Anyone care to share their story?......

kazzer

How did you get to where you are today? - whether entrepreneur or business owner. What advice would you give to wannabe entrepreneurs like myself?

I think this could be a thread of great inspiration to others

Bandara

Simple,

Never trust anybody, even slightly. Friends, close family, great employees included etc

Sadly the vast vast vast majority of them are either stealing from you, trying to figure out how to steal from you, or doing so little that in essence they may as well be stealing from you. Once I got rid of the naiviety and nice guy aspect of my personality in work I became very successful, up until then I lost hundreds of thousands.

Sad but true.

Darragh29

Hammertime wrote: »

Simple,

Never trust anybody, even slightly. Friends, close family, great employees included etc

Sadly the vast vast vast majority of them are either stealing from you, trying to figure out how to steal from you, or doing so little that in essence they may as well be stealing from you. Once I got rid of the naiviety and nice guy aspect of my personality in work I became very successful, up until then I lost hundreds of thousands.

Sad but true.

Don't think I've ever heard a statement more accurate than what Hammertime has just said there!

What he said is more of a hard earned lesson than a story, but another pointer...

Don't be afraid to send prospective employees for a full medical before making a hiring decision and tell the GP you are sending the person to, to test for illegal drugs, obviously with the candidates consent...

Culchie

Hammertime wrote: »

Simple,

Never trust anybody, even slightly. Friends, close family, great employees included etc

Sadly the vast vast vast majority of them are either stealing from you, trying to figure out how to steal from you, or doing so little that in essence they may as well be stealing from you. Once I got rid of the naiviety and nice guy aspect of my personality in work I became very successful, up until then I lost hundreds of thousands.

Sad but true.

lol...nail on head.

Keep the hustle hustle on them, as soon as you stop, productivity drops. Give them an inch, and they'll take a mile.

kazzer

I’m a bit surprised by that opinion – that you cant even fully trust family and friends, but I suppose you should just never mix that with business.

What about all of the practical insights, that’s what I’d be really interested in, things like:

What did you do before you started your business?
How did you make the transition? i.e. Did you try it out part time first?
How did you raise money?
How many businesses have you tried, how many failed?
How long has it taken you to get where you are?
What are your regrets, what would you do differently?
Do you work more or less now than you did as a paye worker?

A lot of questions I know, but I’d love to hear peoples experiences on stuff like that, people who have actually done it.

bacon?

wow, that all sounds a bit bleak kazzer....

are you saying you were ripped off by your family and friends?

i'm hoping to go into business with one or 2 of my best friends.... i couldn't think of anyone else i could trust more.....

kazzer

Although I've no experience of it myself, I think everyone here will say its a bad idea to go into business with a friend.

stepbar

Few points-

Know your business - don't start a business unless you know the ins and outs of same.

Business plan - make sure you have one and make sure that you're confident that you have realistic targets and projections to hand.

Access to capital - don't expect that the banks will be favourable towards you initially. In an ideal suitation you should have money (yourself) to put up.

Trust no one - In business you're only as good as your last sale. Remember that there are plenty out there (in your marketspace) who will want to put you down and eventually seek to put you out of business. So don't be nieve to the challenges ahead.

Believe in yourself - this is key. Because if you don't no one will.

Siege mentality will get you far my friend. Good luck with what you do. There's a lot others who might not be so brave.

betonit

assume nothing trust no one and remember only the paranoid survive.....enjoy it

Flexitimer

Hi
I'd been lecturing and a course director of 3rd level courses in entrepreneurship and marketing for 5 years until last Summer (07) when I finally realised I'd been preaching to myself in trying to persuade students to start their own business. So I took the leap.
Few tips:
Whatever your idea is make appointments with 10 potential customers to get their feedback and maybe assistance in design - if they don't bite, you're probably wasting your time.
Start with the enterprise boards and get feasibility and employment grants for yourself and other directors.
Do an Enterprise Platform Programme (EEP) programme in a variety of 3rd level courses - here you'll get access to cord funding from Enterprise Ireland which is excellent. I did the www.seepp.ie programme and my business partner is doing the Campus Development Programme is UCD Nova which is absolutely excellent.
Do your research and try to throw some figures on the market
Read lots of non-academic books e.g. tipping point, how to get rich - in that book he made an interesting point about 3 different age groups in setting up a company.
The first ones straight out of college have nothing to lose and lots to learn so just go for it.
The second age group are those mid career maybe late 30s-40s and and their hard work is beginning to pay off but there's an opportunity cost in leaving the corporate word.
The last group and pre-retirement and are literally a few years from pension - he said he knew 3 people who went solo at this age, one committed suicide, one works in a bar in the Caribbean and the other went back to their old life. So I guess the lesson is now or never. Best of luck
Joy

Sabre0001

The trust thing is strange (but understandable) and I have wondered about it myself...But don't you need other people at times - market research (quite early in the process), some skills you don't have perhaps, etc.

