A lot of people think they have a genius idea or a clever business strategy. But how many actually follow through with their own brilliance? Those who do probably possess the foundation of all business success: the right entrepreneurial mindset.
So what exactly is this way of thinking? How can you apply it to business operations? Successful self-made entrepreneur and business coach Kristy Verity elaborates on this concept on our podcast. Listen to her as she unpacks different aspects of the entrepreneurial mindset, including:
A perennial question in the business world is: are entrepreneurs born, or are they made? Simply put, successful entrepreneurs develop their achievements over time. It takes a huge amount of effort to not only behave like a CEO but to think like one. This is where the entrepreneur mindset comes into play.
This mindset is, fortunately, learnable. With the right strategies and coaching, anyone can adopt the entrepreneurial mindset. Verity herself describes how she negotiated her way out of her conventional job.
Describing her past profession, Verity says, “I knew the growth, where the business was going, where I was working, and so I thought it made sense for them to consolidate a few of the roles so that I could actually leave the business and get a payout. So that’s what I did.”
Verity confirms that anyone can become a successful entrepreneur. First, though, you’ll need to understand the concepts that comprise the entrepreneurial mindset.
What components make up the entrepreneurial mindset? How do you need to change your thought processes to think like a CEO? What should you focus on when you step into the business world?
There are a lot of moving parts to entrepreneurship. Let’s narrow down a few concepts that great business owners constantly consider.
Many new entrepreneurs are eager to build their ideal vision for the future. Of course, to progress towards your vision, you’ll have to set and meet your goals. It’s critical to set these goals intelligently, as Verity explains.
“What I like to work on is the vision. Give yourself that pump, that ‘why,’” she says, “and then…what exactly am I going to do in the next 12 months to hit the 12-month goal? We call that SMART goal setting.”
The acronym SMART stands for:
Entrepreneurs must learn to assess their objectives in these five ways. Then, they can put the puzzle pieces together to create an actionable, achievable goal. Listen to solo momtrepreneur Regina Peterburgsky describe her entrepreneur’s journey here: https://podcasts.apple.com/ca/podcast/ep-50-entrepreneurs-journey-solo-mom-amazon-w-regina/id1525564513?i=1000494839525
Good goal-setters narrow down broad ideas into specific, detailed ones. Take your general idea and break it into smaller, actionable chunks.
Next, determine how you can track your progress towards these specific goals. Do you have the right analytical tools in place to do this? Now is the time to think about numbers.
It might sound obvious, but it’s important to set goals that are within reach. Be realistic when setting goals for your business. Otherwise, you’ll almost always fall short of your targets.
It’s easy to overlook the “why” in business. As Verity explains, this is imperative for setting goals. “There’s got to be some kind of relevance to you,” she says. “Do you really want to do it? Because if you’re not intrinsically linked to it, then you’re never going to achieve it, or it’s going to be hard work.”
Every goal should have a time limit, and that limit should be reasonable. Setting a finish line will help you take the necessary actions in a timely fashion. This is especially important for procrastinators!
Let’s revisit the idea of the entrepreneurial vision. You should consider what your life will be like as a business owner. Ask yourself the following questions:
Consider that your entrepreneurial life will fluctuate over time. You’ll likely invest the majority of your waking hours into your career in the beginning. As you gain success, you can gently take your foot off the gas. Eventually, you may want to sell your business entirely.
“It’s literally called forecasting planning,” Verity explains. “I like to break that down into quarters, not just the full 12 months…I’m going to launch this product here, this product here, this product here. But then I’ll say, ‘What do I need to do in the next 90 days to enable me to hit all those things that I put into the forecast?’”
Good forecast planning revolves around a few key elements. To lay out a robust business plan, entrepreneurs should consider:
If this business fails, make sure you have a way out. Your exit strategy should be a practical approach to the possibility of failure. Don’t think of this as dire! Instead, see it as a way into your next venture.
It’s also a good idea to think about the legacy of your business. Maybe this is something you’ll want to hand down to your children if it’s successful. Perhaps your vision is to reach an IPO. Or, you might be comfortable selling your business when the time comes. Know the general shape of your end goal so you can always be working towards it.
Don’t underestimate the value of research. As the e-commerce industry booms, more people think they can make a quick profit selling on Amazon. This isn’t always the case. Those who take the time to research their products will be far more likely to succeed.
Successful entrepreneurs constantly seek better education. Information they look for includes:
The more insights you gain about your particular industry, the better educated you’ll be. This will enable you to strike the best deals, launch the hottest products and target the right customers.
