I think you misinterpreted the meaning of my post. This was not the definitive guide to solve all the problems associated with start ups; just my nonsensical ramblings about what I personally thought were the biggest pitfalls of the naive entrepreneur. Also keep in mind the entire post was conceived and written at 3 in the morning while waiting at the airport.

But if you'd like to go into more detail on some of the finer points, lets.

"People also seem to follow the conventional method of business start-up too much for these days."

Aside from the obvious spelling and grammatical errors, please elaborate on the 'conventional' business start-up. Are you referring to the one that is started on a shoestring budget with only a dream and hard work to bank on? Or maybe its the one that is begun with hundreds of millions of dollars of VC funding and endless focus group testing and multimedia blitzes that announce the arrival of the product months before it ever hits the market. Or perhaps its one of the millions that fall somewhere in between.

"With many businesses you really should just go out and sell. Then if sells are good, you can build a real business around that."

If all you want to do is sell, then you are salesman, not an entrepreneur. The pitfall of this argument is that the only trait needed to start a successful business, is a good product or service and a smooth sales approach. But one forgets all the intangibles required like foresight and planning, keen instincts of the market and your competitors, the ability to crunch numbers like an amateur mathematician, strong marketing and advertising, and even proper record keeping. (And if the IRS doesn't scare you, remember that in the end, they were the ones that took Al Capone down ) And don't think these are skills that you just 'pick up on the way'. Some are born with them, some forge them through years of climbing the corporate latter and learning business from the inside, and some are only strong in certain areas and hire talented people for the rest. But even if you go that route, another trait is required of you: The ability to delegate.

Do not get me wrong, a strong product and the ability to push it lies at the core of what a business is, but to think that is all you will encounter along the way is as naive as thinking the outside walls of a house are all that matter.

"People spend too much money creating a business plan, retaining an accountant, marketing firm, etc. before they even know if there is a market for the business (product). Remember, not all businesses can be started this way. But one thing is for sure without sales, I doubt any business will do well."


Last time I checked, writing a business plan was free, unless you wanted someone else to do it for you. And why would an accountant and marketing firm not be necessary? Are you going to crunch all those numbers yourself? Are you going to be the sole creative genius behind all your advertising? Even if you're going to be the ultimate green light behind any and all marketing approaches, two and three and four heads will always be better than one.

As for the last argument about sales, what about business that do not have a product to sell? Like say, consulting. Or a motivational speaker. Last I checked, the barber down the street didn't sell me anything. Even those Geek Squad guys at your local Best Buy aren't pushing any product. But these businesses are selling the exact same thing as the used car salesman down the street: Solutions to problems. I don't go to the Gap to buy clothes. I go to the Gap because I want to be hip and in style with the rest of America. I bought a Toyota rather then the other models because I wanted fuel efficiency, reliability and strong resale value. Why do I drive 15 miles to Target while Wal-Mart is 3 blocks from my house? Because I'd rather pay a few cents more for the products and get a clean, well-lit store with friendly and knowledgeable sales staff, well designed and unique products and small lines at the check out. People don't buy products or services, they purchase reasons.

["...reason is because people mistake enthusiasm, desire and ambition with actual substance."]

"Actually, those are the only substance needed. Everything else you need can be gotten one way or another. You may have to beg, borrow, or steal. But if you have enough desire, you'll find a way!"

I did not state that to downplay those qualities. I stated it because sometimes entrepreneurs get so worked up over that 'brilliant' idea of theirs, that when it goes to markets and fizzles or doesn't have the desired effect on mankind they thought it would, they give up in frustration and move on. There is no substitute for proper market analysis, constructive feedback and good ol' common sense.

"Your only investment in bootstrapping a business is the cost of the product and maybe not even that if you're smart! So, you should have very little money spent before you find out whether the business idea is good or not."

Please define 'bootstrapping' because there are many more costs associated with start up than just the product. In fact, like is stated in my signature, sometimes the product doesn't even matter.




Do not take this reply the wrong way, it is not meant to state that I have all the answers and as always, its just my views on the world. But if you're going to dissect a post, please be sure you have a better idea of what the person is talking about than he does.