#10. Act Naturally, Buck Owens
Someone once said don’t focus on money, focus on your passion, and money will follow. It’s great advice for any entrepreneur. Do what comes natural to you. Find a way to make money leveraging your skills or unique talents. If nothing comes to mind, you probably just haven’t found it yet. You are unique in your own way. Finding that uniqueness and being able to demonstrate your value to others is the first step in starting a business. Be authentic.
#9. Standing Outside the Fire, Garth Brooks
This one was an easy choice because of the great life lesson the songs teaches the listener. Those who stand on the sidelines and risk nothing cannot criticize those who dare to take the chances. Entrepreneurs are risk takers. It isn’t that they do not value their own time, assets, families, etc. The best entrepreneurs believe in themselves and their ideas. They understand their unique value to the market. Their success or failure often hinges on their ability to communicate that value.
#8. One Piece at a Time, Johnny Cash
This classic by Johnny Cash tells the story of an auto worker who steals a part or two every day from the GM factory where he works so that eventually he’ll be able to reassemble a new car for free. While the story is amusing, there is a business lesson as well. Businesses, like cars, are built one piece at a time. Piece by piece, brick by brick. There are no shortcuts. If you do not take the time to lay the proper foundation, to put the necessary systems in place, to plan, execute, manage, control, verify, and hold yourself and your employees accountable, you will fail. End of story.
#7. Hard Workin’ Man, Brooks & Dunn
It goes without saying that being your own boss isn’t always as great as it sounds. If you aren’t ready to work harder at your business than you ever imagined, it is probably not the right venture for you. Remember, no investor, bank, partner, or employee should ever be called upon to believe more in your business than you do. If you are asking any of these people to take more risk than you are willing to take, then go back to #9. Do you truly believe in your ideas and your business? If so, you’ll find a way to overcome obstacles; you’ll prove to these partners that you believe by pledging your time and talents as well as your financial resources, in order to make the venture successful.
#6. Last Thing I Needed First Thing This Morning, Willie Nelson
Can anyone sing a sad country song better than Willie? In business, as in life, things can and will go wrong. Prepare for the unexpected. You should have contingency plans for your contingency plans. If you are seeking financing and are speaking with an investor, partner, or banker, and they ask you what you plan to do if they do not finance you—you better have an answer. If that moment is the first time you’ve given thought to that question, something is wrong. Go back to #8 and reconsider your business plan. Have you thought the idea and its execution all the way through?
#5. Everything that Glitters (Is Not Gold), Dan Seals
This song has a few different applications. On one hand, be careful with your revenues. Be thrifty and control your expenses. Many businesses find they can make money quickly and sales aren’t the problem—it’s controlling expenses.
Another way to look at this song is every idea or market niche that may seem appealing, might not be the best fit. Most businesses have limited resources: be they time, money, personnel, etc. Spreading these resources too thin trying to be all things to all people is never a good strategy. Know who your market is. Know who your customer is. If your target market is defined as “everyone”, you have a fundamental problem.
#4. In A Week Or Two, Diamond Rio
Many a business has fallen victim to procrastination. If you have an idea or plan, implement it. As a banker, the majority of loan applicants that I meet with have good intentions, but after our first meeting fail to provide timely financial statements. In other words, if you are seeking financing (from a bank or investor or otherwise), find out what information the decision maker needs to see from you, then provide it. Be prepared. One particular business owner I met with could have saved $90,000 in annual cash flow by refinancing some business debt. By the time he got around to providing the necessary financial statements and tax returns, his business had slowed down and his financial situation had changed. He no longer qualified for the loan as he did when we first met nearly six months before. In other words, he cost himself $90,000. Think of what those dollars could have meant to his business or to him personally. Procrastination is devastating to a business.
#3. Things Change, Dwight Yoakam
Taking a cue from the previous song, things change. In the prior scenario, the fact that the business qualified for the loan upfront was great; however, failure to act in a timely fashion subjected the business to the ever changing dynamics of the market. Sales fluctuate, seasonality occurs, expenses can increase. With so many variables in the equation, it is important to be decisive. This is not to say “run out and get a loan”. The simple truth of the matter is a loan isn’t always the right answer for every business. It is merely one potential solution to a business need. However, because things change, planning is crucial. Plan for contingencies. Perform gap analyses to understand where your weaknesses lie. Revisit your plans to gauge your level of execution. Just because you knew who your customer was six months ago, doesn’t mean you know today. Things change.
#2. The Gambler, Kenny Rogers
I couldn’t not put this song in the list: “You’ve got to know when to hold ‘em, know when to fold ‘em, know when to walk away, and know when to run. You never count your money when you’re sittin’ at the table, there’ll be time enough for counting, when the dealing’s done.” Understanding when to take on risk and when to avoid risk is at the center of sound management. Timing matters. Don’t count your chickens too soon. Remember, things change. I know of one business that had $500,000 cash at the close of the second quarter and was insolvent by the close of the fourth quarter. Knowing when to walk away is just as important as anything.
#1. Live Like You Were Dying, Tim McGraw
Finally, ask yourself what you would do if you knew you were going to die today, tomorrow, next week or next month. If you only had a year to live, what would you do? Make each day count. If you can make your passion your business and your business your passion, you’ll be successful. This may necessitate finding the proper partners and experts to help you in your venture. They may be partners, investors, mentors, or others. They may be your unofficial board of directors (banker, attorney, CPA, business insurance, etc.) If you believe in yourself and your idea, if you believe in your business, find those partners who believe in it too. Surround yourself with those who want to see you be successful. If your business is a startup, they can help you prepare to get things going. If yours is an established business, they can help you see holes in your strategy and opportunities you might have missed. Do all those things that will help your business be successful, but do it now.
