Jean-Charles Marchiani — Challenges for a New Entrepreneur
Jean-Charles Marchiani says that if as a beginner you want to be an entrepreneur and leave the 9–5 jive forever? I don’t blame you.
Everybody wants to earn more and more to increase his lifestyle.
When I was an employee I was making 30k a year in salary.
As an entrepreneur, even as a not very good one, you can make way more money than you would as an employee.
You will experience obstacles as an entrepreneur, but those obstacles pale in contrast to the challenge of selling your soul for a paycheck.
And there are easy ways to conquer those challenges…
Below are the challenges you will face as a new entrepreneur — and easy ways to overcome those challenges.
Selecting the RIGHT business:
Most small businesses don’t succeed because they aren’t real businesses in the first place. Pick the right business and your work as an entrepreneur will get a whole lot simpler suggests Jean-Charles Marchiani.
If your business doesn’t help people, doesn’t provide a solution, or doesn’t give people something they want then your business is crap and it will fail.
To do great business you should have a great product or service that you think in. If you consider in it, you can get others to consider in it. When you don’t believe in something but you tell other people they should buy it you are lying and deceiving.
What you see is what you get should be the slogan for your company.
Keep in mind one very important thing, your customers aren’t buying a product, they are buying you.
So there is one very important thing you should always do — provide what you have promised.
If you can’t provide you should always offer a money-back guarantee. You never want people to feel scammed. You never want people to feel buyer’s embarrassment, you never want people to tell the world that your company is a scumbag company.
Give them what they paid for. If you can’t give them what they paid for give them their money back.
The only way small businesses can have success is by providing quality. If you can’t deliver quality you can’t make a living. I know it, you know it and your prospective customers know it too.
Jean-Charles Marchiani — Funding for your business
How do you start out a business when you don’t have any money? Good question, and there are two alternatives:
1. Lend money — I HATE this idea for new enterprisers. Except if you’re experienced, know what you’re doing and you’re specific your business can succeed (and grow) you should not borrow a single dime.
2. Bootstrap — Use only a small amount of money and find a innovative way to get your business going.
The idea of starting a brick and mortar business is not a good option advises Jean-Charles Marchiani, internet business could be a better option. The growth potential is massive and the costs can be as low as $15-$20 to get started.
Finding customers is only obstacle if you don’t have a good product or service. If you have a good product or service then people will come to you, no need to have to spend hundreds or thousands on advertising. At least not right away.
There is a specific type of person who will be your customer. Not everybody in the world is buying what you’re selling, so your job is to simply find the people who are in need of your service.
Only try and sell to people who have indicated interest or desire in your product. Jean-Charles Marchiani recommends not to waste your time trying to persuade somebody to buy something they don’t already have an interest in.
Never, ever waste time on people who have no want or need for your product. That’s called being “pushy”. Practically everybody hates pushy salesmen. These types of boiler room salesman do a “hard sell” strategy.
Take a “soft sell” approach. Simply find people who are serious, explain the product and benefits with excitement and let your customers decide what they want.
There’s no need to be pushy, if you have a good product you can simply gently explain your product’s benefits and let your customer decide and it’s win-win for everybody involved.
Jean-Charles Marchiani — When to stop your day job?
The right time to stop your day job is when you have a foolproof business prospect or you have enough money in the bank that you can work on your business and not be kicked out from your home.
You’ve got to have money to survive, so quit your job when you a) have a little money to work with and have a real business plan or b) are making an income from your entrepreneurial gig.
Dealing with pressure of not having a stable paycheck:
There is no other way to put it; it’s highly stressful when you don’t know when or if you’ll be paid again.
You’ve got to have the mental strength to power on, keep working, never give up and never go back to a “safe and secure” 9–5 job.
In real estate investing sometimes deals would fall through and I’d make nothing for my hard work, other times deals would fall in my lap and I’d score a huge payday.
Jean- Charles Marchaini advises a gig where you get paid more frequently. Opening a web-based business is best.
Dealing with your money, legal protection, taxes:
Managing your money can be a serious burden if you don’t know what you’re doing and if you don’t know when your next paycheck is coming through.
When you’re building your business, live like a Spartan and don’t carelessly spend your money. You may very well have some lean times ahead of you and you’ll want some money in the bank to help get you through.
On the other hand, nothing lights a fire like having no money and needing money.
Taxes are a real agony. When you have a 9–5 job they steal, I mean take, taxes from your paycheck before you even see your paycheck. When you’re an entrepreneur your money comes to you first. So there are two very essential things that you need to do:
1. Deduct everything you can for your business. This will save you a ton of money in taxes.
2. Pay your taxes. It’s one thing to receive a de-taxed paycheck, it’s another thing to get out your checkbook and write a check to Uncle John. But you’ve got to do it, just make sure you’ve written off everything you can and taken every deduction you can.
