entrepreneurship is it for me

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Entrepreneurship:Is It for Me?

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Agenda

• Who Is an Entrepreneur?

• Why Do Entrepreneurs Matter?

• Why Do You Want to Be an Entrepreneur?

• What Traits Do Entrepreneurs Have?

• Is Entrepreneurship for You?

• Set your own direction

• Who Is an Entrepreneur?

• Why Do Entrepreneurs Matter?

• Why Do You Want to Be an Entrepreneur?

• What Traits Do Entrepreneurs Have?

• Is Entrepreneurship for You?

• Set your own direction

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Who Is An Entrepreneur?

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Definition of an Entrepreneur

A person who organizes,operates and assumes the risk for a business venture.

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Academic / investment banker definition

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Entrepreneur Magazine

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About the Small Business Marketplace

•businesses with fewer than 100 employees

•Nearly 27 million small businesses

• 98% of all firms

• No employees: three quarters

• Predominantly service businesses

• 53% home-based and 3% franchises

• Annually nearly 640,000 startSource: Small Business Bureau

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Classic Entrepreneurs

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Poll

Who do you think of when you hear the word entrepreneur?

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Famous Entrepreneurs

• Mary Kay Ash - Most Outstanding Woman in Business in the 20th Century

• Ben & Jerry's - The Men Behind the Ice Cream• Lorenzo Borghese: The Bachelor Prince, the

Cosmetics Entrepreneur• Richard Branson - The Rebel Billionaire and

the Ultimate Multipreneur• Coco Chanel - As Bold and Distinctive as Her

Signature Fragrance• Simon Cowell – Music Mogul Millionaire• Michael Dell: Innovator of the Personal

Computer Industry• Walt Disney - The Man Behind the Mouse• Debbi Fields - Founder of Mrs. Fields Cookies• Henry Ford - Founder of Ford Motor Company

and Manufacturing Assembly Line Innovator• Bill Gates - Windows on Wealth

• Hugh Hefner: The Ultimate Lifestyle Entrepreneur

• Howard Hughes: The Aviator, The Innovator, The Billioniare

• Wayne Huizenga Biography• Jenna Jameson - From Porn Princess to Media

Mogul• Ingvar Kamprad - IKEA Founder and One of the

World's Richest Men• Estée Lauder - Making Beauty Into Big Business• Harvey Mackay - "Mr. Make Things Happen”• Adam Osborne – Creator of the First Portable

Computer• Anita Roddick - Redefining Business As We

Know It• Donald Trump - Billionaire Real Estate Tycoon

and Host of The Apprentice• Madame C. J. Walker - First Female African-

American Millionaire

• Oprah Winfrey - About.com Readers' Most Admired Entrepreneur

http://entrepreneurs.about.com/od/famousentrepreneurssz/Famous_Entrepreneurs_SZ.htm

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Questions

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Why Do Entrepreneurs Matter?

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Driving Economic Growth and Prosperity

• There is a strong correlation between national economic growth and the level of national entrepreneurial activity– By creating new jobs

at a faster rate than larger companies

– By developing new products and services

– By changing processes and approaches to the way things are currently being done

Source: Global Entrepreneurship Monitor

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Reinvigorating the Economy During Downturns

• Stock market correction• Corporate scandals• Terrorist attack• Through war• Significant natural

disasters

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Becoming the Big Businesses of Tomorrow

• 900:1 • Employ 50% of workforce.• U.S. small business

3rd GDP. • Small businesses important

to Dell, Amex, Staples, etc.• Of the eight million customers

UPS serves around the world each day, most are small businesses.”

Small Business IS Big Business

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Questions

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Why Do You Want To Be an Entrepreneur?

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Poll

• Why do you want to be an entrepreneur?

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Reasons for Becoming an Entrepreneur

• You will be your own boss• Hard work and long hours

directly benefit you, rather than increasing profits for someone else

• Earning and growth potential are far greater

• A new venture is as exciting as it is risky

• Running a business provides endless challenge and opportunities for learning

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Questions

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What Traits Do Entrepreneurs Have?

