Achieve Maximum Success

In order to define success in any entrepreneurial environment, one must first acknowledge that the ultimate goal is to stimulate the economy and have a positive impact on as many lives as possible. Every entrepreneur has an obligation to impact the lives of all who come in contact with them. This includes employees, their families, customers, vendors, lenders, suppliers and all others that derive a pecuniary and non-pecuniary benefit from that enterprise.

The best way to define a thriving business is to say that the owner has the same responsibility as the leader of a town, municipality or small city. It is their ultimate duty to make sure their business operates in an orderly, ethical and fiscally responsible manner to provide benefit to as many others as possible.

To accomplish this, the entrepreneur must understand that the production of revenue should not be the controlling goal, but rather, financial stability so that every person in contact with his business can receive a benefit.

The business is far more important than the business itself. Regardless of its type, it is the same for all. An individual selling hot dogs from a single stand has the responsibility to support himself, his family, his vendors and anyone else associated with his very small business. However, that hot dog vendor has the same responsibility as a person running a 35 employee job shop that produces intricate valves for nuclear submarines. They both have the obligation to safeguard those around them and all who are connected to their company.

Understanding the difference between running the business and the business of the business is often the difference between success and failure for an entrepreneur. Defining this difference is so simple, yet so illusive. An owner must learn that the basic tenets of business can be installed for the benefit of not only himself, but for all whom he is responsible.

The basic tenets of business are as follows:

  • Produce profitable sales;
  • understand the “Doctrine of True Costs;”
  • control the cost of goods sold;
  • control overhead;
  • manage by fact rather than by expediency;
  • organizational structure must work for you and not against you; and
  • treat each employee as being a valuable component within the entire system.

Every aspect of your business must be managed for it to succeed. If, and only if, each of these tenets are followed can you say to yourself that you have protected all those who come in contact with your business.