Entrepreneurship

When we think about working within constraints, we often think about startups without investor funding. There are dozens of articles written about founders and how they used their given resources to build a successful company.

Learning to work within constraints is a necessity regardless of your profession. Although we live in the most abundant time in human history, we encounter limitations every day.  How we learn to manage these constraints and overcome challenges can become an invaluable trait.

The root of the matter is your perception of the challenge. Do you wait for something or someone to find a solution or do you problem-solve?  How we elect to manage, these challenges will determine the success of our business, organization, and life.

Strategies for the Top Four Constraints

Time

In my office, I have a small poster with an ocean view.  Written at the top is a quote, “Time is life’s most precious commodity, use it wisely.” The source is unknown.  We often forget during our busy day that time is a non-renewable commodity.

Three years ago, I read the book, The Road Less Travel, by Dr. Scott Peck.  He talked about how our parents, teachers, and peers can directly or indirectly influence how we value our time and ourselves.  This influence becomes evident when we reach adulthood and must manage our work and professional life.

Each day, I think about how I spend my time.  Not, which appointment to schedule next or which task to add to a list of busy work.  During my morning runs, I mentally allocate where I will use my time and energy for next 12 – 18 hours.  Each day, running, writing, and enjoying “just being” are priorities, not an afterthought.

I follow Jason Fried, co-founder of Basecamp and his life and work philosophy is similar.  As I wrote before, “being busy” or “slammed at work” is not a badge of honor it is a misalignment of priorities.   Busy work accomplishes nothing.

Financial

If you are a startup or have worked for one, you know about financial constraints.  Every day, the founders and key team members worry about money.  You worry about sales; you worry about reaching your hurdle rate.  As a small business owner operating in a sea of regulations and growing competition, worrying about cash flow is a constant stress.  There is no escape.

Last year, I read an article in Inc. Magazine.  A successful business owner was a guest columnist and wrote, “Looking at your sales every day and how much money you’re making or not making will drive you crazy.  It’s a marathon, what you earn over a 12 month period or longer.”

He went on to talk about how it is important to be aware of where the company is from a big picture perspective for cash flow, but the constant worry will do more harm than good.

I have thought of about his advice.  I believe when we become hyper-focused on the lack money, we send out negative energy.

If you believe the sales and customers will support your business, then this faith in yourself and the business comes through.  Most people do not like to work or buy from businesses or organizations that are collapsing or believe they are failing.  People can sense the negativity.

Recognize financial constraint is a given. Develop a system to keep tabs on the cash flow without becoming consumed with daily worrying.  If you are too focused on this constraint, you will most likely miss an opportunity.

Leadership

Leadership is a combination of innate talent and skills developed over time.  Leadership is difficult and cannot be learned in a two-day seminar.  We often write and talk about leadership, yet it tends to be a mouthpiece to satisfy something that has no meaning. It requires a unique combination of skills and a certain personality.  Most businesses and organizations do not have the luxury of having a strong and gift leader.

In these cases, employees and team members will need to determine how they create strong leadership at the bottom without insubordination.   Which isn’t easy either, how do you create leadership within the ranks while continuing to support an ineffective leader?

This is when creative problem-solving becomes curial. I often tell my son that to be a good leader; integrity must be at the core with an understanding of coaching people with grace.  When I say or write, these words people’s immediate reaction is that the approach is too soft, which is incorrect.  This approach involves structure with empowering team members.  Leadership is about building effective proactive teams.  These teams can work to achieve the organization’s goals even when dealing with unfavorable constraints.

Resources

Constraints we encounter to do our work and run our business is constant.  For my business, I need to upgrade the computer system.  The operating system is dated which creates problems with the software programs I use for client work.

An entrepreneur friend, once said, “Don’t make any large purchases or hire employees until the pain is absolutely unbearable.” Based on his advice, I continue to develop a work around to delay purchasing a new computer.  There are some of you who may disagree, and that’s fine.  Between working for startups and being a small business owner, I’ve learned to protect the second most valuable resource – cash flow.

