the market?

For example let’s say you want to start a lawn care business. You know lawns, your tomato plants are huge, and the azalea's in your yard are the envy of the neighborhood.

Great – you’d probably make a very good lawn care person, and make money doing it. But, will you make an adequate return? 

Probably not if just doing lawn care is eh extent of your idea.

Take for example: Where I live there are literally 1000’s of lawn care people. Why am I buying from you, what’s your USP?

Your potential USP’s may be:

• Creativity
• Service
• Convenience
• Price

HINT – Best not build your USP around price. It’s a very hard way to compete, and only a matter of time before somebody bigger and more efficient comes in a does it cheaper than you. Don’t believe me? Try selling toilet paper cheaper than Costco.

Okay, so you tell me “Matt, my Lawn Care business will focus on organic lawn care that is pesticide free. I offer free same day quotes for service, and tailor my schedule around the homeowners.”

Hey, now we’re on to something. You’ve taken your idea which 1000’s of people do and turned it into a special offering. If I’m into pesticide free gardening, I’m using you and not your competition who killed my cat with chemicals last spring.

The Market Potential

Once you have your business idea, and understand what your USP is, the last piece of the puzzle in deciding whether your idea is good enough is to look at the market potential and assess if it will provide your adequate return.

Three questions to ask when assessing market potential.

1) How big is the market?

2) What share can I get?

3) Is that enough?

Back to your lawn care business.

You know your area has 10,000 homeowners. There are only 2 people in your area providing organic lawn care, and you’ve heard they aren’t very shall we say “customer orientated” – given that you think you can get between 2-5% of the lawn contracts in your neighborhood (a small amount, but you are offering a very specialized service).

That means you can get around 300 contracts from your market. You also know that each lawn is worth about $200/month in profit, which works out to a profit of  $60,000/month or $720,000/ year. Is that enough?  Is your business idea “good enough”? That’s for you to decide when you run the numbers yourself.

I know, I know, you couldn’t do 300 lawns a month yourself so you’d have to hire people which would cut your profit, but that’s a blog post for another day.

I Summarize

You can see that deciding whether an idea is good enough to start a business around is a VERY relative question.

The good news is most ideas have the potential to make some money, they don’t need to be revolutionary, and quite often you won’t be the “game changer”. If you know your USP, and your market well enough I’m sure you can see how an “ordinary” idea could turn into extra-ordinary profits.

Put into another frame:

What is your product or service / how much will it cost (total cost) you to deliver?

Who are my customers and how and how much will it cost me to reach them?

Simply do the math, but base your answers in this frame with unbiased facts you gather, not simply numbers of hope.

Your job is:

• To decide how much you need for an adequate return,
• Do you have a USP, and
• Do the market dynamics offer enough potential to pursue it?

Good Luck and Happy Marketing-

THINK WRONG & YOUR FISH WILL STINK!

You have probably seen it. The fish store owner sees a decline in business, so they have less money to spend on upkeep and inventory, so they keep the fish a bit longer and don't clean up as often, so of course, business declines and then they have even less money... Eventually, you have an empty, smelly fish store that is out of business. In the end all people will remember is the stink of the store, a bitter memory.

The local doctor has fewer patients so he does not invest as much in training or staff and so some other patients choose to leave which means that there are even fewer patients...

The newspaper has fewer advertisers, so they cannot invest as much in running stories, so people stop reading it, which means advertisers have less reason to advertise which leaves less money for stories...

As Tom Peters says, "You can't shrink your way to greatness", and yet that is what so many dying businesses try to do. They hunker down and wait for things to get better, but they do not. This isn't a dip; it's a cul de sac. It's over.

Right this minute, you still have some cash, some customers, some momentum... Instead of squandering it in a long, slow, death spiral, do something else. Buy a new platform. Move. Find new products for the customers that still trust you.

Find new ways to attract new customers, develop short-term market focus, not short term accounting preparations.

"Staying in Business People" -

Think Sales and Marketing - Doing More with Le$$ - Looking for A Way to Succeed, Looking for New Ways to Grow

"Failing in Business People" -

Think Accounting - Doing Less and Saving More -Looking for a Way to Fail Safely, Looking for Ways to Keep Saving and Cutting Costs

Do nothing, and sooner or later your fish store will "stink" !

Why Brand Matters!

 

Building a Brand

Regardless if you’ve been in business for years or are just getting started, building a brand for your company is critical for your business success. When we think of a brand the first thing that comes to mind for many of us are large, well known companies like Target®, Starbucks® or Home Depot®. These companies have done very well at cultivating their brand, and although you may not be a huge operation like one of these, there is still a lot you can learn and apply to your own businesses by gaining a better understanding of these brands.

