Introduction
How to Complete
1 Your Mastery Mindset
2 Listen To Your Own Voice
3 Believe In Yourself
4 Your Own Business
5 Knowing Is Your Edge
6 Preparing For Success
7 What Wealth Means
8 Choosing Your Challenges
9 Making the Right Move
10 Entrepreneurial Potential
Conclusion

Lesson Two - Listen To Your Own Voice

Objectives:

To realize that advice can be well meaning but inaccurate.
To stay focused on serving your customers.
To be forewarned that new bosses or owners may signal change for better or worse.
To be undeterred by the fact that half of all new businesses fail in the first year.
To appreciate that not all advice is informed advice
To learn the three rules for mastery success in business

As we learned from Lesson #1, George, our bus driver, makes a solid living working for the city. He receives a secure weekly paycheck. He receives health care and pension benefits and overtime and paid holidays and paid vacation time. Well, if that's all he wanted from life, he should have stayed in the Air Force for another ten years and earned a full pension.

   Many people in George's situation are almost trapped by their "not so bad" jobs. They are safely cocooned by the ordinary, by the average, by the "like everybody else." Why risk change?

   However, our George is a risk taker who is willing to put his military background and mastery mindset to work to achieve extraordinary success. He is a man with good ideas and a willingness to work hard. He is a master committed to the Action Principles^®. He doesn't want to just exist. He doesn't want to just get by. George has one life. George wants to go as far as he can with skills, talents and attitude.

   He starts a small transportation business and in a few years is prosperous enough to leave the bus company. On the upside, with his own business, George has the opportunity to be his own boss with unlimited financial potential.

As an entrepreneur, George will not be subject to some whim from a higher up. George is now in charge and George will decide how George works and what George makes.

George is self-reliant. George knows that no one is going to just walk up to him and give him all of the money that he wants. George is a realist. George knows that the lottery and scratch tickets only provide hope to those who aren't good at math. If George wants money, he has to earn that money himself. The good news is that with his mastery self-confidence, he knows that he can earn that money. He corrects deduces, "Others have done it. Why not me?"

Business Success Is Not A Secret

   You already know a lot of what you need to know.

   You know:

   You need a quality product or service. You can do this.

   You must offer this product or service at a competitive price. You can do this.

   You have to smile and appreciate your customers. You can do this.

   You have to make the sales experience enjoyable enough that your customers will become regular customers who trust your products and your recommendations. Regular customers will patronize your business without the need for drastic sales incentives and constant advertising, which cut into your profits.

   A hot topic in business is viral marketing or word-of-mouth marketing. You want your customers so happy that they will become your sales ambassadors and willingly recommend your product or service to others.

   Help others and help yourself. Give and you shall receive.

   Before we leave George, can you think of other options that George might have had to promote his interests besides giving up his city job?

   Maybe George could have gotten involved with his union and risen up in the union ranks while still driving the bus.

   Maybe George could have cultivated his own political contacts to get a better city job.

   If George were faithful to the Action Principles^®, he would have been thinking "What can I do to improve my life for myself and my family?"

   Learn from George's story that "where there is a will, there is a way." If George wanted more from life he would have found a way to get it. Very simply, George is a take-charge man of action.

Do You Have What It Takes?

Do you have what it takes to achieve financial independence?

Remember that the first high hurdle that you may have to surmount is the overly cautious advice, the outright rejection or the ridicule of those with whom you share your dreams.

The terrain of life is rarely smooth. Yes, you've got to be tough, persistent, to get to most places worth getting to. As a master, you have proven your toughness. Remember most of your competition will come from softies who have never been tested.

Joe Demanbro will someday own a large successful landscaping company but day one, he may hear from his girlfriend, "You served two tours in Iraq to come back and cut grass?"

   Malaika Mullen will someday own a string of corporate day care centers but day one, she may hear from her grandmother, "Don't most girls give up baby-sitting at age sixteen?"

   Scott Dyer will someday own six quick-lube and auto detailing centers but day one, he may hear from his best friend, "Didn't you work on helicopters in the Navy? Why do you want to wash cars?"