How do you get over this mis-trust / know how much info to give / do you just hope that no-one will take your questionnaire, think "that's a good idea" and try to beat you to market?

bacon?

Sabre0001 wrote: »

The trust thing is strange (but understandable) and I have wondered about it myself...But don't you need other people at times - market research (quite early in the process), some skills you don't have perhaps, etc.

How do you get over this mis-trust / know how much info to give / do you just hope that no-one will take your questionnaire, think "that's a good idea" and try to beat you to market?

i'd assume that your questionnaire would be vague enough so as not to spill the beans...

information

Culchie wrote: »

lol...nail on head.

Keep the hustle hustle on them, as soon as you stop, productivity drops. Give them an inch, and they'll take a mile.

If you have that attitude you will never grow a large scale company, as it all depends on you watching everything.

The best way to motivate staff is to encourage them and give them responsibility. It's give and take, you need staff just as much as they need a job. If you can't trust staff and have faith in their ability you are doomed.

Darragh29

betonit wrote: »

assume nothing trust no one and remember only the paranoid survive.....enjoy it

Wouldn't be a fan of Andy Grove's school of management theory now to be honest with ya!

Darragh29

information wrote: »

If you have that attitude you will never grow a large scale company, as it all depends on you watching everything.

The best way to motivate staff is to encourage them and give them responsibility. It's give and take, you need staff just as much as they need a job. If you can't trust staff and have faith in their ability you are doomed.

When I left college, I came out with my head full of theory X and theory Y bull**** and Elton Mayo theory nonsense in my head. After being through the university of life, I have to concur with another poster here that good reliable honest hard working employees are EXTREMELY hard to find. I had this conversation recently with a mate who employs around 30 people and he reckons that 2 of that group, maybe 3, actually give a sh*t about his business, the rest only care about the cheque at the end of the month... It's seems to be a rule of thumb that 10% of your workforce will go out of their way for you, the rest will just put in the minimum hours to keep you off their back.

Flexitimer

Darragh29 wrote: »

I had this conversation recently with a mate who employs around 30 people and he reckons that 2 of that group, maybe 3, actually give a sh*t about his business, the rest only care about the cheque at the end of the month... It's seems to be a rule of thumb that 10% of your workforce will go out of their way for you, the rest will just put in the minimum hours to keep you off their back.

Hi Darragh
I agree with you about that sort of endemic apathy but it also can depend on the way you hire people. If you employ full-time permanent people to sit at a desk (or whatever) for 40 hours per week, well that's what they'll do. Instead you can get contractors, freelancers or part-timers and with a tight brief you can reduce and possibly eliminate a lot of that. I've been freelancing and contracting for 8 years and I knuckle down, get the job done and am out before the rest of them. Maybe it's back to earlier theories - classical conditioning i.e. result = reward. Think this way of recruitment particularly during this economic climate is the way forward.
Regards
joy

Culchie

information wrote: »

If you have that attitude you will never grow a large scale company, as it all depends on you watching everything.

The best way to motivate staff is to encourage them and give them responsibility. It's give and take, you need staff just as much as they need a job. If you can't trust staff and have faith in their ability you are doomed.

I think you'll find that my staff are delegated alot of responsibility, and I have tremendous faith in their ability.... I hired them afterall.
I've invested in their training, and to the best of my knowledge they are extremely happy at work.
I think you are being a little presumptious in thinking we're doomed also.... we're out the door with work to be honest.

However, if you think staff work as hard when the boss isn't around, you're probably looking at things from a theoretical point of view from a text book.

I did it myself when I was a PAYE worker, so I think no less of them for that ... but if I see it slipping, I hustle it along....I have to, I have orders to fulfil....I have customers to satisfy, and I've got overheads to cover. As much as I'd like to have a pallsy wallsy club, the business world doesn't work that way.

