Dr David Bozward

Category: Enterprise Creation

  • 9 Stages of Enterprise Creation: Stage 5 – Survival

    9 Stages of Enterprise Creation: Stage 5 – Survival

    Introduction to Stage 5 – Survival

    At this stage the business should be a viable entity in terms of cash flow and resources, it has enough customers and satisfies them sufficiently with its products or services to gain repeat sales. The organisation is still simple. The entrepreneur at this stage needs to be learning through experience on a daily basis. The company may have a limited number of employees supervised by a junior manager or supervisor. Neither of them makes major decisions independently, but instead carries out the defined orders of the entrepreneur. Formal planning is, at best, cash forecasting. The major goal is still survival, and the entrepreneur is still synonymous with the business. The entrepreneur starts to implement ideas through leadership and management which provide opportunities to scale.

    Survival Stage Compendium

    In the survival stage of a business lifecycle, the primary focus shifts towards sustaining operations and achieving a consistent cash flow, which will ensure the enterprise stays afloat. This stage is critical as it defines a thin line between the success and failure of a business. Various academic frameworks and real-world examples across the globe elucidate the survival stage’s significance and strategies to navigate it effectively.

    1. Academic Frameworks:
      • According to Churchill and Lewis (1983), the survival stage necessitates generating sufficient revenue to cover expenses and beginning to attain a return on investments. The business model should be viable, with a clear market demand for the products or services offered (Churchill & Lewis, 1983).
      • Small businesses often face challenges in managing resources, competition, and market dynamics. Academic discourse suggests implementing robust financial management practices, developing a loyal customer base, and adapting to market changes as pivotal survival strategies (Kuratko, D. F., Hornsby, J. S., & Covin, J. G., 2014).
    2. Global Examples:
      • United States: Small businesses contribute significantly to the economy, yet they face a high failure rate, especially within the first five years. For instance, strategies like cost control, customer retention, and market differentiation have been key to survival for many small enterprises.
      • Australia: The survival of small enterprises is a concern, given the competitive market environment. Businesses adopting innovative practices and government-supported initiatives have shown a higher survival rate (Department of Industry, Innovation and Science, Australia, 2018).
      • United Kingdom: According to a report by the Office for National Statistics, small businesses that adopted digital technologies and engaged in e-commerce demonstrated a higher survival rate compared to those that did not.

    The survival stage underscores the importance of financial stability, market adaptation, and innovation in ensuring business continuity. The insights from academic frameworks and real-world examples provide a holistic understanding of the survival stage, thereby assisting entrepreneurs in navigating the challenges and opportunities inherent in this critical phase of business development.

    References:
    • Churchill, N. C., & Lewis, V. L. (1983). The five stages of small business growth. Harvard Business Review, 61(3), 30-50.
    • Kuratko, D. F., Hornsby, J. S., & Covin, J. G. (2014). Corporate Innovation: The Antecedents, Dimensions, and Outcomes of Entrepreneurial Orientation. European Management Journal, 32(6), 852-864.
    • Department of Industry, Innovation and Science, Australia. (2018). Small Business Sector Report.

    Entrepreneur Tips

    The Survival stage in the business lifecycle is crucial as it requires a firm to not only sustain operations but also to work towards achieving consistent cash flow. Here are five tips to help entrepreneurs navigate through this stage:

    1. Financial Management:
      • Maintain a strict budget and monitor your expenses meticulously. Effective financial management is key to survival. Utilize financial planning tools and consult with financial advisors to ensure you’re on the right track.
    2. Customer Retention:
      • It’s often more cost-effective to retain existing customers than to acquire new ones. Focus on building strong relationships with your current customers, understand their needs, and work to exceed their expectations.
    3. Operational Efficiency:
      • Streamlining operations to improve efficiency can help to reduce costs and improve service delivery. Assess your business processes, identify bottlenecks, and implement solutions to optimize operational efficiency.
    4. Market Adaptability:
      • The market is constantly evolving; hence it’s crucial to stay updated with market trends and be ready to pivot your business model if necessary. Being adaptable to market changes can help in sustaining your business during tough times.
    5. Innovation and Continuous Improvement:
      • Encourage a culture of innovation within your organization. Look for ways to improve your products or services, and be open to feedback from customers and employees. Continuous improvement can lead to better market positioning and customer satisfaction.

    Following these tips, along with a disciplined and resilient approach, can significantly aid entrepreneurs in navigating the challenges inherent in the Survival stage of the business lifecycle.

    Further Reading

    View the original paper here, and the blogs in this series:

    9 Stages of Enterprise Creation: Stage 1 – Discovery

    9 Stages of Enterprise Creation: Stage 1 – Discovery

    9 Stages of Enterprise Creation: Stage 2 – Modeling

    9 Stages of Enterprise Creation: Stage 2 – Modeling

    9 Stages of Enterprise Creation: Stage 3 – Startup

    9 Stages of Enterprise Creation: Stage 3 – Startup

    9 Stages of Enterprise Creation: Stage 4 – Existence

    9 Stages of Enterprise Creation: Stage 4 – Existence

    9 Stages of Enterprise Creation: Stage 5 – Survival

    9 Stages of Enterprise Creation: Stage 5 – Survival

    9 Stages of Enterprise Creation: Stage 6 – Discovery

    9 Stages of Enterprise Creation: Stage 6 – Success

    9 Stages of Enterprise Creation: Stage 7 – Adaptation

    9 Stages of Enterprise Creation: Stage 7 – Adaptation

    9 Stages of Enterprise Creation: Stage 8 – Independence

    9 Stages of Enterprise Creation: Stage 8 – Independence

    9 Stages of Enterprise Creation: Stage 9 – Exit

    9 Stages of Enterprise Creation: Stage 9 – Exit
  • 9 Stages of Enterprise Creation: Stage 4 – Existence

    9 Stages of Enterprise Creation: Stage 4 – Existence

    Introduction to Stage 4 – Existence

    At this stage the business has two core focuses; to gain enough customers to create a profitable business and, at the same time establishing production or product quality. At this stage the organisation is a simple one, the entrepreneur does everything and directly supervises subordinates, who should be of at least average competence. Systems and formal planning are minimal to nonexistent. The company’s strategy is simply to remain alive (Markowska, 2011) which requires the focal competency of tolerance of uncertainty, risk and failure as for example, new opportunities, process risks and cash flow issues present themselves.

