Blog

Why are Mexicans richer than British Entrepreneurs?

I was looking through the Forbe’s rich list (http://www.forbes.com/billionaires/list/) and noticed a few trends.

The first is that the majority of richest people in the world are self made entrepreneurs.

1. Carlos Slim Helu
2. Bill Gates
3. Warren Buffet

In fact the list is split into new world and old world wealth, the majority of the successful self made entrepreneurs are based in the new world. This is because the majority of the growth in the world, the majority of the worlds population is in the developing world. Its also easy to start a business, no tax, red tape or health and safety to learn, manage and report on a monthly basis.

However, its doesn’t stop you starting a business in the UK which sells into these markets.

The second point is that Carlos Slim Helu, a mexican can become richer than any British person. The richest British person is at number 78 which is Gerald Cavendish with $11b. Forbe’s write about him “The sixth Duke of Westminster, Gerald Grosvenor, remains the U.K.’s wealthiest landowner, with his fortune increasing this year along with the property market in London.”

So the richest person in the UK is not a self made entrepreneur, its old money which is inherited, in fact old world wealth based on the value of land and property in London.

So during 2013, I am going to find out…

So why don’t we have more entrepreneurs?

Have we lost our entrepreneurial spirit?

Have we become happy to earn the minimum wage?

Have we all been educated past starting our own business?

Have we made it too difficult to do?

Do we know how to run a service business

Blog, Enterprise Education, Skills Development

Little is more in Enterprise Support

When you are starting a business the more help and support you get the better, you would expect so.

However, after some years of helping and supporting startups, I am starting to see this is not always the case.

I guess its the difference between support and Intervention. To support someone, especially with mentoring and signposting which allows the person to find their way (with a little more direction) and   learn the skills and network required to manage their business is the right thing to do.

Its when the support becomes intervention that when the entrepreneur stops being the person in control and the support organisation does. This is when you have to do 50 hours doing this, sign all these forms and the process you will follow to make your business  is this.

This is wrong!

Everyone learns to be a entrepreneur differently, because they HAVE to be learn to be an entrepreneur, to solve problems, to look at the world in a new light of opportunities.

The problem these organisations have is that governments like a controlled process. They provide contracts to build bridges, its take some many weeks and will cost some much money. However, stating we can make some many businesses in so many weeks is not such a quantifiable statement. The process of starting a business normally starts many years before the person makes this statement. It may start with Dragon’s Den or The Apprentice in 10 grade. So the only thing you are really doing is counting those who have already spent many years deliberating this step.

The best entrepreneur support organisations do only ONE thing, they create an amazing network of people who all benefit from being part of it. This is because:

  1. Co-founders can be found in your network
  2. Mentoring can be found in your network
  3. Resources can be found in your network
  4. Funding can be found in your network

So before you start out in 2013, ensure you have the support network around you.

Blog, Motivation Techniques, Skills Development

Why you shouldn’t start a business

I often talk to people about why they should start a business, normally convincing the majority of the audience to do so. So what if I was being paid to talk people out of starting a business. I know we already have the BBC and popular press who have taken this mantel on, but thought I would give them a helping hand this month.

The clear fact of it is you are not an entrepreneur.

Location Location Location

If you were truly an entrepreneur then you would chose to start your business in one of the top 10 growth economies in the world, so China, Brazil, India and Russia would be on the top of this list (From your IP address I can see you are not from these). These economies have amazing growth, cheap labour, low taxes and little bureaucrats when compared to us in Europe. If not there you would place it in a high growth high population density city such as Mexico City, Singapore or Hong Kong. You could quickly prototype your idea to millions of newly rich and enjoy the inherit growth in the economy.

If not there then create a start-up near your customers or more importunely, your highest paying /grossing markets (A simple measure of GDP multiplied by population). Therefore you would be in the USA, Japan or Germany.  These are great markets to achieve scale and profit margins putting you in a great place for world domination. Think of the major brands, Coke, McDonalds, Starbucks, they all start in the USA due to its scale and spring board effects.

Finance
The vast majority of businesses will need some form of finance at some point. Given the banks are global, they will favour you if you have taken the location advice. The availability of financing from very small amounts, cash flow support, major loans, venture funding, and developing companies for IPO is an important structure for all entrepreneurs to live in. Every economy needs entrepreneurs to growth their start-ups and sell them on, getting ready to start new ones. This creates wealth for the nation through taxes, jobs and exports.

Motive
If you want to be truly rich then take a look at the Forbes rich list and see which countries the self made billionaire are from. We don’t want you to succeed in this country and if you do, we will force you to live in another part of the world for tax reasons. Most of our successful entrepreneurs stay out of the media attention for the very reason of not wanting the media to attack them for providing jobs and taxes to help pay for those that do/do not need it.

Popular support
The general public don’t want you to start a business. They want you to work in a newly build factory paying your taxes, pension and union contributions for the next 45 years. This ensures you fit into our 1950s model of our UK society which proves job satisfaction and security for life. Your only chance in life is therefore to work for a gov’ner who thinks little of the time and effort you put into the role. You should be happy to have a job, any job and accept your lot in life.

From these four points, its clear you are not, nor will ever be an entrepreneur, so just give up reading about it now and get yourself a nice safe job at the local supermarket!

Blog

Being Excellent – A hard mantra to live up to

Before we had The Matrix we had Ted. Not that TED but this Ted.

Ted was striving to be excellent and this is the greatest mantra for anyone to have. Excellence comes in all flavours and allows for all opportunities. So ever since 1989 its been one of mine.

Yet the vast majority of people don’t recognize excellence, want it or even accept it could be part of their daily lives.

The problem with this mantra is that its constantly changing. What was excellent when Ted started out in 1989 is not now in 2012. The ‘special effects’ look less special and more amateur. I’m sure we could debate the acting skills or their lack of as well.

So excellence is about the time we live in. About our current ability and the ability to move the bar, one further notch up. Knowing we are doing our best and getting the best.

The major reason this is important for entrepreneurs is that we have to create opportunities, those are only valid at one point in time, the idea, execution and delivery of the business idea must all be created in a way which our stakeholders desire.

And of course they all require us to be excellent.

We should all have a commitment to be excellent to others in our society (que guitar riff), not just to expect it, but also to provide it.

Have an excellent weekend!

Blog, Skills Development

Are Computer Skills the biggest barrier to Starting a Business?

Computer skills are very important in everyday life. However when starting and running a business they are one of the major factors in enabling growth and also reducing costs through automation and online communications.

These skills are very diverse from spreadsheet analysis of the cash flow to  creating a viral marketing campaign via facebook. The start up or self employed person has the greatest challenge as money and labour costs are too high to use outside help. So the successful start-up is one which has mastered their computer skills needs.

The truly hard part is where to develop these skills, as schools lack application, teaching skills and issues with responsibility in teaching student to promote themselves on the web. So the task comes to Colleges and Universities to ensure that these diverse, yet important skills are developed.

When we look at people who would start a business then vocational courses are those, which will lead into self employment. The self employed have the greatest need for computer skills, as there is only one person to do it and also the product or service is more personalized.

Students at grade 11 (general education) have a rather high mean score (2.93) in their confidence to use the internet responsibly, while this mean score decreases somewhat at grade 11 (vocational education).  (http://ec.europa.eu/information_society/digital-agenda/scoreboard/docs/2012/scoreboard_digital_skills.pdf)

So how do we get vocational students to develop useable enterprise computer skills?

Talking About Entrepreneurship