Bandara

Culchie wrote: »

I think you'll find that my staff are delegated alot of responsibility, and I have tremendous faith in their ability.... I hired them afterall.
I've invested in their training, and to the best of my knowledge they are extremely happy at work.
I think you are being a little presumptious in thinking we're doomed also.... we're out the door with work to be honest.

However, if you think staff work as hard when the boss isn't around, you're probably looking at things from a theoretical point of view from a text book.

I did it myself when I was a PAYE worker, so I think no less of them for that ... but if I see it slipping, I hustle it along....I have to, I have orders to fulfil....I have customers to satisfy, and I've got overheads to cover. As much as I'd like to have a pallsy wallsy club, the business world doesn't work that way.

Spot on, the view from the text book is so naive and plain wrong as towards what goes on in reality.

I treat all staff as I would like to be treated myself, I very much enjoy a laugh and the slagging and banter but at the bottom of it all they are only working for you because without a job they don't get paid. And similarly I only employ them because I need people to do things for me. Once them lines are understood and respected then everything operates fine.

Anyone who thinks that staff attitude and productivity does not go through the floor when the boss goes on a weeks holiday is living in dreamland.

Yes them managers we have in place are far better than the standard employee with regard to their level of responsibility and how much that care about the job/company etc. But its still way way way below what it needs to be in order for them to be considered even close to the equal of the Owner / Managing Director in terms of seeing the big picture.

Basically the tiny percentage of people who are that good are usually climbing so fast up the ladder that the only job left for them is the top one, and only one person can occupy that.

As for being doomed otherwise? All of my ventures are flying, with profitability up on the same 9 month period last year.

Its not all so black and white.

lanod2407

Don't want to sound like a moderator, but we're going way off topic here - employee motivation and performance certainly are an element of our stories so far, but when I read the title I anticipated something slightly more informative and interesting that a whinge-fest about trusting no-one and sub-optimal employee performance .......... come on, let's raise the bar a bit!

I worked fulltime in multi-national land for over 20 years, and left with a package last year.
Attended the Business Start programme with the Enterprise Acceleration Centre in Limerick early this year - great programme.
Have worked on a consulting / contract basis for the past 9 months while at the same time developing an online project management service that's about to be launched in the next 2 weeks - and I've about 2 months work to do in that time, so God knows what I'm doing logged on here!!!!

More anon as the launch happens!

kazzer

lanod2407 wrote: »

Don't want to sound like a moderator, but we're going way off topic here - employee motivation and performance certainly are an element of our stories so far, but when I read the title I anticipated something slightly more informative and interesting that a whinge-fest about trusting no-one and sub-optimal employee performance .......... come on, let's raise the bar a bit!

+1

Bandara

lanod2407 wrote: »

Don't want to sound like a moderator, but we're going way off topic here

Fair point. But regarding the topic no one is going to give out details of their businesses and interests on an open internet forum. What info the OP is hoping for is not going to be forthcoming I'd imagine.

leiwand

hi there,
I have never really worked for anybody else so only know the self employed route.

i've opened and ran clubs,pubs ,restaurants and a sandwich bar and employed literally hundreds of people over the last twelve years. So as not to repeat myself,if you're interested, some of my business experiences are detailed in previous posts.

my mother was a school principal for many years and gave me some great advice at the start.she said people are the hardest resource to manage but invest in them and you will receive the greatest reward. i started out, largely due to a lack of confidence on my part, with a "my way or the highway" attitude to people management.
i have grown to believe that this approach is flawed. i believe you can motivate people without fear.you earn people's respect and loyalty. i have promoted many of my management from within our organisation.
it takes time before i trust people and over the years my radar is more finely tuned and mostly i have been richly rewarded by placing my trust in others.most of my business is cash based and i would be naive to think some members of my staff have not dipped in the till but i make sure my controls are stringent.
i also freely share information about my experiences. i won't divulge all details but have learnt so much from others in similar professions that it is a crucial way of educating myself . due to its solitary nature i have found there is great solidarity amongst many entrepreneurs!!

b.

Trojan

I completely and utterly, 100%, disagree with the sentiment of trust noone. There's cautiousness and a small amount of healthy paranoia, but successful businesses are never built in a vacuum.

kazzer

Many thanks for your input, Bruno.

