Four Entrepreneurial Success Principles You Must Follow
Style Magazine Newswire | 2/6/2018, 9:15 a.m.
Here are four bedrock success principles that David Finkel, CEO of Maui Mastermind, thinks any successful company must keep firmly in mind if they want to successfully and sustainably scale.
Principle #1: Commit to Building a Business, Not a Job.
No business can ever sustainably scale if it is totally reliant on the personal production of one or two charismatic founders. There is a limit to the production they can give and to the pace they can sustain. This is why I strongly encourage you to build from the very beginning from the mindset that you will incrementally grow your company to be independent of any one key person, including you the owner.
With our business coaching clients we call this passing the "hit by a bus" test. If you, or any of your key team members, were hit by the proverbial bus, would you business still be able to thrive? The only way to pass this test is to build on the solid base of a strong, well rounded team; sound business systems and internal controls; and a clear, consistent culture.
Bring your team into this work early. Make it a stated goal of your company to build an autonomous organization that has a depth beyond any one person.
Principle #2: Break the link between one hour worked and one unit of value created.
You don't get paid for time served; you get paid for value created. The same thing is true of your team. When you realize this and then analyze the activities you do for the business you see that there are clear value grades of the tasks and activities you do for the business. Your job is to role model the discipline of consistently focusing your best time and attention on your most valuable activities.
Rather than look at the day as "8 hours" of doing, doing, doing, instead block out a minimum of one hour of your best time every day to focus on your most valuable contributions to the company. This may be crafting a strategic plan, cultivating a key strategic partner, or working to groom and develop your leadership team.
It is no longer enough for you to just put in the hours, you need to relentlessly strip out of your day all the low value, time sucking activities that rob your business of your best attention.
Principle #3: Build with a "Level Three Mindset".
There is a simple model I've shared for over a decade now about the predictable stages of growth all businesses progress through. I call this the Level Three Map.
Level One is the start up. This frenzied rush is the launch of a new company racing to reach profitability and sustainability in the market.
Level Two is the owner reliant stage. Here you have a business that works, but only because the owner is there every day to make sure things work. Many business owners get stuck in Level Two having built not a business, but rather a "job" for themselves.