Biggest Risk for a Start-up?

The most often asked question I get is, “What is the biggest risk of failure any start-up faces?” This question is never directed toward a specific industry or organizational structure, rather a way to single out risk associated with start-up failures.

There is no single biggest risk for a start-up. There are however a series of things that must be in place to become and remain successful. Think of it this way. Today you turn 16 years old and decide you want to drive your Dad's car. The first thing you'll need is...a driver’s license. Why because you need to understand the rules of the road. You need to understand the traffic signs, travel patterns, etc. Well it's no different in business. The only exception is you are not required to take any training to start a business. No experience required and thus the pit falls show themselves. You, as a new business owner, have no idea how to read a P&L (traffic signs). You have no point of reference for customer buying trends (travel Patterns). With out some sort of training or background your chances for success are slim at best.

The bottom-line is to work it out on paper via your business plan. Remember, it is considerably less costly to lose money on paper that to actually invest in your "Dream" business and loose real money.

I hope this has helped explain a complex answer to a simple question.

I am pleased to announce the birth of SageCadre. I'm Rik D. Middleton and this is my “Newest” business enterprise.

As the Sage, my clients and associates see me as the Go To guy for nearly everything. The fact is I have over 25 years as an Entrepreneur. What makes this consulting business unique is the CADRE…my associates. I have personally selected a hand full of the best and brightest associates interested in being part of the referral CADRE. These business people are experts in their fields and have proven themselves to me in many new ventures. This is a great opportunity for you to get the best team of trusted advisers available today. These professionals want to help you grow your businesses, and do something FUN! We are rare and exceptional breed with the talents you will need to tap into.

What this really means is as a business start-up consultant I bring with me a team seasoned veteran business people who are experts in their respective fields. I am called into a client when they are in the initial start up phase. Usually this is a referral from their business attorney, investment banker, or other trusted advisor. The other instance in which I might be called in is for a company that has hit a wall and is looking for someone to guide then to the next level of their business.

Those that can “Do”, Those that do well Teach others!