As a beginning entrepreneur you are the type that contributes best to a more-established business and NOT to a “new” venture. For you, the most rewarding approach is to apply your talents to improving, enhancing, and finding success with others in an existing business opportunity. Now is NOT the time for you to seriously consider investing in or starting a new venture. You haven’t yet had enough experience in this area to gain the specific knowledge and practice needed for success.
In fact, if you have resources (such as an inheritance, retirement savings, proceeds from the sale of a home) or a potential investor, your interest in entrepreneurship might tempt you to commit those resources or ask for an investment to fund a new venture. But your current lack of specific knowledge and practice, and a tendency to be “over-trusting” in the potential of a new venture, would make this unwise and extremely risky for you, and perhaps for others who might depend upon you for security or support.
A beginner in entrepreneurship should consider participating in a new venture ONLY AFTER he or she has gained an understanding of the “entrepreneurial success script”. Very specific preparations, and a program to enhance his or her entrepreneurial expertise, are required in order to improve their readiness to obtain venture capital, and to avoid wasting valuable time and resources.
Basically, a beginning entrepreneur is reluctant and conservative in his or her approach to venturing. They prefer to be thoroughly informed and would rather get through life financially in one piece, than to "make it big".
If you are a novice entrepreneur and you don’t wish to venture, then look for ways to apply your talents toward building or enhancing a more established organization. And if you have financial resources to invest, you should consider the more stable options such as treasury bills, mutual funds, company-sponsored pension plans, and insurance purchases. Even with these relatively safe investments, make sure you seek advice from trusted advisers who have a successful track record.
But if you’re interested in forming or participating in a new business venture, the first step is to improve your awareness of the entrepreneurial expert “script”. In other words, familiarize yourself with the people and patterns found in successful businesses. This knowledge gives you a framework to better discern if your particular venture follows proven patterns of business success. As you become more aware of what works, what does not work, and why... you’ll gain greater confidence in your ability to venture.
SOURCES: Dr. Ronald K. Mitchell, CPA, Ph.D and Howard Mitchell
The Wayne Brown Institute is the premier resource for entrepreneurs seeking funding and for investors who want to help promising young companies achieve their potential.
The Institute’s educational mission is to prepare entrepreneurs for the difficult task of commercialization, the raising capital for their business, mentor their presentation skills, and introduce them to investors who can make it all happen. Truly, it’s a “win-win-win” scenario: entrepreneurs with good companies -- connected with good investors -- resulting in venture-quality deal flow and a boon to the economy.