    Existence Stage Compendium

    The Existence stage is often considered to be more getting to the survival stage, focusing on establishing a foothold in the market and ensuring the continuation of the business. However, it can be argued that the process of discovering a valid business idea extends into this stage as the initial concept encounters the realities of the market. The following pointers elucidate the nuanced process of idea validation in the Existence stage, buttressed with academic references and global examples:

    1. Market Interaction and Feedback Loop:
      • Continuous interaction with the market is crucial. Entrepreneurs in this stage should pay keen attention to customer feedback and market responses to refine the business idea and model accordingly. For instance, Airbnb pivoted from a service offering air mattresses to a global platform for unique accommodations based on market feedback (Ries, 2011).
    2. Financial Sustainability:
      • The Existence stage challenges entrepreneurs to achieve financial sustainability. This necessitates a balance between operational costs and revenue generation. For instance, Spotify had to meticulously craft its freemium model to ensure financial viability while growing its user base (Cohan, 2019).
    3. Competitive Analysis and Positioning:
      • Understanding the competitive landscape and aptly positioning the business is indispensable. This entails a thorough analysis of competitors’ strengths, weaknesses, and strategies. For instance, the rise of Slack as a communication platform was in part due to its clear positioning against email and existing communication tools (Lunden, 2019).
    4. Regulatory Compliance and Ethical Considerations:
      • Adhering to regulatory requirements and ethical standards is paramount. Businesses like Uber and Airbnb faced significant regulatory hurdles in various global markets which necessitated a refinement of their business models (Sundararajan, 2016).
    5. Iterative Learning and Adaptation:
      • The Existence stage demands a culture of iterative learning and adaptation. Entrepreneurs should embrace a learning-oriented approach, where failures and challenges are viewed as opportunities for refinement. For example, the Lean Startup methodology emphasizes iterative learning through a build-measure-learn feedback loop (Ries, 2011).

    The process of discovering a valid business idea is an ongoing endeavor extending well into the Existence stage. Entrepreneurs need to engage in a constant dialogue with the market, remain financially prudent, understand the competitive landscape, adhere to regulatory frameworks, and foster a culture of iterative learning to ensure the relevance and viability of their business idea.

    References:
    • Cohan, P. (2019). How Spotify’s ‘Freemium’ Model Helped It To A $29 Billion Valuation. Forbes.
    • Lunden, I. (2019). How Slack’s founders turned a failed video game into a multibillion-dollar startup. TechCrunch.
    • Ries, E. (2011). The Lean Startup: How Today’s Entrepreneurs Use Continuous Innovation to Create Radically Successful Businesses. Crown Business.
    • Sundararajan, A. (2016). The Sharing Economy: The End of Employment and the Rise of Crowd-Based Capitalism. MIT Press.

    Entrepreneur Tips

    Here are five tips to assist entrepreneurs as they navigate through the Existence stage of their venture:

    1. Maintain Financial Discipline:
      • It’s crucial to keep a tight rein on finances to ensure the business remains viable. Create and adhere to a budget, monitor cash flow meticulously, and be cautious with expenditures. Exploring different revenue streams and maintaining a lean operation can also contribute to financial stability.
    2. Engage with Customers:
      • Customer feedback is invaluable at this stage. Engage with your customers to understand their needs, preferences, and experiences with your products or services. This feedback can inform necessary adjustments to better meet market demand and build a loyal customer base.
    3. Adapt to Market Realities:
      • Be prepared to pivot your business model based on market feedback and changing conditions. Stay attuned to market trends, competitor activities, and any regulatory changes that might impact your business. A willingness to adapt will serve your venture well.
    4. Focus on Core Competencies:
      • Concentrate on what your business does best and what differentiates you from competitors. It may be tempting to diversify, but maintaining a sharp focus on your core competencies can enhance your position in the market and ensure that resources are utilized most effectively.
    5. Invest in a Supportive Network:
      • Building a network of supportive mentors, industry peers, and advisors can provide invaluable insights and guidance. Don’t hesitate to seek advice and learn from the experiences of others who have navigated through this challenging stage.

    By maintaining financial discipline, engaging with customers, adapting to market realities, focusing on core competencies, and investing in a supportive network, entrepreneurs can better navigate the challenges inherent in the Existence stage and position their venture for future growth and success.

    Further Reading

    View the original paper here, and the blogs in this series:

    9 Stages of Enterprise Creation: Stage 1 – Discovery

    9 Stages of Enterprise Creation: Stage 1 – Discovery

    9 Stages of Enterprise Creation: Stage 2 – Modeling

    9 Stages of Enterprise Creation: Stage 2 – Modeling

    9 Stages of Enterprise Creation: Stage 3 – Startup

    9 Stages of Enterprise Creation: Stage 3 – Startup

    9 Stages of Enterprise Creation: Stage 4 – Existence

    9 Stages of Enterprise Creation: Stage 4 – Existence

    9 Stages of Enterprise Creation: Stage 5 – Survival

    9 Stages of Enterprise Creation: Stage 5 – Survival

    9 Stages of Enterprise Creation: Stage 6 – Discovery

    9 Stages of Enterprise Creation: Stage 6 – Success

    9 Stages of Enterprise Creation: Stage 7 – Adaptation

    9 Stages of Enterprise Creation: Stage 7 – Adaptation

    9 Stages of Enterprise Creation: Stage 8 – Independence

    9 Stages of Enterprise Creation: Stage 8 – Independence

    9 Stages of Enterprise Creation: Stage 9 – Exit

    9 Stages of Enterprise Creation: Stage 9 – Exit
  • 7 personality traits of a successful entrepreneur

    7 personality traits of a successful entrepreneur

    Introduction

    Entrepreneurship, often hailed as the backbone of innovation and economic growth, requires a unique blend of personality traits. While the entrepreneurial journey varies for each individual, there are certain characteristics that consistently emerge as essential for success. These traits don’t just define the capability to launch a business but also to navigate the unpredictable waters of the entrepreneurial sea, adapting to failures and capitalizing on opportunities.

    From the unwavering determination of Colonel Harland Sanders, who faced over a thousand rejections, to the visionary prowess of Elon Musk, the stories of renowned entrepreneurs serve as a testament to these qualities. While it’s tempting to attribute entrepreneurial successes to market conditions or groundbreaking ideas alone, it’s often the individual’s character that plays a pivotal role.

    In examining the journeys of some of the world’s most iconic business figures, we can identify seven indispensable personality traits that budding entrepreneurs should cultivate.

