Do You Have What It Takes? Critical Success Factors for Entrepreneurs

February 23, 2012 in Success with 35 Comments

Critical Success Factors for Entrepreneurs

I’ve been doing this entrepreneurship thing for over seven years now. If you know my story, you know I didn’t start out as an entrepreneur, nor did I come from an entrepreneurial background. Still, I decided to make the move to the life and work I love, and since then I’ve never looked back. Now, seven years later, my entrepreneurial endeavors include being a speaker, hosting speaker conferences, life and career coaching, blogging thoughts on success, and developing products.

Along the way, I’ve discovered seven critical success factors that have been keys to success for me as an entrepreneur. I teach these critical success factors at the Speak It Forward Boot Camp and wherever else I get the opportunity to engage with entrepreneurs.

What makes these seven elements critical success factors is that they are predictors of achievement and accomplishment in the self-employment world. I would go so far as to say these seven critical success factors are equivalent to the DNA of success for entrepreneurs.

S elf-Starter — Are you proactive, intentional, and driven? You won’t make it in the self-employment world if you are not.

U nited Family — Do you have the support of your spouse and family to enter the entrepreneurial world?

C oncentration — Are you focused and not easily distracted? As an entrepreneur, you will log some long hours, so you better be able to concentrate. (As an FYI, it’s easier to stay focused for long periods of time if you love your work and are passionate about it.)

C apability — Do you have the talent to be successful in your chosen endeavor? I’m successful as an entrepreneur because my business revolves around my talents and skills of speaking, training, coaching, writing, and leading. One of the most critical success factors in self-employment is NOT trying to find work in the hottest industry, but finding work that fits your best skills and abilities.

E nergy  — Do you have the physical and emotional energy to run a business? This is important because as I already said, entrepreneurs work long hours.

S tick-to-it-tive-ness — Are you committed enough to give the endeavor a minimum of 12-to-18 months of intentional focus with little or no financial reward?

S elf-Discipline — This might be the most critical success factor…are you determined and disciplined enough to do what needs to be done, day after day, to grow your business?

There you have it…seven critical success factors for entrepreneurs. I hope they help you along your journey!

If you are an entrepreneur who is interested in generating revenue as a speaker, or a speaker who is interested in becoming more entrepreneurial, why not join me at the Speak It Forward Boot Camp?

Speak It Forward Boot Camp

 

  • http://www.reflectivebiblestudy.com/ Cam

    Hi Kent,
    Thanks for the great S.U.C.C.E.S.S. list. My biggest challenge of these seven items is the concentration — specifically eliminating distractions.

    It might seem weird, but some of my stronger suits are the stick-to-it-ive-ness and the Energy, but there are way too many things clamoring for my attention that I must shut out.

    Thanks for the great reminder to focus and while I may be moving forward slower than I’d like to be, I still am making steps forward!

    Thanks for a great post!
    ~Cam

    • http://www.liveitforward.com/ Kent Julian

      Slow and steady wins the race! (It really does.)

      And as far as our struggles with these principles, half the battle is awareness of  our greatest potential roadblocks. That’s the idea behind this list.

  • Buttercup

    I don’t have any support from family… they don’t understand what I do or that it is important to me. They can’t seem to get that I’m not them! Does that explain why I’m just barely surviving?

    I don’t even talk about my dream with anyone in my family anymore because I’m tired of hearing I’ll never succeed or should get a real job. How do you deal with that?

    It sometimes makes me doubt myself so much that I stop working altogether because I’m not seeing much progress and little financial gain. Any advice?

    • http://www.reflectivebiblestudy.com/ Cam

      Hi Buttercup,
      Without family support, you have a steeper climb than most. What it takes is surrounding yourself with other positive influences that will give you support in the areas that your family ‘should’.

      Author/speaker Dan Miller would be a great person to connect with over on 48days.com/48days.net if you are interested in finding some additional guidance in addition to Kent’s great words of wisdom that I know he’ll share.