   Actually, the more you've accomplished in the eyes of others, the less support you may receive for your entrepreneurial venture.

   If you were a good student and a good kid, people are apt to encourage you to be a lawyer, a doctor, or an accountant and not a personal trainer or a house painter.

   On the other hand, if you were a complete disappointment to everyone and were considered a loser, then other people are going to look for anything positive in you.

   If you said to them that you intended to straighten yourself out and become a personal trainer or paint houses, they'd probably be very encouraging and say that either choice was an excellent idea.

   The status quo is always going to be resting on your shoulder like a bad little devil saying, "Relax, sit back and wait until tomorrow".

Fighting Procrastination Is Necessary

   Procrastinate. You don't have to decide now. This is your own child's mind trying to protect you from making a mistake.

   But, as an entrepreneur, you must accept that you will make mistakes.

   Let there be no doubt.

   You will make mistakes.

   Yes, black belts and college professors and corporate CEOs sometimes do stupid things.

   You will sometimes do stupid things.

   As you learn your new business and constantly try to improve your new business, you will waste some time and some money. On occasion, you may lose a lot of time and a lot of money.

   But, here is the difference.

   The losers will curse and whine and blame.

   As a master, quietly and calmly, you will learn from your mistakes. And, tomorrow you will try again as a smarter person, as a more seasoned veteran.

   You can't live an active, accomplished life by just sitting back waiting for tomorrow to happen because it will always be tomorrow and tomorrow.

   This is your one life.

   Persist and find success.

   Being a master, you have already shown yourself to be an independent thinker. Continue to research and think independently.

   Independent thinking does not mean that you will act alone. You certainly want to find mentors. You want to find people who have done or are doing what you plan to do. These are the people whose counsel you seek. They have been there. Listen to them.

   Get ready. You may need a thick skin because everyone in whom you confide or who just happens to hear about your plans, may feel very free to venture an opinion on what you should or shouldn't do.

Up until now, if you've had a challenging life, you've been through the wringer verbally and physically. You aren't afraid to be pushed or hear criticism because you know that this is how you improve. Weak people always take criticism personally. Weak people facing personal criticism collapse.

   There are two types of people who will comment on your career plans. Some will be informed and have your best interests at heart. Some will know nothing and simply wish to promote their own personal agenda.

   Again, it's human nature. People are going to give you advice based on their personal feelings and experiences and objectives, even if they know little about you and nothing about what you intend to accomplish.

   Their perception may be that 90% of postal workers are happy and make a good living.

   Their perception may be that 90% of sailors who volunteer for submarine service are a little strange and need counseling.

   How many young people do you think commit themselves to careers without really knowing what those careers are about?

   How many people do you think commit themselves to careers without exploring the many career options they may have?

   How many college students waste time majoring in subjects in which they actually have little or no interest?

After five years, fifty-seven percent of college graduates are NOT working in their major field of study.

The Bottom Line On Advice

   You may be getting honest, heartfelt career advice from well meaning people who have no idea what they are talking about. And, you may waste your life fulfilling someone else's idealized dream for you rather following your own instinct. In ten years, you may regret that you caved in to someone else's advice because you did not want to be a disappointment. In those ten years, you may have become a chiropractor when you really wanted to become a jewelry designer.

   Somebody is going to be a famous jewelry designer. If you love designing jewelry and are talented and have good people and business skills, then that person could be you. It will be someone. Why not you?

   Be self-reliant.

   Do your own investigating.

   This is your life.

   You have the Internet. What could possibly be your excuse for blindly following others without doing your own research?

   Following your investigation, you may find that the advice given to you by some was valid or a cow pie.

   Research but think for yourself. You don't want to sit through six college courses in microbiology if your real life's ambition is to travel the world as a successful yacht broker.

   Research and think for yourself. You don't want to spend ten years working for your brother's computer company, when what you really wanted to breed horses.

   Life is too short. Do what you want to do.

   You must be the master of your own life. You are an independent person of action capable of making up your own mind.