You’ll keep a lot more of your money by organizing your own taxes instead than letting the tax-man loot you. That’s the easiest, #1 step to making more money. The guy that makes 30k as an entrepreneur takes home a lot more money than the guy who makes 30k as an employee.
The tax-man rips you off; he takes every cent he can. When you’re self-employed you’re in control of your taxes and you use write-offs to keep more of your hard-earned money.
You’ll need to set up your business as a business, not a hobby and not as a sole proprietorship.
When is the right time to open a business structure?
Do Not open a business until a) you are making money or b) are absolutely certain of your business.
For American small business owners the best structure is an LLC taxed as an S-Corporation.
Jean-Charles Marchiani — Handling negative people, solitude and self doubt:
The Germans consider it Schadenfreude. It means the pleasure people take in seeing others fail. If you have people like this in your life, as most of us do, there is only one solution: cut these energy vampires out of your life.
They’re a mental weight on you because they deplete you of energy. Energy that you need to build and overcome. Give these people the boot and do it ASAP. If they aren’t on-board with you, then toss them overboard.
You often hear of successful people how much they’ve changed and how they don’t spend time with their old friends anymore. Successful people don’t have the time or the will to hang out with losers, so they cut them off.
With money and success comes choice that means you get to pick and choose who you spend your time with. And you don’t have to spend time with go-nowhere nudniks.
You also have the choice to not be lonely. The myth is that if you don’t go to a 9–5 job everyday and hang out with office drones then you will be alone. Not true. You’ll only be as lonely as you choose to be.
What about self doubt?
Self doubt is just a fear of success. It’s hard as hell to be superior and it’s easy to be average and it’s easy to give up and go work a 9–5 job.
All of us feel self doubt at one point or another. An easy way to get over self doubt is to take a look around you and see all the people who have given up and ask yourself if that’s how you want live.
If that’s not how you want to see yourself then….
DON’T GIVE UP EVER.
Finding reliable business partners, establishing a reputation:
It should go without saying, but I’ll say it anyway. Never go into business with scumbags. Going into business with a scumbag will give you a bad status. Your reputation will be linked to the scumbag, even if you’re a man of your word.
It can be hard to tell at first sight who is a scumbag and who isn’t, but you will always find out gradually and when you do find out you must quickly break up the relationship with the scumbag.
Slice scumbags out of your life forever.
It’s not a moral issue, it’s not an ethical issue, and it’s a concern of having clean soul vs having a dirty soul.
Scammers and scumbags never get away with anything because, even if they are legally in the clear, they still have dirty black souls that will bother them.
If you help people you help yourself. If you harm people you harm yourself. You don’t have to be a tooty-fruity save-the-world liberal. Just be a man and do good business.
Jean-Charles Marchiani — Coping with competition
John D. Rockefeller once said “Competition is a sin” and I’d have to agree. Why bother contending when you can be an innovator and start something new?
Some years ago there was nothing like Bold and Determined and that’s still true today.
Hundreds of heavy metal bands have copied Metallica’s unique style and none of the copycats have had the same success as Metallica.
Copying is the path to mediocrity. Pioneering is the path to success.
Ask yourself “what is missing from the market?“. Answer that question and you’re in business as a market leader.
As a small business, generally the last thing you’ll do is hire employees. You’ll want to hire employees when your workload is too much to handle yourself and you have the revenue to pay your employee(s).
You’ll hear me mock employees time and time again. That’s because most companies treat their employees like dumb cattle and the employees always criticize “I hate my job“. Then the employees go back to the same job day in and day out, like cattle at a feed lot.
But there is a big difference between working for a faceless corporation and working for a small business. As a business owner you will have the option to create a great company that people want to work for.
Your job as an employer is threefold: teacher, motivator, check writer.
You aren’t a babysitter or a personal therapist and you should never act like one but there is one easy way you get your employees to be happy, feel like part of the team, and come up with new ideas….
You give them a voice. You listen to them. They are helping to build your company, they want to be a part of something, and they will often have ideas that you would never think of.
Who should you hire?
As a small business you would be wise to hire freelancers, contractors and virtual assistants rather than hiring common employees. Let them be mindful of their own taxes (they’ll make more money) and it’s less paperwork hassle for you.
Your employees will never be happy with their paychecks, no employee in the history of the world makes enough money, but that isn’t your concern. Your worry is to pay your employees when you say you will.
You’ve heard of employees not being paid before, companies paying late, companies not paying at all and this behavior is horrible. No man should ever owe another man’s money, and that involves you as an employer owing your employee money. Even if it means you starve, your employees should always be paid on time.
Then your business grows and you get rich. And everybody’s happy.