      Hope this helps encourage you,
      ~Cam

    • http://www.liveitforward.com/ Kent Julian

      Out of all of these critical success factors, having a family that is not in your corner is the toughest one because in many ways it is something that is out of our control. For instance, I can determine if I’m going to stay focused or if I”m going to stick-to-it…but I can’t make my spouse support my entrepreneurial dreams.

      With that said, here are a few thoughts that might help:

      1.  I have found my wife, Kathy, to have amazing insight into me as a person. She sees things that I often don’t see. Therefore, when I wanted to start my business, we talked a lot about it. I knew she had my best interest at heart, and she knew I had her and our family’s best interested at heart. We had a lot of tough conversations, but the more we talked, the more we figured it out. What’s more, this process helped me think much more strategically about the business, and it gave her a lot of buy into the business as well.

      2.  Often spouses are not in agreement with us because they are scared about finances, which is very legitimate. I know many entrepreneurs who just sort of believed everything would work out and were extremely careless with finances. The results of these kinds of plans are often disastrous. Again, finances must be talked through on the front end.  Kathy and I agreed that when I started this company, I would do it on the side while I kept my full-time job and that we would not go into debt.  Plus, my commitment to her was that I would figure out a way to replace my current income before quitting my full-time job. 

      3.  Sometimes there is no legitimate reason why a spouse and/or family members will not support your dreams. This type of situation calls for some major conversations and perhaps even counseling. 

      Thanks for being so open with us about what you are facing. I hope these ideas help!

      • Buttercup

        Thank you, Kent. That’s great advice. The problem is no one will have the conversation(s) with me. I’ve tried and I’m rebuffed with “you’re wasting your time and now mine.” I planned MY dream since I was in my early 20′s. I saved for it too. But since my dream doesn’t fit my family’s “plan” for me, they’ve done things to discourage me. I’m ready to walk away but can’t. It’s my dream!

        • http://www.liveitforward.com/ Kent Julian

          It’s hard to give this type of advice via a blog because I don’t know your situation or circumstances.  With that said, if it’s not your spouse that’s rebuffing you, but other family members like parents and siblings, then it might be time to create some space so that you can pursue what you feel called to pursue (I wouldn’t give this advice unless I knew you were an adult, which I do because of your post above).

          For me, my relatives were never against me starting my own business, but they definitely didn’t understand what I was trying to do and were not a support either. What’s more, if they would have “rebuffed” me, I would have just created space from them and continue to pursue my plans. The only one that I really needed to have buy-in from was Kathy.

          • Buttercup

            Thank you. I guess I needed “permission” from someone who is successfully living their dream to take a separation step. My family makes me feel so selfish but I’ve tried it “their way” and I’m miserable in a corporate structure. I’m too creative to conform like that. I’ve been miserable pursuing my dream too but your words helped me realize it’s not what I’m trying to do, it’s their voices that are doing that to me. I guess I have to figure out how to politely shut them up when they criticize my career choices. Thanks, I feel better.

          • http://www.liveitforward.com/ Kent Julian

            Glad to serve. Wishing you the best!

          • http://alanamokma.wordpress.com/ Alana Mokma

            Whoah. Buttercup, I can definitely see how this would be difficult for you. My husband “gets it” and he supports me, but our extended family does not get it. Sometimes I think they are watching and waiting for me to fail just so they can say they were right. Perhaps in place of family, you could connect with a few friends that are really on board and actively rooting for you. They could become your “inner circle.” I can relate to your feeling of wanting to give up when you feel like you are getting little support, or worse yet – aggressive resistance. I encourage you to continue chasing after your passions. I’ve learned that when I’ve given up things that I believe are “right” for me just to appease those around me, I end up unhappy and resentful. Ironically, so do those  around me that were wanting me to quit in the first place!

            Kent, I feel like one of the best pieces of advice that we have taken from you is the agreement to not allow the income from my new business to become income that we live on/spend until we have a way to replace our existing income. It has been tempting to spend the money I have made, but at the same time I have a lot of peace in knowing that I do not have to and that I can continue to build my business on the side. As much as I would LOVE to just up and quit my current job, I know that is not the right thing for our family. I really appreciate this piece of advice from you! 