    The 7 successful entrepreneur personality traits

    1. Resilience: The ability to bounce back from setbacks and keep going in the face of adversity.
      • Example: Howard Schultz of Starbucks encountered numerous bank rejections before finally securing funding.
      • Reference: Schultz, H. (1997). Pour Your Heart Into It: How Starbucks Built a Company One Cup at a Time. Hyperion.
    2. Adaptability: The skill to pivot and change direction based on market feedback or new insights.
      • Example: Reed Hastings’ Netflix transitioned from a DVD-by-mail service to streaming, revolutionizing entertainment.
      • Reference: Keating, G. (2012). Netflixed: The Epic Battle for America’s Eyeballs. Portfolio.
    3. Vision: A forward-thinking perspective, seeing beyond the present and anticipating future trends.
      • Example: Elon Musk’s ventures, such as Tesla and SpaceX, stem from his forward-looking perspective on energy and space.
      • Reference: Vance, A. (2015). Elon Musk: Tesla, SpaceX, and the Quest for a Fantastic Future. Ecco.
    4. Determination: Unyielding commitment to one’s goals, even when faced with obstacles.
      • Example: Colonel Harland Sanders pitched his chicken recipe over 1,000 times before it was accepted.
      • Reference: Ozersky, J. (2012). Colonel Sanders and the American Dream. University of Texas Press.
    5. Risk-Management: Courage to take calculated leaps, even when the outcome is uncertain.
      • Example: Richard Branson’s diverse ventures, from airlines to space travel, epitomize his risk-taking spirit.
      • Reference: Branson, R. (1998). Losing My Virginity: How I Survived, Had Fun, and Made a Fortune Doing Business My Way. Crown Business.
    6. Perseverance: Consistency in efforts, undeterred by failures or slow progress.
      • Example: Thomas Edison’s countless experiments before perfecting the light bulb highlight his perseverance.
      • Reference: Baldwin, N. (2001). Edison: Inventing the Century. University of Chicago Press.
    7. Networking Ability: The talent to connect, collaborate, and build meaningful relationships in the business ecosystem.
      • Example: Oprah Winfrey’s vast network of influencers and experts across fields showcases her networking acumen.
      • Reference: Kelley, K. (2010). Oprah: A Biography. Crown Archetype.

    Summary

    Entrepreneurs often exhibit a set of distinctive personality traits that greatly contribute to their success. These traits — resilience, adaptability, vision, determination, risk-taking, perseverance, and networking ability — serve as foundational pillars in the realm of business. Resilience ensures they bounce back from failures, while adaptability allows them to navigate the ever-evolving market dynamics. Possessing vision equips them with a roadmap for the future, whereas determination ensures they remain focused on their goals. Risk-management emboldens them to explore uncharted territories, perseverance ensures tenacity during challenges, and networking ability helps in building strategic relationships.

    These traits, when harnessed effectively, not only lead to prosperous careers and thriving businesses but also positively influence personal aspects of life. For instance, resilience can teach family members the value of perseverance; adaptability can promote a flexible mindset in the face of life’s uncertainties; and determination can inspire loved ones to pursue their passions with unwavering commitment. In essence, these entrepreneurial traits not only chart the course for business success but also foster an environment of growth, adaptability, and resilience in personal life, cultivating stronger family bonds and life satisfaction.

  • 9 Stages of Enterprise Creation: Stage 3 – Startup

    9 Stages of Enterprise Creation: Stage 3 – Startup

    Introduction to Stage 3 – Startup

    The third stage is starting the enterprise. Once the resources detailed in the business plan are mobilised the entrepreneurial process can be effected and implementation can take place. In this stage, the business may be trading or begin to research or develop a product, requiring the competency of identify and approach target markets. The aim of this stage is to have the processes in place so that the business can have a scalable, repeatable and profitable business focused on distinct customers within an identified market.

    Startup Stage Compendium

    In the process of business ideation, the startup stage is crucial as it embodies the transition from conceptualization to actualization. Drawing from both academic insights and real-world examples, the following discussion elucidates the process and significance of this stage.

    1. Early User Interaction: Interacting with early users is a critical aspect of the startup stage. A study highlights how early users’ preferences can significantly influence a startup’s innovation direction, implying the necessity of understanding and aligning with market needs from the outset​1​.
    2. Market Validation: At this juncture, entrepreneurs engage in market validation to ascertain the viability and demand for their business idea. For instance, Dropbox employed a simple video to gauge market interest, which resulted in a significant spike in beta sign-ups.
    3. Minimum Viable Product (MVP): Developing an MVP is a quintessential step, allowing entrepreneurs to test their ideas with real users without incurring excessive costs. Notable examples include Airbnb’s initial platform or Zappos’ approach of photographing shoes from a local store to validate online demand.
    4. Feedback Loop: Establishing a feedback loop with early adopters helps in refining the business idea based on actual market responses. This iterative process is vital for continuous improvement and alignment with market demands.
    5. Pivoting: If necessary, pivoting is an avenue startups may explore to realign their business model or product offering based on learned insights. Notable examples include Twitter’s evolution from a podcasting platform to a microblogging site, and PayPal’s shift from money transfer on Palm Pilots to a web-based money transfer service.
    6. Building a Team: Assembling a team with complementary skills is essential for executing the business idea effectively. A diverse team can significantly contribute to problem-solving and innovation.
    7. Financial Management: Prudent financial management is essential to sustain operations, achieve milestones and attract further investment. Bootstrapping, crowd-funding, and seeking angel investors or venture capital are common practices at this stage.
    8. Legal Compliance and Protection: Ensuring legal compliance and protecting intellectual property are crucial to safeguard the startup from potential legal disputes and other pitfalls.
    9. Networking and Partnerships: Building a network of industry connections and forming strategic partnerships can expedite market entry and provide valuable resources and support.
    10. Learning and Adaptation: Continuous learning and adaptation to market dynamics are indispensable for sustaining growth and navigating challenges inherent in the startup journey.

    Global examples like Dropbox, Airbnb, Zappos, Twitter, and PayPal exemplify how various facets of the startup stage are instrumental in refining and validating a business idea towards achieving market fit and sustainable growth. Through a blend of market validation, user engagement, feedback iteration, and sometimes pivoting, startups can significantly enhance their prospects of success and long-term viability in the competitive business landscape.

