EP 28 -Eight Tips on How to Survive Your First Year in Business.
Today’s episode brings Nat and Ang together again in the studio! (Nat even put out a cheese plate for today’s recording). Today is all about lessons and learnings each of them has learned from their first year in business as entrepreneurs. They share their personal journeys and then break it down into their top recommendations that you can consider within your own business.
To give this episode context, Nat (lover of facts and statistics) shares some important stats:
75% of businesses survive the first year. 50% make it to five years
There are 582 Million Entrepreneurs in the world
33% of entrepreneurs have only a high school diploma
26% of entrepreneurs turn to the internet for business-related advice
42% of businesses fail because there’s no market need
23% of businesses fail due to the lack of chemistry and teamwork between employees
What is your WHY?
Ang shares a quote from Simon Sinek’s, Start with Why.
“There are only two ways to influence human behaviour: you can manipulate it or you can inspire it. Very few people or companies can clearly articulate WHY they do WHAT they do. By WHY I mean your purpose, cause or belief – WHY does your company exist? WHY do you get out of bed every morning? And WHY should anyone care? People don’t buy WHAT you do, they buy WHY you do it.”
Nat shares her why for creating her photography business and it’s a heart-warming story. One of the biggest influences in her desire to photograph people was instilled in her by her late father. She’s candid and honest in how that led her to shoot family and wedding photography. Over the years, as her business has shifted, so has her why. She’s driven by the opportunity to spend more time with her family while also serving and supporting her clients to elevate their business with professional photography.
Ang resonates with Nat’s why, as she too lost a parent and has always wanted to create a life that can provide more freedom to pursue the things she loves and to have more time with family and friends. Second, to that, Ang also shares the moment where her decision to become an entrepreneur stemmed from an unfortunate encounter with an old boss of hers. (The details start at the 10:40 mark).
Top Eight Tips is How to Survive Your First Year in Business.
#1. Create a business plan, and goals – even if you’re not looking into getting a bank loan.
#2. Keep expenses low.
#3. Pay yourself last (only in the first year).
#4. Don’t say yes to every request.
#5. Focus on Helping – your #1 goal should always be serving and helping your customer.
#6. Network and find like minded people.
#7. Before quitting your job – have a minimum of 3 to 6 months of funds to support you as a cushion.
#8 – NEVER feel shame around working another job to fund this new dream.