Does Everyone Really Have This Misconception About Business?
One may say the biggest misconception most people have about owning a business is that you have to ‘work in it’. While some have the goal to grow their business to a point where the business can run without them, it’s not the goal for everyone. Matt dives a little deeper into this topic.
There are tons of people out on social media giving business advice. Some of it is good advice, but most of it isn’t good. In this series watch CapForge’s owner react to different advice videos. He’s an expert in all things business and has 20+ years of experience under his belt. Some of the things he reacts to might even surprise you!
Video Transcript:
Business Advice Video:
Biggest misconception people have around business is that if I start a bakery I should be working in the bakery baking the bread. Here’s the thing, as an entrepreneur it is not your job to market sell, and deliver a product. It is your job to build a business that can market sell and deliver a product without your operational involvement. Entrepreneurs build assets and we build assets that can work without us.
Matt’s Review:
Yes, I agree that ultimately that should be your goal. However, starting a bakery where you aren’t a baker and you don’t bake anything and you don’t know anything about baking just means you gotta put a lot more money into that business. Because you have to hire a baker, and hire the people to work at the bakery, and hire somebody who knows about baking to create the menu, and do all the things to be able to build a bakery business that you can then run from the outside. So I understand his point which is to grow a large successful business you wanna have the business get to the point where it doesn’t need you on a day-to-day basis, but very few people have the money to walk in and say “I’m gonna throw enough money at this to have all the people and all the things in the business already in place when I start”. What happens for most people is they start a business around something they know how to do, like baking, and then as they develop more customers and the business grows then they hire an assistant baker, and they hire a cashier, and over time they grow the business. Or they can do to where they no longer need to do the baking or any part of the business, they can operate it from the outside.
First of all not everybody’s goal is to do that. Some people start a bakery cause they really like baking. And they rather be baking than trying to grow a huge business. But for the other people that do wanna grow a large business and not have to bake every day, they are still gonna have to start at the ground floor most of the time. Because they don’t have the money to start from the outside. So while his advice is helpful. If you’re looking for a long-term business that you don’t have to work in, I think it misses the point that 99% of people do start working in their business because that’s the only way they can get it off the ground, to begin with. So as long as you recognize that and know that you’re growing towards or can grow towards getting out of the business, then I agree with this advice.