          • http://www.liveitforward.com/ Kent Julian

            Alana…the advice you are sharing with Buttercup here is excellent. Thanks so much for contributing!

            Also, glad the income insights I’ve shared in the past have been helpful. Bottom line, the best way to move out of a current job is to move into something stronger.

  • robclinton

    Kent, that was a great post. Thanks for sharing. My heart goes out to Buttercup, and I echo Kent and Cam’s responses. The family thing is a tough one for sure, and if you don’t have that support, well it’s probably going to be a tough climb. If you don’t have the support of the people you value most to be around “period”, then it’s going to be a hard climb. We either find that buffered space to work from, or keep selling them on the fruits of this. It will happen, if you’re passion is strong,
    and priorities are set straight.

    As for S tick-to-it-tive-ness and Self Discipline – I was actually joking with my wife earlier today. I said, “when I worked in corporate people made me work all day, now that I’m self-employed, people don’t let me work all day!” Now we were just cutting up when I said that… But I was referring to being able to stay disciplined and focused, and be able to hop back on that horse, no matter what circumstance tries to derail you. There are circumstances, events, and all sorts of stuff that may across my plate throughout a given day, and we have to be able to prepare for those, and still be able to move through our most important items. Thank goodness for the 20/80 rule, or 1, 20, 79… Thanks to you Kent… That is a daily goals powerhouse… It teaches you how to prioritize and utilize the energy on the most important decisions earlier in the day, and I live by it….

    • http://www.liveitforward.com/ Kent Julian

      Absolutely! Those 1 percent goals and 20 percent goals keep us focused, my friend!

    • http://rise365.com Michael Good

      “when I worked in corporate people made me work all day, now that I’m self-employed, people don’t let me work all day!”
      Haha, love it Rob!

      • http://www.liveitforward.com/ Kent Julian

        Honored to have connected with you, and love what Claudia and you are doing. Friends of Live It Forward, be sure to check out http://rise365.com/ — you’ll be glad you did.

        • http://www.liveitforward.com/ Kent Julian

          I know I owe you a post too. Hoping to get to it next week.

          • http://rise365.com Michael Good

            OK, no problem. :) And, thanks for your friendship and encouragement.

      • robclinton

        Yeah, we got a kick out of that one… It’s so funny to think about… I guess the active ingredient is inspiration. Are we inspired? If not, then it will feel like we have to work. If we are, then it will feel like we get to work… 

  • http://rise365.com Michael Good

    Kent,
    I think the support of your spouse is huge just like some of the others are saying are in the comments. Claudia and I keep hearing about someone that wants to do something but their spouse isn’t on board. I think it’s critical to have a healthy marriage first. Work on that. Change it up. Try something different. 

    • http://www.liveitforward.com/ Kent Julian

      Absolutely! A united family (and esp. a untied marriage) is crucial to true success in entrepreneurship…and when I say “true success,” I’m not just talking business success; I’m talking overall life success. That’s why I called these 7 ideas “crucial success factors” versus something like “success tips.”

      One other thought. Many entrepreneurs feel like their job when starting a business is to sell their spouse on the idea that the business is worth the risk instead of understanding that their spouse is their most valuable partner with incredible wisdom and insight. Kathy never has played an active role in our Live It Forward business, but I still view her as my #1 partner (and she owns the company with me). What’s more, early on, I especially valued her insight. Instead of trying to sell her on what kind of business I wanted, I looked to gain wisdom from her about what kind of business I should start. We had some very authentic, and at times, tough conversations. Yet those conversations led to both a stronger business and, even better, a stronger marriage. 

      Entrepreneurs…let’s not miss that last statement. Observation of the critical success factor of having a “united family” when starting your business will actually lead to a healthier, deeper, and more meaningful marriage!
       

      • http://rise365.com Michael Good

        Well put, Kent! Your approach is definitely uncommon but I think it’s the better way for sure.

