Habits of Successful Entrepreneurs

HABITS OF SUCCESSFUL ENTREPRENEURS or why entrepreneurs fail SUCCESS EAILURE 18% Chance that a first-timer will Succeed in a venture Entrepreneurs- Big Idea people. Good at cominG up with ideas but need help developing and sustaining them. Chance that a failed entre- 20% will succeed in their preneur next try 40 Up to this age, older age is a better predictor of entrepreneurial SUccess Decline of Business Business Failures and Comebacks of establish- ments close 20% fter 2 years walt Disney 34% Likelihood that an entrepreneur with a history of success will SUcceed in a new venture Ford Motor Co. of business FA substantial fraction get the idea for their company while working at their prior empolyer Steve Jobs of establish- ments close after 5 years Bill Gates 50% Mary Kay Cosmetics Wendys Ask the question: "What can we start doing today to 36% of busi- nesses last (0 years Federal Express meet the needs of tomorrow?" Most Young Entrepreneurs fail due to UNDERESTIMATING REOURCES TOO MUCH COMPETITION EGO ARROGANCE NO WRITTEN PLAN NOT ENOUGH MARKETING NO INTELLECTUAL PROPERTY SLIM OR NO REVENUE MODEL GIVING UP TOO EARLY LACK OF FOCUS LOW BUSINESS IQ UNABLE TOEXECUTE DOES WHAT OTHERS ARE DOING "JACK OF ALL TRADES" EXCESSIVE DRIVE TIPSFOR SUCCESS v Starting a business at the right time is a skill. Seek money before adding value- be survival driven. v Think about the future- keep improving, be persistent. v Build trust and reliability into your service or product. v Focus on your core greas of strength- what you do exceptionally well. v As you grow, keep investing money back into the business instead of acquir- ing symbols of wealth, be frugal. v Keep learning because skills + knowledge = more means. Attend semindrs, find a mentor, go to trainings, etc. 3 traits that strongly correspond to success: A FOUNDER INSTITUTE STUDY OF 3,000 PARTICIPANTS FLUID INTELLIGENCE (ABILITY TO SOLVE PROBLEMS) OPENNESS AGREEABLENESS Rise of entrepreneurism in the United States 505,473 Over 270 active university-based colleges and universities offer endowed positions in some form of entrepreneurship entrepreneurship, increase of 120% in last 5 years Over 100 1,600 number of business establishments in U.S. entrepreneurship less than 1 year old as centers in the U.S. of 2010 training as of 2005 AMOUNTOF TIME ITTYPICALLY TAKES TO SECURE FUNDING FROMVENTURE-CAPITALISTS 37 MONTHS first-timer 21 MONTHS a serial entrepreneur