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Lesson #1 I Wish I Knew Before I Started My First Business
Posted by Michael Cage on Friday, October 15, 2004I spent almost a year organizing my first business. I devoted all of my spare time and energy to important things like securing the product I'd be selling, and learning about who I was going to be selling it to. I invested an embarrassing amount of money. And then...
I discovered what I had to sell would not sell.
This is a hard learned lesson for many entrepreneurs who believe the important part of their business is the idea. The idea is important, to be certain. But there IS NO BUSINESS until you have a customer.
In most cases, priority number one should be to get the first sale as quickly as possible to prove the business concept you have has legs. If it doesn't, all the planning and strategizing in the world won't do you a bit of good.
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Michael --
You are so right! And you’re not alone. Way too many small business owners (or wannabes) come up with a fantastic idea that they spend hours and money on to get ready to sell and once they take it to market, it’s a flop.
Most of them miss the all important step of market research. And many ignore the advice that we should listen to our market crying out for a product and then provide that product rather than the other way around.
Best of success!
Denise O’Berry
on Tuesday, November 23, 2004Until You Get A Sale, Nothing Else Matters
on Tuesday, November 23, 2004Michael Cage: “This is a hard learned lesson for many entrepreneurs who believe the important part of their business is the idea. The idea is important, to be certain. But there IS NO BUSINESS until you have a customer. In…
It is a Catch-22 situation. Your first Customer/Sale are extremely important and so are the preparations before the first sale. You have to be sufficiently prepared to serve the customer and execute the sale. If you include “how-to-sell” along with “what-to-sell” in your initial preparations, then your initial efforts are worth it.
I agree there is no business if there is no customer. That is why a business plan is a good idea, where you are forced to define your target market and establish market requirements upfront.
In spite of all the precautions, things can turn out to be different, but hey! isn’t business an opportunity to try out your risk-handling capabilities?
You are absolutely right about the fact, most entrepreneurs focus too much on the IDEA. Instead, they should keep idea in view while concentrating on other practical aspects of doing the business.
Oh by the way, I write a blog about running a “virtual” dotcom business, which does all the preparations that a real business would do, before selling the product/service. Currently I am writing about Business Plans. Check it out: http://businessworks.blogspot.com
on Wednesday, November 24, 2004Mind sharing what you first sold?
on Saturday, November 27, 2004What if my first biz I want to offer a service?
True, true.......a little marketing before launch is a great idea.
on Thursday, September 29, 2005-----
Really great blog with alot of good information!! Keep up the good work.
on Monday, July 28, 2008i’m agree. thanks!
on Wednesday, July 30, 2008You do the cerebral work! Really admirable. Thanks for sharing with us.
on Wednesday, November 26, 2008I work for a mortgage brokers, are biggest problem is the banks dont want to sell what they have. So now we have no lending and no borrowing.
on Friday, December 12, 2008I agree there is no business if there is no customer. That is why a business plan is a good idea, where you are forced to define your target market and establish market requirements upfront.
on Wednesday, December 17, 2008This is true that without customer there is no business. For this you need to attract people and also give them good service.
Leather Chesterfield on Saturday, January 03, 2009