So what is a brand?A brand is more than just your logo, company name or tagline. Simply put, a brand is a promise - a collection of perceptions in the mind of the customer that must be delivered upon consistently. A brand is different than a product or service; it is intangible and delicate. Just like a reputation you need to guard your brand carefully and listen closely to what others are saying so you can begin to influence their thoughts.

The logos of a strong brand can elicit an emotional response. For example, when you think of Target the image of a red and white bull’s-eye most likely comes to mind. Not only that, but you probably think of clean and friendly stores, shopping convenience, and helpful customer service. You’ll also notice that your experience at different Target stores will be consistent. This isn’t just by chance. Companies spend a lot of time and effort assuring that the customer experience will be consistent across stores, sales channels and within the marketing plan.

To begin building a strong brand you’ll first need to identify your brand characteristics and values. These are guiding principles for your company. Think of the adjectives, attributes, or emotions that you want your customers to say or think of when they mention your company or share a recommendation with a friend. Make sure these guiding principles align with your mission and goals. By taking the time to define your core brand characteristics you will be able to build a stronger business identity. For example, many people associate Home Depot with empowerment and helpfulness. Starbucks customers loyally return for more coffee because of the feeling of luxury and the high standards of service.  After you have your core brand values determined, only then can you think about what your brand should visually look like.

Your brand is the foundation for your business including operations, service, and products and of course, all marketing activities. Bringing your brand to life means embodying the brand in everything you do. The brand should be reflected whenever you talk to a customer or develop new products. If you are truly living your brand you’ll see your core brand values reflected in the way you attack problems, work with vendors and suppliers and even how you choose to communicate to any employees within your company. How can you be sure your brand is reflected in everything you do? Continually think about your customers. Always ask yourself, will my customers view this interaction as a reflection of my core values? Regardless if it is a support phone call, a purchase experience, or a simple interaction with an employee, every interaction will influence a customer’s perception of your brand.

We mentioned that consistency is important when refining your brand perceptions. Here are a few tools to help guide your brand.

Customer Personas
This tool will help you to understand your audience. If you take the time to really get to know your base of potential buyers you’ll be able to narrow down your audience (if necessary) and find the niche that suits your business. Here are a few steps towards building out your buyer personas.

• Read everything they read. This includes magazines, blogs, and YouTube® videos, anything relevant to your target audience.
• Attend seminars and monitor conference topics.
• Talk with sales people, suppliers and vendors.
• Gain information by talking with customers who have and have not purchased your product or service.
• Capture data through your website. For example, how did they find your website, through a Google® search or a link on a partner site?
• Conduct interviews formally or casually.

The bottom line - get to know your audience inside and out. Understand their needs, wants, and frustrations along with their habits, likes, and dislikes. Learn how they digest information, gain insight into preferred communication vehicles, and most importantly listen to what they say. Your core values, and thus your brand, should align with the behaviors and expectations of your customers.

Style Guide
A style guide is helpful in delivering consistency across your brand. It is a handbook that can be distributed through the company and even shared with vendors or contractors who are doing design work for you. Included in your style guide are guidelines for color, logo, and typography usage. You can include copy guidelines and legal requirements as well. It may seem like extra work but choosing specific colors and fonts and ensuring that those assets are used across all customer facing materials can make a difference in the level of professionalism and output of your creative elements. Additionally, if you decide to hire someone to create or update a website, flyers, or other brochure ware you’ll ensure a consistent look and feel across your marketing materials.

Elevator Pitch
This is one of the most essential elements of your brand – your elevator pitch. Also referred to as a cocktail party pitch, this tool is your 10-30 second brief on your company. We’ve all been there; someone asks you what you do or what your company does and then you are presented with an opportunity to make a lasting impression on a potential customer. You need to convey who you are, what you do, and why you do it, all within a sentence or two. It’s best to have this prepared, practiced and refined for different audiences. This is your opportunity to shine while talking about your business. If there are multiple people in your office take the time to discuss your elevator pitches with each other. The more consistent they are the better – remember every interaction with any of your employees is a chance to influence prospective buyers.

Now that we have taken a deeper look into what a brand is and how to develop it, here are some tools to help influence your brand. It is important to remember that your brand isn’t just about your company it’s about your customers and the relationship you have with them. Engage your customers in your brand marketing.

• Use testimonials and customer success stories in your marketing materials.
• Collect feedback from your customers and directly address questions, concerns, and thank them for any praise.
• Leverage a variety of marketing channels, including forums or a blog. Invite your customers to join in a conversation.
• Talk about your customers, not yourself or your company, in marketing communications; address their needs and share solutions for their problems.