And what’s more, it can often be difficult to understand what are the right metrics to track and see what your financial reality really looks like. Tune into financial expert and the Founder of The Profit Factory, Tim Francis’s 3 Day Know Your Numbers Workshop or listen to him give out some free advice right here at Lunch With Norm.
Entrepreneurs are naturally enthusiastic. They see business opportunities everywhere, and they have new ideas all the time. The best business owners, however, have practiced streamlining their thoughts. This way, they can stay focused on the right objectives without getting sidetracked.
“You can’t really fail in terms of the opportunities that are out there,” Verity says. “However, where you can fail is thinking that you could do everything all at once, without any prior knowledge.”
Verity discusses what she calls “shiny object syndrome.” This is when entrepreneurs get distracted by all the new, exciting opportunities out there. Perhaps it’s a novel advertising strategy or a new retail platform. Whatever the shiny object is, it can lead people away from their core goals.
Instead, you should focus the bulk of your efforts on what already works. You can still try new approaches, but don’t spend all your time doing so. Verity advises that you follow the 70/20/10 rule to avoid shiny object syndrome:
Look at your time, resources and money as comprising one budget. Then, you can allot the right amount of effort to each type of progress.
Most of the time, you’ll need to hire a team of employees or partners to help you achieve your goals. This is another crucial component of the entrepreneur mindset. Good business owners know they can’t do everything alone.
“The one thing I would just say on hiring is, obviously, get the right people, but nurture the people, as well…Regardless of what they’re doing in the business, treat them like they are a valued member of the team, even if they’re working for you for a couple of hours a week, and show them the vision of the business,” Verity says.
When you hire your team, consider what they will mean for the future of your business. Invest in every employee accordingly. You never know what new ideas, inspiration or guidance someone will bring to the table.
There are several personality traits that you’ll have to adopt as a successful entrepreneur. These traits complement the strategic components listed above. Here are a few core qualities every strong entrepreneur learns to embody.
You will undoubtedly encounter your fair share of obstacles. Knowing how to persevere through the hard times is key. Learn how to adapt your business to the current economic climate. Push through the major difficulties to earn even the smallest wins.
Though we’ve explained why it’s crucial to invest in your team, you’ll also need to work independently. Much of your entrepreneurial work will fall on your shoulders alone. Furthermore, you’ll need to figure out a way to use your resources to navigate tricky situations.
It takes a lot of guts to step into the world of entrepreneurship. A strong sense of confidence will keep you from losing faith in your goals. Moreover, it will keep you keenly aware of shady business deals or potential traps. Also, consider that you’ll need to make decisions every single day. Being confidently decisive will speed up your progress.
Be confident, but don’t lose sight of humility. You can’t let your ego hold you back from a second, third or fourth attempt. Moreover, you should strive to uphold a high level of self-awareness. This will allow you to analyze your business objectively.
The entrepreneur mindset is a broad concept with many specific facets. An honest entrepreneur will tell you that they have yet to master the mindset. In fact, the more you learn in business ownership, the more questions you’ll have. Subsequently, the more growth you’ll need to achieve to succeed.
As a business coach, Verity admits she has had to work to change her own mindset. “How I felt was…I’m jumping off a cliff but realizing that I’ve got wings, right? But I didn’t realize I had the wings before I jumped off the cliff.”
She advises new entrepreneurs to dig deep to adopt the entrepreneur mindset. “You’ve got something else inside you that’s more than the money,” she affirms. “So if you can tap into that first, that is the thing that’s going to get you through the hard times.”
Want to learn more about the entrepreneurial mindset and other business hacks to take your business to the next level? Tune into “Lunch With Norm”, a small business podcast that has all the big ideas about digital marketing, e-commerce and exclusive entrepreneurship journey’s you won’t find anywhere else. PNew episodes stream live on Facebook and YouTube every Monday, Wednesday and Friday.
Norman Farrar Entrepreneur and businessman Norman “The Beard Guy” Farrar stands at the forefront of the economic mega-machine known as Amazon Marketplace. As a leading expert with over 25 years of product sourcing, development, and branding expertise, Norm is an advisor to many and an inspiration to all.
Norman Farrar Entrepreneur and businessman Norman “The Beard Guy” Farrar stands at the forefront of the economic mega-machine known as Amazon Marketplace. As a leading expert with over 25 years of product sourcing, development, and branding expertise, Norm is an advisor to many and an inspiration to all.
Get notified with new podcast episodes every week! Plus, actionable and practical eCommerce tips straight to your inbox.
No spam. Unsubscribe anytime.
