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Take Heart, Fellow Entrepreneur… Here Is Some Good Newsġ. You’ll scale up without doing much more work, and since you have more venues, you’ll have a stronger foundation for anything else you do. In this case, I’m suggesting you take what you are already doing and then provide it in other mediums. Note that I am not suggesting you create all new products for these mediums. Using that last question (“branching out”), one easy way to scale up is to simply provide your product or service in more locations.

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Please feel free to learn from my mistakes anytime.Īssuming you have a decent foundation-no lingering small problems that will turn into big messes as your influence grows-then it’s often helpful to ask a series of questions focused on the areas of your business that are working well.

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Since I write from experience and provide full disclosure of my mistakes, I should note that I have never followed that lesson very well… but maybe it will help you avoid the scaling up trap. The lesson is that you should fix the small problems before they get big. But pretty soon you start running down shipments all day and getting tracking numbers and putting out fires… and you’ve effectively put the sales and business development tasks at the bottom of the priority list. There is only so much time in the average microbusiness owner’s day, and you don’t want to spend too much of it on fulfillment. The same is true with product delivery and fulfillment in general. (I’m not recommending that I’m just saying it’s possible.) But once you scale up, well, people will notice. If your customer service sucks, for example, you may be able to get away with it as a microbusiness. A small problem can become a big problem very quickly once you magnify the scale. The first principle to understand when scaling up is that whatever doesn’t work well when you are small will be dramatically multiplied as you increase your influence. I’m more interested in microbusiness owners (businesses of one, usually, or what we call solopreneurs) who want to get to the next stage of small business growth.

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I really have no idea how to create a billion-dollar business, or even a million-dollar one - so I won’t be writing about that. While they may be “good enough,” these businesses could be so much better. While 50% of small businesses fail, we have no idea how many other small businesses end up stuck in second gear for the rest of their business lives. You can get something going, but it doesn’t go very far. More often than not, you hit a big wall somewhere along the way. My own story wasn’t very strategic, but at least I was able to focus on the sales.īig Challenge #2 for an average Small Business usually comes after you’ve had some initial success. I’ll write more about getting how to get started later, because I read your emails and I know it can be hard in the beginning. To be successful, you need a product or service that sells, and one way or another, you need to do some selling-the sooner, the better. Without cash flow, you can’t do anything, so it pays (literally) to focus heavily on your initial sales process.īecause of this first challenge, we can see how roughly 50% of small businesses fail within the first five years. Many would-be entrepreneurs don’t pay enough attention to cash flow in the beginning, using a makeshift “if you build it, they will come” approach. The first challenge is getting some initial cash flow heading into your PayPal account (or however you get paid).

I’ve found that there are two sets of Big Challenges faced by most Small Businesses. Something on the Internet, perhaps-since that’s the way an estimated 24 million of us earn our living these days, just in North America alone. Let’s say you have a decent little business going.