   What does your heart tell you to do?

   Start doing the research today.

   Many well meaning people will advise you against starting a small business because they have a sense that these businesses have a high failure rate. And, they are correct. About 55% of all new small businesses fail in the first year.

   There is an old story about a glass filled to the midpoint. An optimist sees it as being half full. The pessimist thinks that it's half empty.

   An entrepreneur is probably going to look at the odds for small business success from a more optimistic "the glass is half full" perspective. "What you really mean to say is that 45% of new small businesses are successful after the first year."

   With the Action Principle^® as your guide...

   With your focus on your customer...

   With your thirst for knowledge...

   With your willingness to word hard...

   With your mastery heart...

   Do you have any doubt that you will be in the winning 45%?

   Even if the worst happens and she fails in a venture, the entrepreneur will have gained something. She will be satisfied that she will not have seen her life pass without having given her dream of success a serious try. And, of course, there is always a new tomorrow. You can try again, only this time with experience.

Story:

Dora The Meat Cutter

Dora Johnson is thirty-five years old and has worked for twelve years as a meat cutter at Friendly Fred's Supermarket.

   She does the job. She doesn't love the job.

   Actually, Dora loves portrait photography. Portrait photography has always been her hobby and part-time business. Dora is an excellent portrait photographer. Graduates and brides and business people seek her out.

   Someday, Dora dreams of opening her own full-time portrait studio. This won't be easy since she's divorced with two kids to support.

   As months turn into years, Dora continues to procrastinate in making her decision.

   Like so many people, not making a decision is easy for Dora.

   One day, outside forces take control of Dora's future.

   Friendly Fred retires and hands the store over to his son who is anything but friendly. The son's name would more accurately be Little Ferocious Freddie.

   Now, Little Ferocious wants to make money and he wants to make money now. Forget the family atmosphere. Little Ferocious sees that his number one expense after inventory is the salary for all the coddled, lazy employees that his father has tolerated for years.

   Immediately, Little Ferocious can make more money by cutting payroll. Heads must roll. In the very short term, he's right.

   To explain the firings, Little Ferocious uses the excuse that the economy is bad. He demands that anyone interested in a future with Friendly Fred's will have to start working a lot harder. If someone doesn't like the changes, Little Ferocious suggests they quit. Little Ferocious puts the entire staff on edge.

   In the good old days, employees at Friendly Freddie concentrated on doing a good job and were focused on the customers. Now, the atmosphere is survival with employees focused on not getting laid off.

   In the meat department, Little Ferocious replaces one of the full-time people with a part-timer. He tells Dora that to compensate for the lost man-hours, henceforth all cold cuts will be cut in advance and not custom cut to order. Dora tries to explain to Little Ferocious that one of the main reasons that people buy deli meats rather than pre-packed meats is because of the freshness that comes from on-site custom cutting. Little Ferocious tells Dora to do just what she is told. "Get with the program, Dora."

   Little Ferocious goes through all the departments in the store like a tornado. He saves money quickly and loses customers gradually. As business drops, he becomes more and more tyrannical, blaming the world, national, state, regional and local economies.

   He blames the parking.

   He blames the local government.

   He blames the employees.

   Finally, he blames the customers.

   As his customer base shrinks and profits fizzle, Little Ferocious starts to lose interest in the supermarket business.

   Philip Wong, who owns the Honda dealership next to Friendly Fred's, is interested in the supermarket building. Mr. Wong wants to tear the building down for more parking. He makes Little Ferocious an offer for the real estate.

   Little Ferocious accepts Mr. Wong's offer and all the employees are out of work.

   Do you feel sorry for Dora? How many warning signs of impending doom do you think she ignored?

   Why did she stay? Does she think that any employment is better than unemployment? Is she saying her prayers that maybe Little Ferocious will be born again and become a better person?

   How could this happen? Friendly Freddie's Supermarket has been here for fifty years!

   How could this happen? Friendly Freddie's Supermarket has been an industry leader!

   If you work for someone else, your financial future is in someone else's hands.

