A business is a company or other organization that buys and sells goods, makes products, or provides services. At the heart of every business is cash flow, without which any business is doomed to fail. Across the United States, small business failure rates rose by 40% between 2007 and 2010. There are many reasons for which a business would fail, but I want us to look at 2 critical factors for the success of any new business.
Critical Factor #1: Mission
Most of today’s successful companies did not start with a business plan, they started with a mission. A mission is a special assignment that is given to a person or a group. When starting a new business, your mission must be crystal clear. What is your special assignment? Google started with the special assignment of organizing and referencing the world’s information. They have done it very effectively and today, all the projects they undertake are related to that mission.
A mission statement for your business does not need to be anything fancy, but it must be something anybody could understand. For example: Providing an environmentally friendly alternative to bottled water to every American.
Critical Factor #2: Action
Be prepared to do anything and sometimes everything it will take to accomplish your mission. Do not stop or rest until you are satisfied with the progress of your special assignment. In business, satisfaction means positive cash flow, which helps in sustaining and growing the business. The truth is that you probably will never rest if you are truly committed to your mission.
What should you remember from this post? Quit wrestling with writing a business plan if it is taking you too long. Arm yourself with a mission and take action towards building your business. Once you have established a foundation and built momentum, you can focus on business development and hire experts to help with growing the business.