Of three constraints I’ve discussed; I believe where most people fail to placed importance – is time. For us, time feels unlimited as we get up each day and do the same thing again.  It’s only when we start looking back at how we spend our time do we realize its real value.

For many years, working class families would tell their children that obtaining a college degree was a way out.  Parents told their children, if they worked hard in school, went to college, they would get a good job and have a better life. Corporate jobs had benefits and a retirement pension, something their parents did not have.

There was hope for something bigger than themselves – a better life for their children. The story talked about how parents overcame the struggle of saving for college to ensure their children’s success.

Families repeated this story in households around the world.  Our stories are important, it is how we pass down history, maintain our grounding in society, and express our fears and desires. Many stories we share were created thousands of years ago.  The wisdom contained within these stories continues to have value regardless of the technology tools we use or the advances we’ve made.

However, somewhere along the way, their hero’s story changed, lost its core meaning, and then it disappeared.

Obtaining a college degree became the Holy Grail, a ticket to happiness and success. Unfortunately, this is an illusion and not realistic.

Today, children go to college, take on debt, and then keep their fingers crossed they’ll find employment. When the degree does not match everyone’s expectations, the family members feel lost and search for a story to rely upon for guidance.

The reason for this shift cannot be assigned or placed on anyone group, government policy, or action; it happened as a result of many, many, factors coming together at once.

The Hero’s Journey

Joseph Campbell was the world’s most famous mythology expert and wrote about the hero’s journey.  His impact can be seen in George Lucas’s Star Wars trilogy.  Lucas based the first three Star Wars movies on Campbell’s books.  He spent hours with Campbell while writing the script for the first movie.  Campbell wrote in The Power of the Myth, “A hero is someone who has given his or her life to something bigger than oneself.”

We are living during a time of significant change.  If not the most profound time in human history.  Being part of history makes it difficult for us to see the changes occurring around us.  Disruption sneaks up on us.  We find ourselves in a place, where there is no “Future for Dummies” to guide our way.

Often during periods of change, we alter memories of the past, blocking out the negatives to comfort ourselves as we face the unknown.  We cannot let our fears prevent us from envisioning a better and positive future. In every hero’s journey, a person must walk through the dark forest, like Luke, to find themselves and overcome their fears.

Writing a New Digital Story

We must write the story together with an underlining theme of hope. The digital hero will travel down a new path. He must incorporate the modern world with wisdom gained from the past, as the old predetermine path is gone.  Part of the journey will include advanced technologies, a new way of learning, and a spirit of entrepreneurship.

A powerful story about a young man or woman as they struggle to learn new technology skills using different platforms while tapping into their unique problem-solving skills to develop a story that is larger than themselves.

The goal for this post is to highlight the disappearance of a story central to a large segment of society and bring attention to the importance of writing a new story.  Our narrow focus on college being the Holy Grail of success is incorrect and taking us down a wrong path.  A person’s success is determined by many factors and education is one component.

I believe learning and education are critically important.  Learning should continue throughout a person’s life.  It is a lifelong process.  “Go to College, Life Will Be Good” is an empty statement and provides no foundation for building an authentic story for the future.

Summer is a great time for kids and teens to start small businesses and gain valuable experience that will help strengthen their problem solving, leadership, and communication skills.

Small businesses provide the opportunity for kids and teens to obtain hands-on experience.

For many dyslexic kids and teens, entrepreneurship is a natural calling as research continues to demonstrate a strong correlation between business ownership and dyslexia.

When I was 12, I had a successful babysitting business.  The business helped increase my confidence, gave me independence, and a way to earn spending money.

Listed below are business ideas for kids and teens, plus tips on how to help your child start their own business.  Use these ideas as a starting point with your kids; I’m sure they will have lots of ideas too.

Kids Ages 9 – 12

Lemonade Stand

The classic Lemonade Stand was one of the best ways to experience business ownership on a small scale.  Skills and experienced gained included determining the date, getting supplies, making the lemonade, keeping the lemonade safe, offer the product to customers, managing the money, and making sure they do not run out of lemonade.