It’s important to remember a brand is more than a name. It's the entire essence of your business -- who you are, what you stand for, and how you back up your promises.

Your brand lives in the perceptions of your customers and you and others can influence that perception.

GETTING YOUR PATENT. . .CONSIDER THIS!

I was reading a forum thread on one of my favorite sites that discussed patents. I normally feel entrepreneurs should spend more time developing their business and marketing plans and less time worrying about how to get a patent. This is especially true for the "small" startup company with limited time and money.We all know how costly acquiring patents has become. We all have heard a story about the patent lost or the patent challenged, etc. But here is information that could truly affect how you approach patents both now and in the future! What you will read will make the hair on your neck stand on edge for even the most "easy going" entrepreneur.

Over the past several months, Congress has been discussing numerous changes to existing patent law. While certain elements of the legislation will bring the U.S. patent system in line with much of the rest of the world by potentially simplifying the process of filing, granting and disputing patents, my concern is that the direction and consequences of this new legislative effort will unfairly impact smaller inventors, who may face increased financial and administrative burdens throughout the patenting process.

The best information is best summed up by Stuart West, the founder and a principal attorney with West & Associates and Tamara Minisof of Entrepreneur . com -  Here's what you need to know:

Proposed Major Change

There are two very similar bills currently in process--one in the House (H.R. 1908) and one in the Senate Bill (S. 1145). In May, the Senate removed their bill from consideration from this session (although it could easily reemerge). The bill in the House was passed--with a fairly close vote of 222 to 175--on September 7, 2007, and while it has several more hurdles to clear, including passage by the Senate, it's the furthest along, so let's focus on this one.

There are six major changes proposed by the House bill that could negatively impact the small inventor:

1. A switch from a first-to-invent system to a first-to-file system
2. Substantial changes to patent infringement damages
3. Introduction of a post-grant review/objection period
4. Permission granted to third parties to submit art directly to examiners, providing them the ability to impact patent prosecution
5. Substantial limitations on the selection of courts for patent litigation
6. Early appeals in litigation matters

Let's review and evaluate each of these;

1. Switching to a first-to-file system.Under current patent law, when two patent applications are filed for the same invention by different inventors, the inventor who can prove he or she was the first person to invent it is legally entitled to the resulting patent. Presently, these conflicts are resolved within the U.S. Patent and Trademark Office (USPTO) through interference proceedings. Under the proposed Patent Reform Act, however, our current "first to invent" system would be replaced with a "first to file" system, which would award patents to the party that was "first off the blocks" to file the patent.

While this new process would bring our system into synch with the rest of the world, it also gives the advantage to the person with the largest wallet and existing infrastructure. For instance, let's say Inventor A has an idea and has begun working on it but lacks the resources to file for a patent. Along comes Large Company B, which independently developed the same idea and is able to file for a patent right away because they have the resources available. In this example, it doesn't matter who had the idea first; it only matters who could afford to file for the patent. Score: Large Company B = 1. Small Inventor A = 0.

2. Extensively changing the law that affects patent infringement damages. Current U.S. patent law says that a patent holder is entitled to damages adequate to compensate for the patent infringement, but in no event can the damages be less than a "reasonable royalty." That means if the patent holder has actually manufactured the product that's been infringed upon by someone, then the patent holder is entitled to lost profits. Additionally under current law, if the patented item is only a component of a sold product, the patent holder is entitled to damages based on the value of the complete item.

Under the new rule, the amount of the "reasonable royalty" would be based solely on the value added to the item by the inclusion of the patented component. This would limit an individual inventor's clout, as the payment for damages would most likely decrease under the new law.
 
The bill also limits the potential situations where the court could determine a willful infringement (and thereby enhanced/treble damages) to situations where the patent owner establishes, by clear and convincing evidence, that 1) the infringer continued to infringe after receiving a specific written notice from the patentee; 2) the infringer intentionally copied the patented invention with knowledge that it was patented; or 3) after having been found by a court to have infringed on a patent, the infringer infringed the same patent again.

More damaging to small inventors, though, is that the new bill creates a "good faith belief" defense, which can be raised by showing that the defendant had an "informed good faith belief that the patent in question was invalid or unenforceable, or would not be infringed by the conduct later shown to constitute infringement of the patent." While the U.S. Supreme Court recently established a similar exception, this codification increases the burden on the original patent holder, who would need to show that the infringement was intentional and that the infringer had a "good faith belief" that he wasn't actually infringing. In my judgment, this once again plays to the benefit of those with greater legal resources. Score: Large Company B = 2. Small Inventor A = 0.
 
