R. Shawn McBride recently spoke about entrepreneurial investments.
Hey, folks, Shawn here with you, and I’m going to be talking today about entrepreneurial investment. Building your business and making it do more.
So a lot of times when you’re an entrepreneur, your life doesn’t fit the standard circle. Your friends don’t understand the passion, the time, the energy that goes into your business. They don’t understand how passionate you are 24/7. We as entrepreneurs are often misunderstood by the mainstream world. It’s just a different take, right? We’re in control, but we’re often working more hours, but we do have some flexibility in those hours, and we’re doing something great, and we’re very interactive with other people. So we love it, but the outside world doesn’t get it. Another thing that the outside world doesn’t get is the money part of it. We are building something completely different than others.
Now, there’s some risk involved with being an entrepreneur. We talk in partnership context. If you haven’t seen my other videos or blogs we talk about things that happen in partnerships. Death, disability, divorce, disagreement. These things can derail a partnership and they can also derail an entrepreneur. But aside from that risk, what most entrepreneurs are doing is really building a different type of asset and our assets are long-lived assets and they are very powerful. That knowledge that we’re gaining, the relationships that we’re getting; the things that we’re doing and building our businesses often are monetized in a huge degree late in the process. It is that exponential hockey stick for so many entrepreneurs. Grow, grow, grow, grow, grow, and then one day it just takes off. Because that knowledge, that understanding of business, those communication principles, all the things that you’re building together in your business suddenly takes off.
But I have more than a few entrepreneurs come to me that are frustrated because they are not earning money early in the process. Their balance sheet may not look a standard way. Their income statement may not look good because of all of these expenses, and all of this brand building and investment in yourself. You see very non-standard assets, but don’t be mistaken, it is an asset, much like building a building. If you’re a contractor and you’re building a building, you’ve got to lay the foundation. You’ve got to put the walls up, you’ve got to order the windows, you’ve got contractors in there, you’ve got inspections, you’ve got legal fees for title, you’ve got tons of costs, costs, costs, costs, costs, costs, depending on the size of the project, it might be six months to a year before you can start leasing that building out. All this money in the front, revenue on the back. And revenue may increase over time as part of that town develops, as more and more tenants come, or whatever. Same with building your business.
We need to take the long views, so this is one thing that a lot of entrepreneurs miss is there’s a long view to investing and building your business. Money goes in, money goes in, money goes in, laying the foundation, building the walls. Putting the windows in. Assembling a product that customers want. And then when it’s assembled, then you start bringing the money in on the back end, and there might be multiple streams of revenue. So let’s not get discouraged, those of you that are getting discouraged, stick with it. You’re building something valuable. You’ve got to build it smartly, you can’t just throw money around. It’s very important to be smart about it. You need to be judicious, you need to pick where you’re going.
Have a plan. Don’t start building your buildings unless you have an architectural diagram, and that’s one of the things I work with people on. I help them build that architectural diagram of growth. Know where they are, where they’re going, and how to get there. So I want you doing the same. I want you building your diagram of your success, your growth, and how are you here, how are you getting there, how do we connect the dots. So, if that’s something you’re dealing with, let me know, I would love to talk to you, do some one-on-one coaching before you start throwing money in different holes that may not all fit together. I’ve seen the plans. I’ve worked with a lot of business owners. I’ve built my own business. I can help you connect the dots.
So there’s a lot of great information out there if you get the dots connected before you start building. Let me know. McBride for Business YouTube Channel. Great videos to help you out. The R. Shawn McBride Fan page, R. Shawn McBride Fans, and Audiences on Facebook. Like it, share it, get your friends involved. You’ll see wonderful things there that will help you do better in your business. McBride for Business Blog, and McBride Attorney’s Blog – all of these are resources for you. Tap into them. Utilize them. Build something bigger than you. Let me know how I can help. Get your business evaluation checklist at McBride for Business. Reach out to me, R. Shawn McBride, let me know what your questions are, and we’ll take it from there. I’m R. Shawn McBride, looking forward to talking with you again soon.
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This posting is intended to be a tool to familiarize readers with some of the issues discussed herein. This is not meant to be a comprehensive discussion and additional details should be discussed with your attorneys, accountants, consultants, bankers and other business planners who can provide advice for your circumstances. Each case is unique. Past results do not guarantee future outcomes. This article should not be treated as legal advice to any person or entity. Freeimages.com/photographer Kent Squires.
About the Author
R. Shawn McBride is the Chief Innovation Officer at McBride For Business, LLC. His signature keynote, The 3 Laws of Empowerment, gives audiences an entertaining look at how they can prepare, plan and protect themselves. You can email R. Shawn McBride or (214) 418-0258.