How I failed a Million-dollar business Before it even opened...and the biggest lesson I learned

[Katrina M Harrell-Biz Strategist]

yes you read right.



Picture yourself sitting in a fully furnished office, employees ready, systems in place, all the right connections, solid and highly profitable business model that is ready to throw money at you, solid marketing strategy and hundreds of customers ready to use your service over and over again, a target market that has so limited offerings that you come at the right time. I know you have a big ole smile on your face right now at the image or maybe you're wondering "what does this have to do with the title, seems like everything is in order right?" Keep reading...

Now imagine being in that office smiling and happy and ready to take your eager clients money only not being able to service any of them. In fact, they're waiving their money at you waiting on you to service them but you can't even unlock the door to let them in!

The only issue is that you can't take their money. In fact you'll never be able to take the hundreds of thousands to millions waiting before you, ever. You've done so much to set your business up and get it ready for this moment but the authorities come your way and tell you "nope you can't open, not now not ever"

Picture it? Yes, that was me spring 2009.

9 OUT OF 10 JUST ISN'T ENOUGH

Solid business model and proof that identifying a super niche works. The market had very little service providers and there was a need for someone to meet the need in a demographic. I had a great marketing strategy based on leveraging relationships with key influencers in the county who had the customers in large groups, and build a financial plan that poised the company to earn multiple six figures in the first 18 months if not a million within 2 years. I had a great team and a solid strategy including a mentor. We even had built in multiple revenue streams to ensure the company would be able to grow overtime. I branded the company (still got boxes of marketing material) and injected the right DNA.

Sounds like at a recipe to win right? I had 9 out of the 10 things needed to make a million-dollar business so what was the problem? Simple, the #1 thing I did wrong was not understanding my EP (Entrepreneurial Personality). I wrote in a previous blog about how creative people have no busine... and while it's a bit extreme it offers some excellent points I learned from my experience.

I applied 15 years of business skills, took all the right short-cuts but didn't do the most important thing and that was ensuring I was sitting in the right seat in my company and not basing decisions on my wants but on my desires. That a solid mistake many entrepreneurs make and I did.

SO HOW DID I FAIL?

I had no clue of my EP, entrepreneurial personality. Simple,nothng more nothing less. Lacking the right insight into me meant every decision I made was a setup for the failiure. I knew I was a fire-starter (love to create ideas but not necessarily finish them) but I really didn't know about the other 2 personality types nor did I realize that my fire-starter energy was ruining my business.

Fire-starters - like to create, they don't necessarily like to finish but find joy out of creating and creating.

Builders - create but they can control themselves. They create enough and then turn that creation into a business. This is the person who sets up systems and structure and puts the pieces of the puzzle together

Finisher - is the, well, finisher. This is the follow through person who sees the vision carried out. They enjoy the process and are or can be committed to it. Classic left-brain thinkers I call them. My hubby's qualifies as this type, he's the "Manager" of our home, ensuring everything is done on time, according to schedule and below budget. In business this person is important to the success of a business because well, they have the ability to focus and get things DONE!

Let me know your thoughts. You can continue to read the blog post here and find what was my ultimate 'take away' or let's engage below. What is your 'EP' or did you not know you had one? I'm constantly "checking" myself and as I make mistakes in business (I do all the time and sometimes big ones) I give my business a 'check-up' and test what EP was not operating correctly. As a micro-business, we are accustomed to working solo but many of us have BIGGER dreams that truly do require what I call the Business "trinity", how do you manage this in your business?

[Leslie Flowers]

Lovely post, Katrina. THE 1st principle of success is DESIRE. Without desire you will not succeed. Period. The end. So your takeaway is spot-on. The next requirement is principle 8, Persistence, the sustained effort to create Faith.

Had we ever had a conversation prior to the opening, THAT would be the 1st place I would look. In fact with Desire only and Persistence, you don't need anything else .... it is already on it's way to you. I enjoyed this blog.
Keep in mind that failure is how we learn. No failure, no one succeeds!

[Katrina M Harrell-Biz Strategist]

Exactly! At the time I had no REAL concept of failing to succeed. I had failures in life as well all do, but it's something about an "EPIC FAIL" that will truly teach you something about yourself. At the time I was feeling bad for myself and like well a looser, It did't take long before it clicked that I just really didn't have all the tools needed to make it work. I had desire and persistence, but what made me decide not to persue the business anymore was the realization that I hadn't been clear enough on the exact direction. I realized that it would take more from me to make it work and that I needed a different route. I'm on that route now :-)

Thanks Leslie for commenting, yes I wish I had a whole LOT of folks giving me advice and guidance back then but I learned so much that has made me the person to day and have since been able to help others avoid that costly mistake.