3. Introducing a post-grant review.Presently, once a patent is granted by the USPTO, it is presumed valid and cannot, for the most part, be challenged except through legal proceedings. Under the proposed bill, however, the USPTO would now allow petitions to be filed for the administrative cancellation of an issued patent within 12 months of the patent's issue ("first window"). During this first window of review, there would be no presumption of the validity of the patent in question.

During the review window, the burden to establish invalidity is by "a preponderance of the evidence," a lesser burden of proof than the "clear and convincing" standard currently in use (which would remain the standard required to invalidate a patent in court). What would all this mean for patent holders? That for the first 12 months after its issue, a patent may not be as secure as it is today. Score: Large Company B = 3. Small Inventor A = 0.

4. Third-party interference in patent prosecution. Under existing U.S. patent law, third parties are essentially excluded from the patent prosecution process; the process involves just the filer and the patent examiner. As currently proposed in the House bill, however, third parties would now be permitted to submit patents, published applications or other printed publications to the patent examiner, thus potentially interfering with, complicating or preventing issuance of the inventor's patent. Score: Large Company B = 4. Small Inventor A = 0.

5. Limiting patent litigation locations. Patent infringement suits may currently be brought to court in any district where the defendant is subject to personal jurisdiction. In practice, this has allowed for a patent suit to be brought wherever the product accused of infringement is sold.

Under the proposed law, however, plaintiffs could only bring suit 1) where a defendant has its principal place of business or is incorporated; 2) where the defendant has committed substantial acts of infringement and has a regular and established physical facility that constitutes a substantial portion of its operations; and, 3) under certain limited circumstances, where the plaintiff resides.

When an inventor can file a claim in his or her home town, they are much more likely to be able to afford to defend their patent than if they have to file in the home state of the offender. Again, this proposed change clearly falls to the advantage of those entities with greater resources. Score: Large Company B = 5. Small Inventor A = 0.
 
6. Early litigation appeals. Under current U.S. law, appeals are only permitted from a final judgment--a ruling that ends the litigation. The new laws, however, permit a party to appeal a district court's claim construction order before a final judgment has been made on the merits.

This option could create substantial delays in the determination of a patent litigation. Right now, you basically have to win or lose before you can appeal. Under the new system, you can begin the appeal process (and therefore stall the underlying base litigation) at several points throughout the base litigation. In other words, the case can conceivably be passed back and forth several times between the District Court and the Federal Circuit Court of Appeals before a first judgment is even rendered. Then, after all these interlocutory appeals, the case could still be appealed to the Federal Circuit Court of Appeals. Again, this is a costly process that plays to the advantage of large companies. Final Score: Large Company B = 6. Small Inventor A = 0.

I know what you are thinking, "the little guy" gets "it" again. It is tough to imagine Thomas Edison or any of our great inventors surviving today's "give into the big business lobby groups" demonstrated by our elected Government leaders.

It's Your Move, Consider Getting Proactive:

If these potential legislative changes concern you, contact your own members of Congress (www.house.gov, www.senate.gov) and ask them to look out for the interests of independent inventors.

ARE YOU an ENTREPRENEUR?

What is an ENTREPRENEUR?

Entrepreneur [en·tre·pre·neur] (French). Literal translation, undertaker.

Although the words innovator, proprietor, and capitalist are used in the same sense, there are subtle differences that make the term “entrepreneur “preferable. OK now go out and tell all your friends you are becoming an undertaker…watch their heads turn.

 

An entrepreneur is a person who has possession over a new company enterprise or venture and assumes full accountability for the inherent risks and the outcome. The term is a loanword from French and was first defined by the Irish economist Richard Cantillon. A female entrepreneur is sometimes known as an entrepreneuse. However, with the word "entrepreneuse" being the French feminine form of entrepreneur, its usage in English in delineating sexes detracts from the meaning of the word "entrepreneur".

Entrepreneur in English is a term applied to the type of personality who is willing to take upon herself or himself a new venture or enterprise and accepts full responsibility for the outcome. Wikipedia

Regardless of how you define an entrepreneur the Ad Marketing Guy feels there are Five Requirements of Entrepreneurial SUCCESS.

I always ask people who are thinking of starting a business,”what in your personality will lead you to the green pastures of entrepreneurial success”? Inevitably, I hear. ..” My hard work, dedication, drive, ambition, know-how”. Ask yourself this question now and see if you agree with those five points?