However, the old school Lemonade Stand is gone as families are now required to have multiple permits to sell Lemonade.  In most cities, Lemonade Stands are permitted when the kids ask for donations.

Very Important, If your kids are considering a Lemonade Stand review your city’s website for permit requirements before your kids set up shop.

Hand-Made Products

If your daughter loves making jewelry or iPhone covers, she can turn her creativity into a business.  Teen girls are making and selling their products on Etsy, eBay, and Facebook.  Many teens are using the Internet and social media to earn money for college.

To get started, determine which jewelry products she will sell and the price.  She can review Esty and ebay for price comparison.  For pricing, make sure she is covering her cost plus enough to earn a profit.  Your daughter can test the market and her prices by creating a flyer to pass out to family, friends, and neighbors.

From the feedback, she can make adjustments.  For teen girls interested in earning money for college or a car, they can create an account on Etsy or ebay to sell their jewelry.

For in-person credit card payments, Square or PayPal are good options.  Both provide a mobile app with swipe reader.  Fees range between 2% – 5% depending if you swipe the card or manually enter the information into the phone app.

Not to leave the boys out, I know several families where their sons create sports related items and sell their products on eBay.  Remember no idea is too small and encouraging your kids to pursue their ideas is important.

TEEN BUSINESSES 

Yard Service

Mowing yards in the summer provides consistent income, a great experience working with customers, and the opportunity to strengthen their time management skills managing different mowing schedules.  Teens learn how to handle their work and to make sure their customers are pleased with the service.

To promote the business, create flyers and business cards.  Vista Print offers fast printing at a reasonable price, plus the company is always offering discounts.  I recommended that your teen draft a simple contract stating the moving schedule, how rain days will be made up, and associated fees.  Maintaining a clear line of communication is crucial.

Dog and House Sitting

Similar to a moving service, your teen can offer to dog sit or watch your neighbor’s house while they are on vacation.   With family vacations in full swing, many families need an individual to pick up their mail and keep an eye on their house.

My son dog sits for our neighbor about once a month providing him a small income. Dog and House sitting are services that can be offered during the year depending on your teen’s school schedule.

Babysitting

Before your teen launches their babysitting business, I recommend taking classes at the Red Cross babysitting classes and obtain their CPR certification.   Back in the spring, I spoke with a junior high student who had built a successful babysitting business working for multiple families.

She was certificated and trained.  The families who had hired her felt more comfortable knowing she was qualified.

To avoid any surprises or misunderstandings have the parents write down their rules and expectations.

Tech-Savvy Teens

Game Apps

For teens interested in creating apps to sell on iTunes, there are software applications available online that allow your teen to build an app for free.  iTunes has a development program that provides support for distributing and selling the app.

YouTube Channel

Teens have embraced YouTube.  They have created channels that provide advice from how to shop at H&M to navigating Minecraft.  Discuss with your teen their goals for their YouTube channel – fun or business.  If they would like to earn an income, a bank account is required.  I recommend opening a basic checking account for your teen’s YouTube business.

In my book, You Posted What!?, I talked about how teens and high school students are earning five-figure incomes from YouTube.   As always, remind your teen that the Internet has a long memory.  Colleges and employers will see the information they posted on their YouTube channel.

What are you waiting for?

The perfect time,

The right moment,

When things get better,

When you have more money,

When you have more time,

When you feel smarter,

When the economy is better,

When your friends like your idea,

When your spouse likes your idea,

When you feel more confident,

When you start college,

When you graduate college,

When you move to Austin,

When you save more money,

When you youngest son starts first grade,

When all the kids are in college,

When you get older,

When you have more money,

When your friends are wealthier so they can invest,

When you have more energy,

When you are not so busy at work,

When you have enough money to hire someone to help you….

All of these are excuses.  These excuses will continue to keep you from taking action and changing the direction of your life.  You must make the choice and take action. Now, not tomorrow or next week, but now.

Remember, there is never the perfect time, place, or situation for launching a business, realizing a dream, or pursuing your passion

You have two choices – either move forward with your idea or stay stuck and continue waiting.