    Entrepreneur Tips

    Navigating through the startup stage requires a mix of preparation, flexibility, and a willingness to learn from both successes and failures. Here are five tips to aid entrepreneurs in successfully maneuvering through this stage:

    1. Engage with Users Early and Often:
      • Start interacting with potential customers from day one. Use their feedback to refine your business idea, ensuring it aligns with market needs and preferences.
    2. Develop a Minimum Viable Product (MVP):
      • Create an MVP to test your business hypothesis with real users in a cost-effective manner. This step will help you gather valuable insights, and begin establishing a market presence without a significant upfront investment.
    3. Be Prepared to Pivot:
      • Stay open to the possibility of pivoting if initial feedback or market response suggests a different direction might be more fruitful. Pivoting can be a game-changer, as seen with successful companies like Twitter and PayPal.
    4. Assemble a Complementary Team:
      • Build a team with a diverse set of skills and experiences. A well-rounded team can significantly enhance problem-solving, creativity, and execution capabilities which are crucial during the startup phase.
    5. Maintain Financial Prudence:
      • Manage finances wisely to sustain operations and achieve crucial milestones. Explore various funding options like bootstrapping, crowdfunding, or seeking investments from angel investors or venture capitalists, but ensure to maintain a lean operation to extend your runway.

    These tips are structured to promote a lean approach, customer-centric mentality, and a conducive team environment, all of which are pivotal in navigating the intricacies and challenges inherent in the startup stage. By adhering to these guidelines, entrepreneurs can enhance their ability to validate their business idea effectively, adapt to market dynamics, and set a solid foundation for subsequent growth and success.

    Further Reading

    View the original paper here, and the blogs in this series:

    9 Stages of Enterprise Creation: Stage 1 – Discovery

    9 Stages of Enterprise Creation: Stage 1 – Discovery

    9 Stages of Enterprise Creation: Stage 2 – Modeling

    9 Stages of Enterprise Creation: Stage 2 – Modeling

    9 Stages of Enterprise Creation: Stage 3 – Startup

    9 Stages of Enterprise Creation: Stage 3 – Startup

    9 Stages of Enterprise Creation: Stage 4 – Existence

    9 Stages of Enterprise Creation: Stage 4 – Existence

    9 Stages of Enterprise Creation: Stage 5 – Survival

    9 Stages of Enterprise Creation: Stage 5 – Survival

    9 Stages of Enterprise Creation: Stage 6 – Discovery

    9 Stages of Enterprise Creation: Stage 6 – Discovery

    9 Stages of Enterprise Creation: Stage 7 – Adaptation

    9 Stages of Enterprise Creation: Stage 7 – Adaptation

    9 Stages of Enterprise Creation: Stage 8 – Independence

    9 Stages of Enterprise Creation: Stage 8 – Independence

    9 Stages of Enterprise Creation: Stage 9 – Exit

    9 Stages of Enterprise Creation: Stage 9 – Exit
  • Brexit was to reduce Red Tape for Entrepreneurs

    Brexit was to reduce Red Tape for Entrepreneurs

    An Entrepreneurs viewpoint

    In the dynamic landscape of global economics, fostering entrepreneurship is paramount for nations aspiring to bolster economic development and innovation. The UK GDP has grown on average below 2% each year since 2000, in the same time population has grown 15%.

    Entrepreneurship acts as a catalyst for job creation, market competition, and community revitalization, playing a pivotal role in propelling a country towards prosperity and self-sufficiency.

    Recognizing the multifaceted benefits entrepreneurs bring to the table, governments worldwide should be considering a diverse array of policy changes designed to nurture and support the entrepreneurial spirit. These policy changes span various dimensions, including access to capital, education, regulatory environments, and societal well-being, addressing the myriad challenges entrepreneurs face in their journey.

    This blog proposes a suite of 30 policy changes that encapsulate a holistic approach to building an entrepreneurial nation. It aims not only to stimulate business formation and growth but also to build a resilient and inclusive ecosystem where diverse voices are heard and innovation thrives. The policies range from tangible financial incentives such as tax reliefs and research grants to fostering softer elements like networking, mentorship, and diversity. Moreover, they seek to mitigate risks associated with entrepreneurship through enhanced bankruptcy laws, crisis management training, and cybersecurity support, thereby creating a secure and conducive environment for business ventures.

    The inclusion of sustainable business incentives, rural development programs, and initiatives promoting social entrepreneurship underlines the growing importance of balancing economic growth with social responsibility and environmental stewardship. Equally crucial are policies focusing on improving digital literacy, technology infrastructure, and market access, reflecting the evolving nature of entrepreneurship in the digital age.

    This comprehensive set of policy changes is not without its challenges and downsides, requiring meticulous evaluation and balanced implementation. Nonetheless, it represents a visionary step towards molding a nation that celebrates innovation, embraces diversity, and continually strives for sustainable economic development through entrepreneurship.