Darragh29

Trojan wrote: »

I completely and utterly, 100%, disagree with the sentiment of trust noone. There's cautiousness and a small amount of healthy paranoia, but successful businesses are never built in a vacuum.

Well maybe not overtly go around with a suspicion of everyone in your business but at the end of the day, you can't afford to get complacent. You really can't trust anyone but yourself...

Bandara

Darragh29 wrote: »

Well maybe not overtly go around with a suspicion of everyone in your business but at the end of the day, you can't afford to get complacent. You really can't trust anyone but yourself...

+1

Trojan

Darragh29 wrote: »

Well maybe not overtly go around with a suspicion of everyone in your business but at the end of the day, you can't afford to get complacent. You really can't trust anyone but yourself...

As a general rule I think that's wrong. However I guess it depends on context and can be right in some specific circumstances.

For example, I'm working with some friends on a project, and we've got a solid business plan. We're now looking for investors. How do we weigh wanting to keep our idea secret versus showing it to people who could potentially take the idea and run with it? Sometimes you have to take the risk.

Now the situation where it's correct is where you're in a market with a lot of very similar competitors and you want to roll out something unique. In that case you'll want to keep it quiet and present a fait accompli.

ur mentor

Hi
Figure out how much you need to survive. Be honest. Food, housing etc.
How long can you survive on savings, dole etc.

Bring product sevice etc to a number of potential customers. See will they buy it. How much will they pay, how often will they buy it. Then get out calculator and see if you can live on that.
Then do it.

shoutman

ur mentor wrote: »

Hi
Figure out how much you need to survive. Be honest. Food, housing etc.
How long can you survive on savings, dole etc.

Bring product sevice etc to a number of potential customers. See will they buy it. How much will they pay, how often will they buy it. Then get out calculator and see if you can live on that.
Then do it.

Really you should be making the product around the market that wants it, rather then making the market around the product which you have.

Sonnenblumen

Successful entrepeneurs/businesses can be measured in several ways. I've seen a number of cases where well run companies were poorly managed by shortsighted managers but still generated profits. I've also seen highly motivated 'gun ho' managers run companies and employees almost into the ground with fear and excessive control.

Who wants a to own and manage a business where no one trusts no one or worse still where there is ME and THEM and never the twain meet? That's poor business sense. I run a company and quite successful, making reasonable profits but the TEAM moral is very good and TRUST is essential. There is no siege mentality environment, I want staff to feel part of a team, and not feared foxes caught in headlights. In the absense of mutual trust, a business is going to suffer.

You may not have to love one another, but respect and trust are fundamental, how you could want to manage or own the work environment is pointless.

There are many drivers, but certainly one is to have a passion for what you do, it will probably take you through the early stages. If possible minimise VC involvement, try and raise money other sources, probably impossible in current climate.

Above all else be honest, trustworthy, respectful, professional, innovative and being competitive will also help. But it will also be the softer skills that might appeal more to somne customers, people respect honesty, and where this is lacking, I'd say 'stay clear'.

kazzer

So, back to the original theme of the thread......

As a successful business owner/entrepreneur, HOW did you get where you are today? How did you get things off the ground?

I realise people may not want to share sensitive information, but I'm just asking for general info. Like what have you done right, what have you done wrong? How has your life changed, i.e do you have more or less free time working for yourself? Is it worth it?

Thanks again for all the input.

wixfjord

Great thread, a goldmine of information for budding entrepreneurs like myself.

Culchie

kazzer wrote: »

So, back to the original theme of the thread......

As a successful business owner/entrepreneur, HOW did you get where you are today? How did you get things off the ground?

I realise people may not want to share sensitive information, but I'm just asking for general info. Like what have you done right, what have you done wrong? How has your life changed, i.e do you have more or less free time working for yourself? Is it worth it?

Thanks again for all the input.

Location ... take your time and get it right....you can't change it (typically).

Suppliers ... you need to be tough with these people. You are opening a business, as a result you are increasing their business ... so make sure from day 1, you require the best prices possible, if you hear someone is getting a better deal... pull in the rep and break his balls until you get a similar deal. You'll be surprised that they respect you for this, and you'll have a good relationship going forward, as it's on mutual terms.

Overheads/Utilities ... Negotiate the best rent you can (try and get first 3 months free) ...it's a soft rental market at the moment.
There are good electricity brokers now that can save you a small fortune by identifying the best electric supplier to meet your business needs.
Insurance ... again shop around.