   Awareness on the job is your responsibility.

   If business failure is possible, have options and an exit plan.

   If business failure is probable, be ready.

   If business failure is imminent, get out first.

   Dora had plenty of warning signs. Perhaps, she is ready. Maybe this will be a positive development for Dora. Maybe she will be forced into entrepreneurship and live happily ever after. We hope so.

Like many people, Dora is a naïve wishful thinker. She wants to think the best of people. "Gee, Little Ferocious would never sell the whole company down the river just to make a few extra bucks for himself." In the business world, consider yourself lucky that a bad boss can cost you your livelihood. In the military or law enforcement world, a bad boss can cost you your life.

   At least, Dora, has the possibility of a fall back plan. Most of the laid off employees at the supermarket are probably wandering around in a befuddled daze, "What happened?"

   It can happen at Friendly Freddie's Supermarket.

   It can happen at Enron and Polaroid and Arthur Andersen and Worldcom.

   One day you are making Mercury automobiles and the next day Ford decides to not make Mercury automobiles.

   One day you're working for a great contracting company, then the next day the owner starts smoking crack.

   You have control over your career. Someone else has control over your career.

   If you are working for someone else, then you are working at the whim of someone else. You could be a loyal employee working for Enron, one of the largest energy firms in the world, and one-day one selfish idiot screws up and the entire empire begins to crumble.

The first rule of combat for a soldier is "Cover your own butt." You can't change the Little Ferociouses of the world. You can only change your reaction to them. Transfer to another unit. Get another job. Alert and aware, see reality and plan accordingly.

   If you are working for someone else, then you are working at the whim of someone else. You could be a loyal employee working for Enron, one of the largest energy firms in the world, and one-day one selfish idiot screws up and the entire empire begins to crumble.

   Say your prayers.

   Cover your own butt.

Why Some Businesses Succeed While Others Fail

   Starting a small business almost requires a major commitment of time and energy. In addition, many small businesses require lots of start-up capital and, often, a personal financial guarantee as a loan provision. This means that the lender wants you personally liable for the success of the business and if the business goes down, you go down with it.

   Are you willing to put your savings at risk?

   Are you willing to work 60, 80, 100 hours a week?

   Is your attitude, "I will do whatever it takes?"

   If you are going to start your own business, make sure that this choice is your first choice and not some kind of last resort. You can't expect to be successful if your attitude is, "What the heck, I'm unemployed. I'll give this business a try." You must possess a burning desire to succeed.

   Starting a small business presumes a willingness to listen to and learn from others. Who are the best at doing what you want to do? Again, mentors, find them. Learn their secrets. In the beginning, you will probably find yourself being much more imitative rather than innovative.

   This is a tough business pill for many new small business owners to swallow. They are new business owners. They want to be in charge. They have lots of NEW exciting but untested new ideas. Hence, they are overly innovative and their untested innovation can be dangerous for a start-up.

Find out what has worked successfully for others in your industry and do what they have been doing. Research.

   Don't let your ego get the best of you. Unfortunately, some new business owners will plunge forward with arrogance and unwarranted conceit. "I know perfectly well what I'm doing and I don t need any help, thank you."

   However:

   Everyone may not like a restaurant that serves eleven kinds of pumpkin soup.

   Everyone may not like a lawyer who wears Hawaiian shirts and sandals.

   Everyone may not like to patronize a karaoke bar/Laundromat/barber shop.

   On your way to your first few million, there is nothing wrong with being a copycat. In fact, being a copycat is the smartest route you can take to success. Let somebody else use trial and error to find a winning formula and then you copy the formula.

   This is not a bad thing.

   This is a good thing.

   Copy success.

   Starting a small business must be related to market demand and not just your wishful thinking.

   It's not what you want.

   It's the customer, stupid!

   If you want to fail quickly, just say something like, "I just had this fantastic idea about how wonderful it would be if everyone could speak Esperanto."

   Starting a small business must be done from a realistic perspective.