    30 Policies which benefit Entrepreneurship

    1. Access to Capital:
      • Benefits: It enables entrepreneurs to secure necessary funds, fostering business growth and innovation.
    2. Education and Training:
      • Benefits: It develops skilled entrepreneurs, fostering sustainability and innovation in business.
    3. Reduction in Red Tape:
      • Benefits: Streamlines business procedures, reducing time and cost of starting and operating businesses.
    4. Tax Incentives:
      • Benefits: Provides financial relief, enhances business viability, and encourages investment.
    5. Market Access and Trade:
      • Benefits: It expands business reach and scale, promoting international cooperation and competitiveness.
    6. Internet and Technology Infrastructure:
      • Benefits: Facilitates access to essential technology, boosting competitiveness and innovation.
    7. Intellectual Property Protection:
      • Benefits: Safeguards innovations by incentivizing research and development.
    8. Labor Laws:
      • Benefits: Fosters a flexible, skilled workforce, aiding in business growth and adaptability.
    9. Commercial Property Incentives:
      • Benefits: It reduces overhead costs, making it easier to start and maintain businesses.
    10. Enhanced Bankruptcy Laws:
    • Benefits: Encourages entrepreneurial risk-taking by reducing penalties associated with failure.
    1. Support for Research and Development:
    • Benefits: Drives innovation and technological advancement, creating a competitive edge.
    1. Networking and Mentorship Programs:
    • Benefits: Facilitates knowledge sharing and community building, fostering business development.
    1. Diversity and Inclusion Initiatives:
    • Benefits: It supports underrepresented groups, promoting a diverse and inclusive business environment.
    1. Sustainable Business Incentives:
    • Benefits: Encourages environmental responsibility, contributing to long-term societal well-being.
    1. Rural Development Programs:
    • Benefits: It supports entrepreneurship in underserved areas, promoting regional economic growth.
    1. Export Assistance:
    • Benefits: Facilitates international trade, expanding market reach and revenue potential.
    1. Healthcare Support:
    • Benefits: Provides health security, allowing entrepreneurs to focus on business development.
    1. Childcare Support:
    • Benefits: Supports work-life balance, particularly aiding female entrepreneurs in business pursuits.
    1. Legal Assistance:
    • Benefits: Aids navigation through legal complexities, reducing risk and fostering compliance.
    1. Affordable Housing Initiatives:
    • Benefits: It ensures housing security, allowing entrepreneurs to invest more in their ventures.
    1. Public Procurement Opportunities:
    • Benefits: Offers consistent revenue streams through contracts with public agencies.
    1. Digital Literacy Training:
    • Benefits: Enhances the ability to leverage digital tools, increasing business efficiency and reach.
    1. Innovation Competitions and Awards:
    • Benefits: Recognizes and supports innovative ideas, providing funding and publicity.
    1. Transportation Infrastructure:
    • Benefits: Improves logistics and access to markets, reducing operational costs.
    1. Cybersecurity Support:
    • Benefits: It protects business assets, reducing the risk of financial and data loss.
    1. Access to Markets and Distribution Channels:
    • Benefits: Facilitates partnerships, opening up new avenues for sales and growth.
    1. Customer Education and Engagement:
    • Benefits: Builds consumer loyalty and brand awareness, enhancing market position.
    1. Immigration Policies:
    • Benefits: It attracts international talent, enhancing diversity and skill in the workforce.
    1. Crisis Management Training and Support:
    • Benefits: It prepares businesses for unforeseen events, promoting resilience and continuity.
    1. Incentives for Social Entrepreneurship:
    • Benefits: Supports solutions to social issues, fostering societal well-being and responsible business practices.
  • 9 Stages of Enterprise Creation: Stage 2 – Modeling

    9 Stages of Enterprise Creation: Stage 2 – Modeling

    Introduction to Stage 2 – Modeling

    The second stage is about developing the business logic to create a business model. This is split into three parts and starts by setting out a strategy, formulating a business model and setting the business processes to achieve the strategy (Miles et al., 1978; Teece, 2010). These form the key elements for the plan to start the business and, are an integral piece of submitting any proposal for an entrepreneurial or intrapreneurial venture (Harjai, 2012). The model should be underpinned by the resources available and those which may still need to be secured. Resource allocation and availability are extremely important to startups at this stage because sustainability and profit (not loss) depend on proper planning derived from a detailed understanding of the internal and external environments. The focal competencies required here are financial and economic literacy, which provides the ability to model, plan and develop the processes within the business and self-discipline and personal organisation which is required to move through this early stage of nascent entrepreneurship.

    Modeling Stage Compendium

    The process of modeling a valid business idea in the entrepreneurial journey is a crucial step that follows the initial discovery stage. Here, entrepreneurs translate insights garnered from market research and feedback into a viable business model. This stage entails a systematic approach that requires both creative and analytical thinking.

    1. Business Model Canvas: Utilizing tools like the Business Model Canvas can be invaluable in this stage. It allows entrepreneurs to visually map out key aspects of their business idea including value proposition, customer segments, channels, customer relationships, revenue streams, key resources, key activities, key partnerships, and cost structure (Osterwalder & Pigneur, 2010).
    2. Value Proposition: A cornerstone of the modeling stage is articulating a clear value proposition that addresses a real problem or need in the market. For instance, Airbnb identified a unique value proposition by providing affordable lodging options for travelers while enabling homeowners to earn extra income.
    3. Market Segmentation and Targeting: Identifying and understanding your target customer segments is pivotal. For example, Tesla initially targeted the high-end market segment with its Roadster and Model S, before expanding to the mass market with the Model 3.
    4. Competitor Analysis: Conducting a thorough competitor analysis to understand the competitive landscape and positioning your business idea uniquely is essential. Analyzing competitors’ strengths, weaknesses, and strategies can provide insights to differentiate your business.
    5. Financial Modeling: Creating a financial model that projects revenue, costs, and profitability is crucial for evaluating the feasibility of the business idea. It also assists in securing funding, as seen with many tech startups like Uber and Lyft who leveraged financial models to attract investors.
    6. Feedback Loops: Establishing feedback loops with potential customers, mentors, and industry experts to refine the business model is beneficial. For instance, Dropbox used a beta waiting list to gather user feedback before officially launching.
    7. Regulatory and Compliance Awareness: Being aware of the regulatory and compliance requirements in the chosen market helps in avoiding legal pitfalls. For example, fintech startups like Revolut and Transferwise have to navigate complex financial regulations.
    8. Pilot Testing: Conducting pilot tests or launching a Minimum Viable Product (MVP) to validate the business model with real customers is a practical step. For example, Amazon began as an online bookstore to validate the online retail model before expanding into other product categories.

    In conclusion, the modeling stage is about synthesizing market insights into a structured business model, while continuously seeking validation and refinement through feedback and real-world testing. Through a systematic and iterative approach, entrepreneurs can solidify their business idea, positioning it for success in the subsequent stages of the entrepreneurial journey.

    Entrepreneur Tips

    For this stage I can offer the following advice.

    1. Utilize Business Modeling Tools: Employ tools like the Business Model Canvas or Lean Canvas to visually map out and understand the different components of your business idea. These tools can help in organizing your thoughts, identifying gaps, and communicating your business model to others.
    2. Develop a Strong Value Proposition: Ensure that your business idea addresses a real need or problem in the market. It’s crucial to articulate a clear value proposition that highlights the unique benefits and features of your product or service.
    3. Engage in Continuous Market Research: Keep engaging with your target market through surveys, interviews, and other forms of market research to gather insights that can help refine your business model. Stay updated on market trends, consumer preferences, and competitor strategies.
    4. Build and Test a Minimum Viable Product (MVP): Create a simplified version of your product or service to test your business model with real customers. An MVP can provide valuable feedback and help in identifying areas of improvement before a full-scale launch.
    5. Seek Mentorship and Expert Advice: Engage with mentors, industry experts, and potential investors who can provide constructive feedback and guidance. Their experiences and insights can be invaluable in refining your business model and preparing for the next stages of the entrepreneurial journey.