Staff
This is sooooo tough, and will be the toughest part of any business. The more staff you recruit, the more problems you will have. Treat them well, treat them fair, but you have to always have your eyes and ears peeled. If you can pinch/poach a good manager that you feel you can trust, then do it. If they come from a competitor, even better.

Customers
Respect them, if you say you'll have that widget ready for them for Tuesday 5pm, then have it ready for then. If something has gone wrong in the mean time, for god's sake ring them and tell them. 99% of them will understand, just don't let them down by not having it ready, and having them arrive looking for it, you will look like a twat. They will tell others you are a twat, your business sucks.

Pricing
YOU DO NOT TO BE THE CHEAPEST If you have priced your good/service correctly, and ABC Co Ltd down the road is 20% cheaper, then let the deal go. You cannot win every job you quote for, if you do, you are too cheap. You need to establish what your margin is to be profitable, and you have to stick to it. Think "Let ABC Ltd win the job at the wrong margin, they will be out of business soon enough anyway, if they can do the job at that price". Maybe ABC don't even know what margin they should be operating at.
Base your business on quality and service.....not price. You are in business to make a profit, do not be ashamed of this.

Accounts
Sole traders especially have to keep on top of this... waiting for year end for Accountant to tell you that you are losing money is too long.

In Summary .... "You need to take a birds eye view of your business, you have to look at the big picture" You'll meet challenges every day of the week, deal with them (this is how you build your credibility) and keep moving your business forward.
Listen very carefully to your gut instincts.

shoutman

Culchie wrote: »

Location ... take your time and get it right....you can't change it (typically).

Suppliers ... you need to be tough with these people. You are opening a business, as a result you are increasing their business ... so make sure from day 1, you require the best prices possible, if you hear someone is getting a better deal... pull in the rep and break his balls until you get a similar deal. You'll be surprised that they respect you for this, and you'll have a good relationship going forward, as it's on mutual terms.

Overheads/Utilities ... Negotiate the best rent you can (try and get first 3 months free) ...it's a soft rental market at the moment.
There are good electricity brokers now that can save you a small fortune by identifying the best electric supplier to meet your business needs.
Insurance ... again shop around.

Staff
This is sooooo tough, and will be the toughest part of any business. The more staff you recruit, the more problems you will have. Treat them well, treat them fair, but you have to always have your eyes and ears peeled. If you can pinch/poach a good manager that you feel you can trust, then do it. If they come from a competitor, even better.

Customers
Respect them, if you say you'll have that widget ready for them for Tuesday 5pm, then have it ready for then. If something has gone wrong in the mean time, for god's sake ring them and tell them. 99% of them will understand, just don't let them down by not having it ready, and having them arrive looking for it, you will look like a twat. They will tell others you are a twat, your business sucks.

Pricing
YOU DO NOT TO BE THE CHEAPEST If you have priced your good/service correctly, and ABC Co Ltd down the road is 20% cheaper, then let the deal go. You cannot win every job you quote for, if you do, you are too cheap. You need to establish what your margin is to be profitable, and you have to stick to it. Think "Let ABC Ltd win the job at the wrong margin, they will be out of business soon enough anyway, if they can do the job at that price". Maybe ABC don't even know what margin they should be operating at.
Base your business on quality and service.....not price. You are in business to make a profit, do not be ashamed of this.

Accounts
Sole traders especially have to keep on top of this... waiting for year end for Accountant to tell you that you are losing money is too long.

In Summary .... "You need to take a birds eye view of your business, you have to look at the big picture" You'll meet challenges every day of the week, deal with them (this is how you build your credibility) and keep moving your business forward.
Listen very carefully to your gut instincts.

Great post. Culchie.

duncanb

I am very confused.

I want to start a business as a sole trader offering a service to business'.

I know everthing there is to know about the tax end but unsure about business names?so heres my question....

To set this all up do i just need to register a business name, and not register a company?

After i register the name and pay the fee can i immediately start trading?
will a bank let me open an account in the business name's name?

THANKS

kazzer

Duncanb, I hope you dont mind me saying, but how are your questions related to this thread? Perhaps a new dedicated thread might be better. I was hoping this thread would be personal experiences from entrepreneurs about how they got into business.

So any other other successful entrepreneurs interested in posting their experiences?

shoutman

Hey Kazzer I started a new thread as I thought this one ended up as a how to run your business type thread.