   Talk to other people in your industry who have started businesses similar to yours. How long did it take them to get established? You shouldn't start a business while planning a vacation, "In a month or two when I've got this place up and running, I'm going to treat myself to the best vacation I've ever had. I've earned it!"

   The wrong people for the wrong reasons start many small businesses.

   There is a payback for the arrogance.

   There is a payback for ignorance.

   It is failure.

   Business is about identifying a consumer need and taking appropriate actions to fill that need. Successful businesses must evolve to match a changing marketplace.

   The entrepreneur must be completely open minded and flexible.

   The entrepreneur must continually survey his or her customers' attitudes to figure out what that the business is doing right and which products, services or attitudes might be added, corrected or deleted.

   Your successful business will take shape around the wishes of your customers.

   All customers give feedback. They will come back smiling or they won't come back at all.

   The successful entrepreneur does not take any of his customers for granted. The successful entrepreneur is always ready to show sincere appreciation for the customer's business.

Love your customers. It is only the buyer of your products or the user of your services who will give you the money to repay your loans, pay your bills and give you a working salary while you figure out a way to get rich.

The entrepreneur must be devoted to continuing education by reading and studying materials of both a general business and specific business nature.

The entrepreneur must have a willingness to associate with others in his/her industry and the general business community, in the hopes of sharing ideas and keeping in touch with new trends and developments.

The Mastery Business Education Bottom Line

No, ifs, ands or buts, no further discussion needed, as a mastery, if you follow the following three rules, the odds for your success in business are overwhelming.

The Three Rules Of Business Success

Offer a quality product or service at a fair price.
Appreciate your customer.
Keep improving the business.

Operational Limitations:

Some bosses are idiots and plan and execute poorly. They can put your livelihood in jeopardy. Alert and aware, you must cover your own butt.
Many people will freely offer opinions on topics they know little or nothing about.
Some bosses are egotistical and selfish and act solely in their own self-interest. You are a master of your own life. You are not someone's doormat. Whatever your job, at whatever level, you deserve respect. Don't whine, blame or complain, adjust accordingly.
There is a difference between the positive mental attitude of an achiever and the naïve wishful thinking of a loser.
Arrogance and ignorance are the fast roads to failure. It's not what you want. It is what the customer wants.

Action Plan:

Begin exploring about your career options. Successful people never stop thinking.
Who are the leaders in your industry? What are they doing?
From your personal experience, think about the characteristics of superior and inferior bosses.
Google your career choice and start researching.
Amazon your career choice and start reading.
Think about people who have lost jobs, not because of their own work but because their bosses made poor decisions.

Seeds for thought:

Do people like Little Ferocious really exist?
How much control over their financial futures did the supermarket employees have?
Are many people's financial futures subject to the simple whim of a supervisor?
Where can a person go to learn about his/her aptitude for different kinds of work?
Who is the most important person to a small business owner?
Why do businesses fail?

Jargon:

   Corporation People allowed by law to act as one person in forming and running a company.
   Broker A person who works to bring two parties together.
   Resource Center A place to obtain specific information and/or assistance.
   Overhead Expenses of running a business, not including the specific costs of the products or services sold by the company.
   Executive A person in a top-level management position.
   Economy The system of making, sending and using goods and services in an area or for a period of time.
   Reorganization Changing the lines of authority in a company with the hope of improving the management.
   Leveraged Buy-out Taking over a company usually using the value of the company itself as security to finance the takeover.
   Capitalize To put money into a business.
   Freelance To work for a company independently rather than as a full-time or part-time employee.
   Cash Reserve Money set aside for emergencies or future investment.
   Collaborative Persons working together toward a common goal.
   Suppliers Companies who provide products or services to other companies.
   Marketplace The place where goods or services are offered.

Question and Answers

   Is there a magic number that everyone should aspire to when considering retirement?

   If you follow the Master Small Business philosophy, you'll be a researcher. You'll be a researcher when you start your business and throughout your small business career. In the course of your researching, you will become an expert in your industry.

   How can you put that expertise to work to secure your financial future?