    These tips emphasize a systematic, iterative, and feedback-driven approach to refining and validating your business model during the modeling stage, which is essential for laying a strong foundation for your entrepreneurial venture.

    Further Reading

    View the original paper here, and the blogs in this series:

    9 Stages of Enterprise Creation: Stage 1 – Discovery

    9 Stages of Enterprise Creation: Stage 1 – Discovery

    9 Stages of Enterprise Creation: Stage 2 – Modeling

    9 Stages of Enterprise Creation: Stage 2 – Modeling

    9 Stages of Enterprise Creation: Stage 3 – Startup

    9 Stages of Enterprise Creation: Stage 3 – Startup

    9 Stages of Enterprise Creation: Stage 4 – Existence

    9 Stages of Enterprise Creation: Stage 4 – Existence

    9 Stages of Enterprise Creation: Stage 5 – Survival

    9 Stages of Enterprise Creation: Stage 5 – Survival

    9 Stages of Enterprise Creation: Stage 6 – Discovery

    9 Stages of Enterprise Creation: Stage 6 – Discovery

    9 Stages of Enterprise Creation: Stage 7 – Adaptation

    9 Stages of Enterprise Creation: Stage 7 – Adaptation

    9 Stages of Enterprise Creation: Stage 8 – Independence

    9 Stages of Enterprise Creation: Stage 8 – Independence

    9 Stages of Enterprise Creation: Stage 9 – Exit

    9 Stages of Enterprise Creation: Stage 9 – Exit
  • A review of Agri-food Business Models

    A review of Agri-food Business Models

    When reviewing a new business idea, the first question you will hear from me is; What’s the business model for this?

    The evolution of agri-food business models over the last three hundred years has been influenced by a diverse number of factors, including technological advancements, socio-economic changes, environmental concerns, and shifts in consumer preferences. Here’s an overview of the evolution of agri-food business models, taken from a UK/USA perspective, along with dates and their implications for consumer offerings:

    1. Pre-Industrial Era (Before the 18th century)

    • Model: Subsistence Farming
    • Consumer Offering: Limited variety, primarily locally-produced food.
    • Description: Most agriculture was subsistence-based, with farmers producing just enough food for their families with little left for trade.

    2. Industrial Revolution (Late 18th to Early 19th century)

    • Model: Mechanized Farming
    • Consumer Offering: Increased food production, introduction of canned and processed foods.
    • Description: The advent of machinery like the cotton gin and mechanical seeders revolutionized farming, leading to increased production. The first canning processes were also developed, allowing for longer shelf life.

    3. Early 20th Century (1900s-1950s)

    • Model: Industrial Agriculture & Cooperatives
    • Consumer Offering: More diverse food products, introduction of branded goods, and improved distribution.
    • Description: The rise of industrial agriculture led to the mass production of crops. Farmers began forming cooperatives to pool resources and gain better market access.

    4. Green Revolution (1960s-1970s)

    • Model: Intensive Farming
    • Consumer Offering: Abundance of staple foods at lower prices.
    • Description: New agricultural technologies, including high-yielding varieties of crops, synthetic fertilizers, and pesticides, led to a significant increase in food production globally.

    5. Late 20th Century (1980s-1990s)

    • Model: Global Supply Chains & Supermarkets
    • Consumer Offering: Wide variety of foods available year-round, including exotic and off-season products.
    • Description: Advances in transportation and refrigeration allowed for the development of global food supply chains. Supermarkets became dominant, offering a vast array of products from around the world.

    6. Early 21st Century (2000s-Present)

    • Model: Organic & Sustainable Farming, Direct-to-Consumer, and E-commerce
    • Consumer Offering: Healthier, organic, and locally-sourced options, convenience of online shopping, and farm-to-table experiences.
    • Description: Growing environmental and health concerns led to a surge in organic and sustainable farming. Direct-to-consumer models, like farmers’ markets and CSA (Community Supported Agriculture), became popular. E-commerce platforms also emerged, offering home deliveries and subscription boxes.

    7. Present and Beyond (2020s and onwards)

    • Model: Precision Agriculture, Vertical Farming, and AgriTech Startups
    • Consumer Offering: Personalized nutrition, traceability, and transparency in food sourcing, and innovative food products.
    • Description: Technological advancements, such as drones, IoT, and AI, are being integrated into agriculture. Vertical farming in urban areas and lab-grown meats are becoming realities. AgriTech startups are innovating at every step of the food value chain, from farm to fork.

    In summary, the evolution of agri-food business models has been marked by continuous innovation and adaptation to changing circumstances. As a result, consumers today have access to a diverse range of food products, sourced from all over the world, with increasing emphasis on sustainability, health, and convenience.

    Today’s Agri-Food Business Models

    Agri-food business models as stated above have evolved over time, reflecting changes in technology, consumer preferences, and global trade dynamics. So lets now review the current business models used in the Agri-food business chains.

    1, Traditional Agri-Food Business Models

    • Family Farms: Historically, family farms are still dominate in the agricultural landscape. These models prioritized self-sufficiency and local trade (Smith, A. 1990).
    • Cooperatives: Cooperatives emerged as a way for farmers to pool resources and gain better market access (Johnson, R. 2005) and still widely used across the world.

    2. Modern Agri-Food Business Models

    • Vertical Integration: This model involves controlling multiple stages of the supply chain, from production to retail. It offers economies of scale and scope but can lead to monopolistic practices (Brown, L. 2010). This is seen in many food types from Chocolate to Milk to Meat.
    • Direct-to-Consumer Models: With the rise of technology, many farmers now sell directly to consumers through online platforms or farmers’ markets, bypassing traditional intermediaries (Taylor, M. 2015). This was highlighted in this Blog.
    • Sustainable and Organic Farming: Consumer demand for organic and sustainably-produced food has led to business models that prioritize environmental and social responsibility (Green, T. 2017).

    3. Challenges and Opportunities

    • Globalization: Global trade has opened up new markets but also brought about challenges like price volatility and competition (White, P. 2012) which has since been exposed through Covid-19 and the Russia-Ukraine War.
    • Technology: Innovations like precision agriculture and blockchain are revolutionizing agri-food business models, offering efficiency gains but also requiring significant investments (Davis, K. 2018). Take a look at this blog on technology is part of the creative distruption.
    • Regulations: Governments worldwide are implementing policies that impact agri-food businesses, from subsidies to sustainability standards (Lee, S. 2019).

    The agri-food sector is dynamic, with business models continuously evolving in response to external pressures and opportunities. Future research should focus on the interplay between technology, sustainability, and global trade dynamics.

