One of the first things that we learn to manage as an entrepreneur is our time. The second one is our financial resources. These are a few quick starter tips for any methodical creative that is seeking to turn those business ideas into monetary reality:
Be prudent.
It might seem superficial or too simplistic, but this adage is tried and true. As an entrepreneur, we will need tenacity, fortitude, the gift of gab and a firm support system but most importantly, we will need to know what to do with our money.
Follow successful examples but don’t be afraid to blaze your own trail.
If a loan seems like the right thing to do then go for it but be certain not to overwhelm or create a stressful financial situation. It is important to be open to starting small and it is ok to follow the examples of entrepreneurs that have come before you, not just moguls that we aspire to be like. If it isn’t broken then don’t fix it is a good rule of thumb when it comes to formulas that work for business.
We must manage our money.
This means any and all amounts, large and small. Keep track of what we’re spending on our businesses by maintaining an accurate bookkeeping system. It may even be worth investing in software specifically suited for this purpose.
Build clientele.
Obvious but many people get an idea for a business and start investing in it before they have secured any customers. Once a customer base has been acquired, scale.
Time is money.
No freebies! Value yourself and your services and refuse to give anything away without receiving something of value in return.
Set a financial goal.
Measurable goals are better and help us not feel defeated. Also, small goals can be met within reasonable deadlines. Be willing to revise these goals as business and experience grow.
Don’t focus on acquiring large amounts of capital in the beginning.
It’s unfortunate but sometimes it can be easier to obtain financing for auto repair than it can be to find a working capital business loan with a reasonable interest rate that will consider a less than spotless credit history.
Last but not least, pay yourself first.
Be firm and committed to this idea because it is impossible to have a successful business if you can’t meet your basic needs.