I have learned while those answers are very important there are truly five distinctive characteristics that WILL assist you in your quest to become a successful entrepreneur. The five mentioned above are necessary to succeed in business, but what is necessary for “the entrepreneur to succeed”

You hear it all the time from famous entrepreneurs: Long before they were running multimillion-dollar companies, they were flexing their entrepreneurial skills by selling lemonade on the corner, building gadgets in their garage or hosting weekly college beer pong tournaments. It seems that behind every successful mogul is a kid who grew up knowing they were born for business. The excitement is not in making money but in the enjoyment of entrepreneurial success.

But what exactly is it that sets entrepreneurs apart from the rest? What is it that makes certain people believe in themselves enough to take the prospect of failure head-on and have the determination to come out on top? It takes a special kind of person to set an idea in motion, riding the highs and lows from humble beginnings to ultimate success.

The entrepreneurial spirit is a gift that inspires others to become the best they can be. From passion and positivity to leadership and ambition, here are the entrepreneurs that best define the entrepreneurial spirit.

• Passion

No one embodies the word "passion" quite like Richard Branson, founder of the Virgin mega-brand. Part of Branson's passion lies in his insatiable appetite for starting companies. Founded in 1970, the Virgin Group has expanded to more than 200 companies, ranging from music, publishing, mobile phones and even space travel. "Businesses are like buses," he once said. "There's always another one coming."

Part of Branson's appeal is that he not only has passion for business, but an incredible passion for life. Branson is famous for his adventurous streak and zest for life, making him one of the most admired entrepreneurs for his ability to have a successful work/life balance.

• Positivity

Jeff Bezos knows the power of positive thinking. Living by the motto that "every challenge is an opportunity," Bezos set out to create the biggest bookstore in the world with a little internet startup called Amazon.

Amazon.com launched in July 1995, and with no press, managed to sell $20,000 a week within two months. By the end of the '90s, though, the dot-com bust had brought Amazon's shares from $100 to $6. To add insult to injury, critics predicted that the launch of Barnes & Nobles' rival website would wipe out Amazon. Instead of hiding in the corner, Bezos came out fighting with optimism and confidence, pointing out to critics all the positive things his company had accomplished and would continue to do.

Bezos continued to expand Amazon, which now sells everything from books to clothes to toys and more. Bezos claims his wife loves to say, "If Jeff is unhappy, wait three minutes." Thanks to Bezos' positive thinking, Amazon.com has grown into a $5.7 billion company.

• Adaptability

Having the ability to adapt is one of the greatest strengths an entrepreneur can have. Every successful business owner must be willing to improve, refine, and customize their services to continually give customers what they want.

Google founders Sergey Brin and Larry Page take this concept a step further by not just reacting to change, but leading the way. Google continually leads the internet with innovative ideas that allow people to see and do things in ways they couldn't before (think Google Earth). With their ability to continually be one-step ahead, its no wonder Google is the most powerful company on the web.

• Leadership

A good leader is someone with charisma, a sense of ethics, and a desire to build integrity within an organization--someone who's enthusiastic, team oriented and a great teacher. All of these attributes were embodied by the late Mary Kay Ash, founder of Mary Kay Cosmetics, a company that has helped more than half a million women fulfill their dreams of owning a business.

Ash's story began as a single mother, working in sales for a home products company. Despite being one of the top sales directors for 25 years, Ash was repeatedly refused the promotions and pay raises her male co-workers were receiving. Fed up with the way she was being treated, Ash started Mary Kay Inc. in 1963 with $5,000.

Ash was best known for being a powerful motivator and inspirational leader, creating a company with a "You can do it!" attitude. Her sometimes over-the-top incentives included the famous pink Cadillacs she would give top sales directors. Thanks to her powerful leadership skills, Ash has been named one of the 25 most influential business leaders in the last 35 years, and her company has been recognized as one of the best companies to work for in America.

• Ambition

At age 20, Debbi Fields didn't have much to start her business, but her ambition drove her. She was a young housewife with no business experience, but what she did have was a great chocolate chip cookie recipe and a dream to share it with the world, and of course her ambition.

Fields opened her first Mrs. Field's store1977, despite being told she was crazy to believe a business could survive solely on selling cookies. Fields' headstrong determination and ambition helped her grow her little cookie store into a $450 million company with more than 600 locations in the U.S.and 10 foreign nations.

Of these five, I place Passion at the top of my list. You MUST be passionate and an apostle of your own dreams. After all, you have destiny in your hands, now place it in your mind, your spirit and into action. You will never succeed by thinking you can, you will only succeed by getting out and making it happen.

In trying to summarize, I found this quotation by Dennis Waitley, which the Ad Marketing Guy believes provides the best definition of an entrepreneur. As an entrepreneur, you will “Chase Your Passion not Your Pension".