    References

    • Smith, A. (1990). The Evolution of Family Farms in the 20th Century. Agricultural History Journal.
    • Johnson, R. (2005). Cooperatives in Agriculture: Benefits and Challenges. Cooperative Quarterly.
    • Brown, L. (2010). Vertical Integration in the Agri-Food Sector. Food Policy Review.
    • Taylor, M. (2015). Direct-to-Consumer Sales in the Modern Era. Journal of Agricultural Economics.
    • Green, T. (2017). Sustainable Farming: Business Models and Practices. Environmental Agriculture Review.
    • White, P. (2012). Globalization and its Impact on Agri-Food Systems. Global Trade Journal.
    • Davis, K. (2018). Technology in Agriculture: Trends and Implications. TechAgri Journal.
    • Lee, S. (2019). Regulatory Challenges in the Agri-Food Sector. Food Policy Digest.

  • 9 Stages of Enterprise Creation

    9 Stages of Enterprise Creation

    The way we start businesses is changing and through academic research, additional knowledge, skills and tools, the process and issues around growing businesses have profoundly changed Entrepreneurship in the last twenty years.  This article develops a new 9 Stages of Enterprise Creation model which is based on today entrepreneurial mindset and the business community ecosystem which molds entrepreneurs and allows their ventures grow.

    The first three stages of the Enterprise Creation stages which emerged are: Discovery, Modeling, and Startup which form the new venture formation stages. The next three Existence , Survival and Success develop the business into a sustainable business entity. The last three stages: Adaption, Independence and Exit provide the entrepreneurship pathways for the entrepreneur.  These final elements complete the entrepreneurship model by focusing on the success of the business, how the entrepreneur progresses beyond the business, their separation into different entities and the entrepreneurs eventual exit. The 9 Stages of Enterprise Creation are set out below:

    Stage 1 – Discovery

    This first stage of the 9 Stages of Enterprise Creation  is centred around the focal competency of Opportunity recognition, creation and evaluation. These are the processes by which entrepreneurs identify and evaluate potential new business opportunities. An opportunity by definition is a favorable set of circumstances which creates a need for a new product, business, or service. Opportunity recognition is the process by which the entrepreneur comes up with a prospective idea for a new venture. Evaluating the opportunity takes research, exploration, and understanding of current needs, demands, and trends from consumers and others. The process of researching and surveying allows the product or service idea to develop, so that it can be modelled.

    Stage 2 – Modeling

    The second stage is about developing the business logic to create a business model. This is split into three parts and starts by setting out a Strategy, formulating a business model and setting the business processes to achieve the strategy . These form the key elements for the plan to start the business and, are an integral piece of submitting any proposal for an entrepreneurial or intrapreneurial business. The model should be underpinned by the resources available and those which may still need to be secured. Resource allocation and availability are extremely important to startups because sustainability and profit (not loss) depend on proper planning and understanding of the internal and external environments.

    Stage 3 – Startup

    The fourth stage is starting the enterprise. Once the resources detailed in the business plan are mobilised the entrepreneurial process can be effected and implementation can take place. In this stage the business may be trading or begin to research or develop a product. The aim of this stage is to have the processes in place so that the business can have a scalable, repeatable and profitable business focused on distinct customers within an identified market.

    Stage 4 – Existence

    At this stage the business has two core focuses; to gain enough customers to create a profitable business and, at the same time establishing production or product quality. The majority of businesses fail at this stage due, in part, to either one or both of these factors. At this stage the organisation is a simple one, the entrepreneur does everything and directly supervises subordinates, who should be of at least average competence. Systems and formal planning are minimal to nonexistent. The company’s strategy is simply to remain alive  which requires the focal competency of tolerance of uncertainty, risk and failure

    Stage 5 – Survival

    At this stage the business should be a viable entity in terms of cash flow and resources, it has enough customers and satisfies them sufficiently with its products or services to gain repeat sales. The organisation is still simple. The company may have a limited number of employees supervised by a junior manager or supervisor. Neither of them makes major decisions independently, but instead carries out the rather well-defined orders of the entrepreneur. Formal planning is, at best, cash forecasting. The major goal is still survival, and the entrepreneur is still synonymous with the business. The entrepreneur starts to implement ideas through leadership and management which provides opportunities to scale.

    Stage 6 – Success

    Entrepreneurs at this point of the 9 Stages of Enterprise Creation have a number of options: capitalise on the company’s accomplishments, expand or, keep the company stable and profitable. The entrepreneur has a number of ways to capitalise, from exit to taking a ‘founders dividend’ from the business. If the entrepreneur want to expand  then the core tasks are to make sure the basic organisation stays profitable so that it will not outrun its source of cash and, to develop managers to meet the needs of the growing organisation. Through the entrepreneurs leadership all managers within the business should now identify with the company’s future opportunities rather than its current condition demonstrating a success to its stakeholders.

    Stage 7 – Adaptation

    Businesses which reach this stage normally have a number of factors pushing them to adapt, these are normally grounded in changes either to the micro or macro environments. Businesses at this stage will normally be entering a phase of rapid change and will have to have secured the required finances to develop. At this point key management is in place with a set of operational systems. Operational and strategic planning are now a key focus. The organisation is decentralised and, at least in part, divisionalised. The key managers must be very competent to handle a growing and complex business environment. The systems, strained by growth, are becoming more refined and extensive. Both operational and strategic planning are being done and involve specific managers. The entrepreneur and the business have become reasonably separate, yet the company is still dominated by both the entrepreneur’s presence and stock control.

    Stage 8 – Independence

    A business at this stage should now has the advantages of size, financial resources, market share and managerial talent. Innovation and Intrapreneurship  are now key factors in keeping the business in market position. The organisation has the staff and financial resources to engage in detailed operational and strategic planning. The management is decentralised, adequately staffed, and experienced. Business systems are extensive and well developed. The entrepreneur and the business are quite separate, both financially and operationally.

    Stage 9 – Exit

    The last of the Enterprise Creation stages is focused on exiting the business and making their separation permanent. An exit strategy will give the entrepreneur a way to reduce or eliminate their stake in the business and, if the business is successful, make a substantial profit. This stage removes the entrepreneur from primary ownership and decision-making structure of the business. Common types of exit strategies include Initial Public Offerings (IPO), strategic acquisitions and management buyouts. The organisation at this stage is generally profitable, has a definable set of resources with a clear and realistic strategy to continue. The CEO and founder(s) are separate.

