Page 116 -

Think Like an Entrepreneur

8,000 experiments, trying all sorts of materials, and under every imaginable
condition. An acquaintance is said to have asked, “Mr. Edison, how can you
keep going in the face of 8,000 failures? Why aren’t you crushed by the futility
and frustration?” Edison replied coolly, “I never had one failure. I learned from
every attempt, and each experiment led me to more likely pathways, and I will
eventually succeed.” Lights on!

What obstacles are holding you back? Instead of letting them prevent
you from achieving your entrepreneurial success, think of obstacles as calls to
action. For example:

1. Lack of fi nancial resources: Soften this obstacle immediately by asking
yourself what action you should take. Where should you look for start-
up capital? How can you proceed so that money does not stop or limit
you? What do you have to do to move forward with your limited
financial resources? How much money will you need to launch and

grow your venture? This obstacle presents an excellent opportunity to
brainstorm with your friends and advisors.

2. Potential for fi nancial loss: Keep Edison’s “Trying Game” in mind. Invest
carefully in what you believe is an opportunity. If your venture does not
make it, the next time you attempt a start-up, you will be more savvy
and your chances of succeeding are greater. Don’t make major expen-

ditures until you have confidence that you are on the scent of a real

opportunity. Specifically, what amounts of financial loss are you wor-
ried about? At what point might your business not make it, and how
much money in total will you lose in the worst case? Are we talking
about a life-threatening amount, or a sum that you would be willing to
lose to explore a chance of a lifetime?
The short answer is: Don’t put the future of your family or your-
self at risk. If we are talking about sacrificing a new SUV ($35,000), a

family vacation ($15,000), two cups of coffee a day ($1,750 annually),
cigarette smoking ($1,500 annually), chocolate chip cookies (now that
would be a huge sacrifi ce for me!), or (fi ll in your own sacrifi ce here),
you may be willing to make such a sacrifi ce.
To find money for your start-up:

• Bootstrap to minimize costs. Be a penny pincher.
• Mobilize free resources, equipment, and people.
• Develop your business during evenings and weekends.
• Spend the minimum on development and start-up costs until you
know you are on the right track.

93

8/23/07 3:14:09 PM
c10.indd 93
c10.indd 93 8/23/07 3:14:09 PM