   Well, if you owned an insurance agency, you could invest in the stocks of publicly traded insurance companies. Who would know value better than you? You could buy and sell or finance other insurance agencies. Who would know value better than you?

   Now, let's say that as an expert who is investing in an industry where you have expertise, you made a modest return of 15%. If you had $500,000 to invest, you'd earn $75,000 a year. If you had $800,000 to invest, you'd have returns of $120,000 a year. The magic number is based on how much you want to earn each year. Reach that magic number and you can progress from a full-time business operator to part-time researcher and investor.

   Why are masters of success so well suited to success to becoming entrepreneurs?

   Masters of success are men and women of action. They are in the game and you can only win the game if you are playing the game. Look around, you will always be able to find plenty of people without the courage to live their dreams who will tell you not to act. They will give you plenty of excuses to hang your inaction on. Get in the game. Be a person of action. Will you make mistakes and wrong decisions and lose money? Probably. Will you have self-doubt at times? Probably. But, the only way that you will win the game is to be in the game. You have one life to live. You can choose how you want to live it. There are couch potatoes and there are masters. The couch potatoes will lose. The masters may win.

   It seems that many small business owners work long hours for short profits. What do you think is their problem?

   Look at the marketing. In many cases, you will find that the marketing efforts are non-existent or inadequate. Too many owners presume that because they are offering a quality product or service that the public will beat a path to their door. Wrong. You have to work to get new customers and to keep existing customers. When you are starting a business, up to 2/3 of your time may be needed to get the word out to develop enough business to survive. If you need marketing ideas, look to the leaders in your industry and to your industry associations. What are the best doing?

   There are some creative businesses, like songwriting or scriptwriting, where 99% of the work time may have to be devoted to getting one song or script published. Most folks cannot deal with those percentages, and although they may be very talented, they are never recognized.

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From Start Up Nation
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From BizHelp24, another English company

Inspirational Insights:

   You must do the things you think you cannot do.
      Eleanor Roosevelt

   Definition of courage: 'Grace under pressure.'
      Ernest Hemingway

   First say to yourself what you would be; and then do what you have to do.
      Epictetus

   It is common sense to take a method and try it. If it fails, admit it frankly and try another. But above all, try something.
      President Franklin Roosevelt

   The next life or tomorrow, we can never be certain which will come first.
      Tibetan proverb

   A life spent making mistakes is not only more honorable but more useful than a life spent in doing nothing.
      George Bernard Shaw

   Knowing is not enough; we must apply!
      Goethe

   We cannot live for ourselves alone. Our lives are connected by a thousand invisible threads, and along these sympathetic fibers, our actions run as causes and return to us as results.
      Herman Melville

   I have one life and one chance to make it count for something... I'm free to choose what that something is, and the something I've chosen is my faith. Now, my faith goes beyond theology and religion and requires considerable work and effort. My faith demands -- this is not optional -- my faith demands that I do whatever I can, wherever I am, whenever I can, for as long as I can with whatever I have to try to make a difference.
      President Jimmy Carter

   The way to get started is to quit talking and begin doing.
      Walt Disney

   Action may not always bring happiness, but there is no happiness without action.
      Benjamin Disraeli

   Don't be too timid and squeamish about your actions. All life is an experiment.
      Ralph Waldo Emerson

   If a man is to know himself, he must be tested. No one finds out what he can do except by trying.
      Seneca

   It has been my observation that most people get ahead during the time that others waste time.
      Henry Ford

   Up, sluggard, and waste not life; in the grave will be sleeping enough.
      Benjamin Franklin

   You have to pretend you're 100 percent sure. You have to take action; you can't hesitate or hedge your bets. Anything less will condemn your efforts to failure.
      Andrew Grove

   Success seems to be connected with action. Successful people keep moving. They make mistakes, but they don't quit.
      Conrad Hilton

   If you do things well, do them better. Be daring, be first, be different, be just.
   Anita Roddick

   Quality is remembered long after the price is forgotten.
      Gucci Motto

   For the first four years, no new enterprise produces profits. Even Mozart didn't start writing music until he was four.
      Peter Drucker