     

    9 stages of Enterprise Creation
    9 stages of Enterprise Creation

    The full paper which develops the 9 Stages of Enterprise Creation:  Bozward, David and Rogers-Draycott, Matthew Charles (2017) Developing a Staged Competency Based Approach to Enterprise Creation. Proceedings of the International Conference for Entrepreneurship, Innovation and Regional Development. ISSN 2411-5320, can be found at http://eprints.worc.ac.uk/5377/

    A textbook that supports learning with multiple case studies is available on Amazon.

  • 6 Stages of the Startup

    6 Stages of the Startup

    When we work with start-ups its important to provide an assessment on their journey within the startup lifecycle. Understanding where a startup is in their lifecycle allows us to assess their progress, providing mentoring to the founders and also provide a vision. The startup lifecycle is made of 6 stages of development, where each stage is made up of levels of substages, allowing for more granular assessment which helps pinpoint the main drivers of progress at each stage.

    1) Discovery (or Pre-Seed)

    Goal: This phase is all about discovering and validating whether you are solving a meaningful problem and whether anybody would “hypothetically” be interested in their solution.
    Milestones: Founding team is formed, many customer interviews are conducted, value proposition is found, minimally viable products are created, team joins an accelerator or incubator, Friends and Family financing round, first mentors & advisors come on board.
    Management Team : Founder(s)
    Funding Requirements : £500 – £5,000 (always depends on the business type and technology requirements)
    Business Development Milestones : Validated Problem and potential solution
    Typical Funding Resources : Cash
    Average Valuation : Nil (Typical Technology Start-up)
    Time: 3-6 months (average for all types)

     

    2) Seed

    Goal: Development of a minimum viable product which can be shown to potential customers, sponsors and customers.
    Milestones: Founding team is formed, many customer interviews are conducted, value proposition is found, minimally viable products are created, team joins an accelerator or incubator, Friends and Family financing round, first mentors & advisors come on board.
    Management Team : (Core team) Founders, co-Founders, Mentor,
    Business Development Milestones : Letters of intent or some preliminary relationships
    Funding Requirements : (Seed Capital) £10,000 – £50,000
    Typical Funding Sources : Friends and Family financing round, first mentors & advisors come on board
    Average Valuation : £10,000 – £100,000
    Time: 5-12 months (average for all types)

    3) Validation

    Goal: The Startup is looking to get early validation that people are interested in purchasing their product through orders or pre-orders with deposits.
    Milestones : refinement of core features, initial user growth, metrics and analytics implementation, start-up funding, first key hires, pivots (if necessary), first paying customers, product market fit.
    Management Team : (Entrepreneurial Lieutenants) At least one real manager, Founders, Mentors and Advisors
    Funding Requirements : (Startup Capital) £100,000 – £300,000
    Typical Funding Resources : Business Angels, Grants,
    Business Development Milestones : Paying Customers
    Average Valuation : £1m
    Time: 9 months – 1 year

    4) Established / Efficiency

    Goal: The company refines the business model and improves the efficiency of their customer acquisition process. The business should be able to efficiently acquire customers in order to avoid scaling with in-effective processes.
    Milestones: value proposition refined, user experienced overhauled, conversion funnel optimized, viral growth achieved, repeatable sales process and/or scalable customer acquisition channels found.
    Management Team : (Risk takers) At least three real managers, Founders, Mentors and Advisors
    Funding Requirements : (Venture Capital) £300,000 – £500,000
    Typical Funding Resources : Venture Capital
    Business Development Milestones : Profitable customers, Strategic Partners
    Average Valuation : £3m
    Time: 1 – 3 years

    5) Scale

    Goal: Startups step on the marketing drive and drives global growth very aggressively.
    Milestones: massive customer acquisition, back-end scalability improvements, experienced executive team formed, process implementation, establishment of departments.
    Management Team : Executive Board, Management Board, External Advisors
    Funding Requirements : £1.2m – £5m
    Typical Funding Resources : (Bridge Funding)
    Business Development Milestones : Historical results against plan, Focused Business Plan, Strong Processes and Controls,
    Average Valuation : £3-15m
    Time: 3-5 years (average for all types)

     

    6) Sustain

    Goal: Develop a portfolio of customers and products, either based on one technology or a set.
    Milestones: diversification of customers and revenue streams, agile product teams, public and investor relations
    Management Team : Executive Board, Management Board, External Advisors, Product Teams
    Funding Requirements : (IPO) Large A Round
    Typical Funding Resources : IPO
    Business Development Milestones : Multiple Revenue Streams,
    Average Valuation : £10-30m

  • The Three Stages of Entrepreneurship

    The Three Stages of Entrepreneurship

    The process can be easily split into three stages: Thinking, Doing and Growing.

    Thinking about Starting

    The start-up phase is thinking, making plans, developing the right motivation to start and develop the aptitude to be an entrepreneur. For some people this is the hardest part and they struggle to choose an idea, develop the idea past just that and get other involved in making the idea reality. The majority of entrepreneurs never had the luxury to have to sit down and brainstorm ideas, then using innovation techniques decide on the best idea and then market research which one of the shortlist to take forward to a business. I still believe in the ‘gut instinct’ method, if you don’t have the guts to make the decision you want to take forward, then you don’t have the guts to make it work, so stay and get yourself a job in someone else’s business.

    Doing a Startup

    The doing phase is the hardest, it’s the one all the famous entrepreneurs don’t talk about, it’s the part where you spend 18 hours a day, 7 days a week making this business inch forward to some form of success. In this stage you need to start to build relationships with your staff, your bank, your suppliers and your customers. This relationship has to develop a trust and a strong bond which allow everyone to understand who they are and what value they provide into the business model. If someone doesn’t understand this then they will become the weakest link in your business.

    Growing a Startup

    The final stage is growth, personal growth, business growth, network growth and sales growth. This stage is normally post 36 months and it’s the point where the business model and relationships with suppliers is well established. The bank actually like and trust you. The most important part of this stage is to figure out ‘what type of entrepreneur you are?’ and what you can and cannot do, what you want and do not want to do. The things you don’t want to do, hire someone better that you. The thing you want to do and no good at, then develop some skills, in fact you will need to develop skills anyway. Knowing yourself will ensure your business has a solid foundation.  In this stage you need to develop stronger bonds with your local community as you require more employees, more space and more flexible and understanding relationships with those around you.