Life, work, business, entrepreneurship, etc. is not always glamorous. People do not always win, they often times lose and sometimes, they lose hard! The billionaire list was released yesterday and Sam and I discussed it this morning. Nearly half the planets billionaires are poorer than they were a year ago. Along with that 254 people lost their billionaire status. Granted this is at a large scale but think of billionaires who have been in business and entrepreneurship for their whole lives, taking massive L’s on their net worth.
This may not seem like a big deal but this could affect their companies, which could in turn affect you. Meaning, employee layoffs, research and development slow down, increased prices, potential degradation in quality, and much more. Unfortunately most of these billionaires have stock options for their companies. So, their net worth is tied to stock valuation, so when their is market crisis, they will see a big hit. I am not sure the work around to this besides maybe a private company but then your market capture, is typically a lot smaller. Lets take this on a smaller scale though, to the average small business owner.
Ryan and I discussed this last night on our way back from an entrepreneur event. We discussed how him and I when we started our business took L’s all the time. We would fail at something or take a loss and it would teach us what to do and what not to do. We discussed, now with our new business partners, how we are trying to minimize our current L’s but still show our partners the lesson behind them. Meaning, after 5 years of getting kicked in the balls, we are able to start noticing when it is going to happen. We would not know this, had we not gone through similar mistakes and learned from it. So, what we were discussing is how to identify potential losses and show our new business partners why it would be a loss and how to spot it. We did not have a great answer when we were discussing it but in time, we will figure it out.
A lot of people are afraid of failing. That is why they never start or self sabotage themselves before they can accomplish anything. People think comfort is the route to take to happiness. Little do most people know, failing is the most important part. Every time you make a mistake, you get to learn and grow from it. The faster you can fail and try the next thing, the more intelligent you will be. Best example I can give is touching the stove top when you were a kid. As soon as you touched the hot stove, you pulled your hand away really quick and realized you burned yourself. You then had temporary pain for the next few days but you learned a life long lesson, to never touch the stove. This is the same thing in business and life, you have temporary pain, to learn a life long lesson.
Don’t be afraid to fail, it is a necessary evil to evolve you into your ultimate version.
Your life Tutor