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Poll

• What do you think it takes to be an entrepreneur?

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Entrepreneurial Traits

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• Gutsy

• Resourceful

• Creative problem solvers

• Agile and flexible

• Have a fire in the belly

• Are risk tolerant, can deal with uncertainty, and are resilient

• Are willing to sacrifice

• Have technical expertise

• Have luck on their side

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Words to Live By

Ray Kroc, Founder McDonalds Corporation “If you work just for money, you’ll never make it, but if you love what you’re doing and you always put the customer first, success will be yours.”

Bill Gates, Founder /Chairman Microsoft “Success is a lousy teacher. It seduces smart people into thinking they can’t lose.”

Oprah Winfrey, TV Talk Show Host, Producer, Founder Harpo Productions

“Luck is a matter of preparation meeting opportunity.”

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Ten Questions to Ask Yourself

1. Are you willing and able to bear great financial risk?

2. Are you willing to sacrifice your lifestyle for potentially many years?

3. Is your significant other on board?

4. Do you like all aspects of running a business?

5. Are you comfortable making decisions on the fly with no playbook?

6. What's your track record of executing your ideas?

7. How persuasive and well-spoken are you?

8. Do you have a concept you're passionate about?

9. Are you a self-starter?

10. Do you have a business partner?

Source: Kelly K. Spors, So, You Want to Be an Entrepreneur, The Wall Street Journal, 23 February 2009

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Five More Questions to Ask Yourself

1. How well do you get along with different personalities?

2. Do you have the physical and emotional stamina to run a business?

3. How well do you plan and organize?

4. Is your drive strong enough?

5. Are you willing to get the training and help you need?

Source: Small Business Bureau

Source: Small Business Administration

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Questions

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The Bad and The Ugly of Entrepreneurship

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Small Business Failure Rate

• Number of failures after the first year

50%

Source: Small Business Association

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Why Businesses Fail

1. Lack of experience 2. Insufficient capital (money) 3. Poor location 4. Poor inventory management 5. Over-investment in fixed

assets 6. Poor credit arrangements 7. Personal use of business

funds8. Unexpected growth9. Competition*10.Low sales*

Source: Michael Ames, Small Business Management *Gustav Berle, The Do It Yourself Business Book

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Questions

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Is Entrepreneurship For You?

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Identify Your Reasons For Starting a Business

• This is personal journey

• There are no right or wrong answers

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The Essential Ingredients

• The business idea• Capital• Entrepreneurial traits• Education, expertise, skills and work experience• Social capital and network ties• Ongoing support through peer-to-peer help

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Personal Assessment

• Appraise of your personal skills and education

• Size up your business knowledge

• Evaluate your decision making abilities

• Identify your entrepreneurial skills

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Determine the Additional Support You’ll Need

• Take classes• Join industry groups• Join networking groups• Network• Join peer-to-peer

mastermind or CEO Roundtables

• Read books and magazines on entrepreneurs and entrepreneurial techniques

• Find a mentor or advisor• Use a coach

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Suggested Reading

• Entrepreneur’s Tool Kit: Tools and Techniques to Launch and Grow Your New Business, Harvard Business Essentials

• So, You Want to Be an Entrepreneur: First, answer these questions to see if you have what it takeshttp://online.wsj.com/article/SB123498006564714189.html#mod=article-outset-box

• The Stuff of Entrepreneurs and Social Entrepreneurs: Do You Have What It Takes? http://ventureneer.com/vblog/stuff-entrepreneurs-and-social-entrepreneurs-do-you-have-what-it-takes

• The Benefits of Starting a Business During a Recession: http://ventureneer.com/vblog/benefits-starting-business-during-recession

• There Is Never a Bad Time to Start Up a Company: http://ventureneer.com/vblog/there-never-bad-time-start-company

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Set Your Own Direction

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Questions

entrepreneurship is it for me

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