  • http://www.threedimensionalvitality.com/ Ann J Musico

    Kent, those success factors were totally right on and the fact that you put spouse and family at the top is absolutely right.  I can’t imagine trying to do what I am doing right now if my husband and kids were not supportive of me.  I am so grateful for that and it makes me want to offer them the same kind of support in whatever they feel God leading them to do.  My heart, too, goes out to Buttercup.  I don’t know his age or specific situation – but in relating it to my oldest son – when he was in his first job after college – he spent 3 months and found himself waking up in the middle of the night with panic attacks.  He prayed about it and came to me saying he felt he needed to leave – NOW.  It was not “the right time” to leave a job with nothing else lined up, in October.  I didn’t want to see him get physically sick over it and my husband and I just told him if he felt God’s leading to give his notice and God would provide.  And He did.  Had we told him he needed to stay there while he looked for something else – who knows how that might’ve affected him – physically, emotionally and spiritually.  I pray Buttercup is able to distance himself from the naysayers and let God lead.

    • http://www.liveitforward.com/ Kent Julian

      Thanks for sharing your thoughts. But even more, thanks for sharing part of your life with us. Wow!

  • http://www.pursuingyourcalling.com Cindy Hirch

    Great post Kent! I’m not an entrepreneur, but these success strategies are crucial to anything we do whether running our own business or working for someone else. The titles alone speak volumes.

    • http://www.liveitforward.com/ Kent Julian

      Thanks so much, Cindy. And I agree, these are critical factors for success in basically anything.

  • http://mywritersconnection.com/ Erin

    This is great, Kent. I’m always surprised when people tell me they’d never get anything done if they worked from home. I know I get MORE done working at home and being my own boss. But you’re right, it takes all the SUCCESS elements you’ve mentioned to make it work.

    • http://www.liveitforward.com/ Kent Julian

      I’m with you Erin. My productivity went through the roof once I opened my home office :)

  • http://twitter.com/MarianneClement Marianne Clements

    Kent,

    I love the SUCCESS acronym — easy to remember. If being an entrepreneur was easy then everyone would be doing it! I’ve worked harder — for very little money — over the past year than I did ever before. Thanks for the reminder that is what it takes for SUCCESS.

    Have a Victorious Day!
    Marianne

    • http://www.liveitforward.com/ Kent Julian

      I get the sense that your hard work will be paying off soon. 

      What’s more, if you are passionate about what you do (which I think you are), it can often feel more like “play” than “work.” Getting paid to play has such a good sound to it, doesn’t it?!

  • http://www.lancesnow.blogspot.com/ Lance Snow

    Hi Kent!
    Great post! S-U-C-C-E-S-S is a great way to lay it all out. What struck me is every one of those are things that one can learn or develop over time. Some may develop these faster than other or have a natural ability in a few, but anyone can learn to be an entrepreneur if they have passion and a belief in themselves.
    Best regards,
    Lance

    • http://www.liveitforward.com/ Kent Julian

      Great insight, Lance. Definitely learnable! 

      I would also say these ingredients are the DNA needed to be a successful entrepreneur. Therefore, if a person is lacking in one, that person should definitely invest in developing it if he or she wants to succeed as an entrepreneur.

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  • http://alanamokma.wordpress.com/ Alana Mokma

    I’m glad I stumbled across this post again. It was a good refresher from the Speak It Forward bootcamp. The stick-to-it-tiveness has been hard, but rewarding! I feel like at about 12-18 months in, I am just now really taking off and realizing how much I LOVE doing what I’m doing (mostly with personality assessments and blogging). Also, people are now starting to search me out because they want ME to help them!

    I feel like as recently as the past week, I am beginning to realize myself, “OH MY GOSH, I can actually GET PAID to do what I love to do!

    • http://www.liveitforward.com/ Kent Julian

      Alana…I LOVE IT! Remember what I’ve told you in the past? My first 12 months in business, I generated about $4k of totally revenue (not salary…revenue). My next 6 months…$6k. So, the first 18 months for me meant only $10k in totally revenue even though I was working about 20 hours a week on my business.  

      However, everything changed after 18 months. From months 18-24, I generated $18k and the following 12 months was $68k. Once I hit that $68k of revenue in 12 months (and still doing the business PT), I was ready to quit my full-time job and dive into my business full time. 

      Sounds like this is what is happening for you! You go, girl!