The Busy Disease

Credit: Pinmarket

I've been incredibly bad in keeping this blog going in the last month or so -- I blame being blissfully busy.

When I left my job in June, it wasn't exactly planned and the months that followed were very much a case of taking a leap of faith and finding my wings on the way down. The good news is, I found the wings in plenty of time so as not to splatter saucily on life's pavement. 

I've been unbelievably lucky in the consulting and freelance work I've picked up for my company, Amanda Killick Media Management -- my latest project threatens to challenge my abilities like never before and consume my life until just before Christmas -- and I'm loving being my own boss. 

There are good days; there are bad days. I'm just very grateful that I have days and can use them to build my business. But, as the pic above cautions, it's vital to maintain a balance. And I'm working on that too. 

Will post again as soon as I can and, in the meantime, thanks for your ongoing support!

Wednesday 101s: 7 steps to mastering minute-taking

Wednesday 101s

Taking minutes is easy-peasy. Don’t freak out; just pay attention and you’ll be fine. Remember, you’re there as an observer to record what went down in a particular meeting, who said what, so everyone knows what was discussed and what their next steps are. This is called “on the record”.

1. NAMES & DESIGNATIONS 

While people are fussing round the boardroom table, note down the names of everyone present, starting with the boss and going around the table clockwise. Be very careful about the spelling of names – get it right! Then assign them initials; example: Chris Brown becomes CB for shorthand purposes. You’ll also need to know their job title, but you can look that up offline later when you type it up properly.

2. VENUE
Make a note of the date of the meeting, the time and venue. If there’s an agenda, keep it a bullet-style list and include in your final document. Also make a note of absentees.

3. MAKING NOTES
Taking minutes is like writing down what a professor has said during a lecture, except this time you want his wisdom and everyone else’s, even if it means writing notes dialogue-style. If the discussion is about a specific agenda item, always make sure to note what was said, what the next steps are, who’s accountable for doing them and the deadline by which things need to get done.

4. WHAT TO DO IN A VOTE
If any votes happen, note how many were for, and their names. How many against, and their names. And how many didn’t respond, and their names. Then note the result of the vote.

5. TIMINGS & DEADLINES
Note the time of any breaks or adjournments – and recommencements – as well as the time the meeting ends. Get a deadline from your boss on when he expects to see the first draft. This is usually before close of business or first thing the next day.

6. FINAL MASTERPIECE
Using a company letterhead, type up the minutes so that they make sense – we all have shorthand we use but not everyone’s is the same, so keep things understandable. Check out the example below on how to present the document. Also make sure that the minutes run to the agenda, even if the meeting didn't. Spell-check your document before you print out your first draft and give to the boss for checking and approval. Not all bosses need to approve minutes as every company has different systems in place. 

Example of minutes

7. APPROVAL & DISTRIBUTION 

Once approved, mail a copy to each of the attendees of the meeting, as well as the people who were absent and invite their comments and/or any amendments by a certain date. Print out a copy and put it on file.

Do you have a system that works better for you? Let me know below...

Roberto De Carvalho: Get out of the kitchen to see your clients

Roberto De Carvalho, Roberto's
Signature Restaurant
Photo: Peter Unsworth 

Since he was nine years old, Roberto De Carvalho dreamed of being a chef and owning his own restaurant. So, after gaining valuable experience at some world-famous eateries like Nobu and Reuben’s, both at the One&Only in Cape Town, De Carvalho opened Roberto’s Signature Restaurant at 44 Long Street, in July 2011 with 12 staff.

Have you always been entrepreneurial?

For 16 years I worked for other people, but the last three years, I would probably say, is when I started to formulate how I would go about starting my own restaurant.

What were you doing before starting your business?

Prior to this I was the resort Executive Chef at the One&Only Hotel. Being in charge of world-renowned restaurants such as Nobu and Reuben’s at the One&Only also made me realise that I was capable of opening and running a successful restaurant of my own.

What kind of planning went into starting the venture?

I would say that an elaborate business plan is necessary, especially if you are opening a restaurant with many facets to think about (décor, food style, pricing, location, etc.). It gives you a good place to start from and I think that when you write a business plan for your own restaurant, you want your business to be the best it can be. It’s a great reminder too if you try and keep what you are doing on a daily basis, in line with what you thought of when you first did your business plan.

What was your start up capital and where did you work from?

My capital came from 10 years of saving and some investment from my father – I contacted letting agents and then started to view premises for my restaurant until I found the one which I thought had the best location, as well as the best rental payment that I could afford.

What was your big dream for this venture?

To be the best Mediterranean-style restaurant in Cape Town, offering five-star quality food and service at affordable prices.

How does a new entrepreneur find business leads and profit from them?

Every possible angle has to be utilised – in my line of business it means staying in touch with the concierges of the surrounding hotels, so that they send their guests to us for at least one meal while they’re in Cape Town. This brings many new feet into the restaurant – people who would probably never have known about us had the concierge not informed them about us.

How does a new entrepreneur figure out what makes them unique and leverage that difference?

By seeking out weaknesses in other businesses like yours and implementing better ways of doing things in your own business – I have found that not many restaurants in Cape Town cater to the vegetarian population, so I’ve implemented a vegetarian menu with new and different items on it to bring the vegetarians back and get them talking about it to their friends who are also vegetarian.

How does a new entrepreneur figure out what to charge for their service/product?

For me, I did price comparisons between the other restaurants around me. To start off, I pegged our prices somewhere in the middle of the competition because I didn’t want to be the cheapest, but I also didn’t want to be the most expensive and scare potential customers away when they saw the menu. From there, after a few months, I became aware of items that customers said they couldn’t get better in other restaurants, which meant I could then start to adjust the prices slightly to balance with the demand for those dishes.

What was your most epic fail in the early days?

Hiring the wrong staff – I eventually re-hired and became more stringent in the hiring process.

What are the two biggest/most common mistakes that new entrepreneurs make in their first three years of business?

Over-capitalising and not sticking to budgets.

How do you keep yourself motivated?

By remembering a little 9-year-old boy who was adamant that he wanted to be a chef and make people happy by providing them with the food that they like to eat.

Did you have a mentor?

I have three major mentors in my life: my father, who taught me to either do something properly or not at all; the second is Rudi Liebenberg who, I believe, pushed me in the right direction to make me the chef that I am today. My third mentor is Clive Bennett, who taught me the finer details of running a business from the financial aspect and forced me to rethink ideas I had about how to try and run a business with as little costs as possible.

How long does it take for a venture to get off the ground, in your experience?

In the restaurant business, I think it takes at least three years to get your name out to as many people as possible and that action plan should be tweaked as many times as needed during this time to make the business a viable entity. After that period, if you’re still not succeeding, I think it would be a good idea to shut shop.

In your opinion, is it ever alright to give up on a dream?

No it isn’t, as long as it is not to the detriment of your health or financial stability!

If you could give yourself any advice back then, what are your top 5 wisdoms?

* Save more money in summer to cover the winter months.

* Make sure to count stock more regularly to ensure that all is accounted for.

* Put more Portuguese items on the menu from the get-go as there’s a lack of good Portuguese food in Cape Town.

* Train staff more thoroughly. Show them how you want things to be done and triple check that they understand how you want the “ship” to be steered.

* Get out of the kitchen and speak to your customers every chance that you get.

Get in touch with Roberto De Carvalho from Roberto’s Signature Restaurant via email: info@robertodecarvalho.co.za, visit: www.robertodecarvalho.co.za or find him on Facebook or Twitter: @chefdecarvalho

As an entrepreneur, are you a diamond?

Another gem (ha ha ha!) from Pinterest

"When we long for life without difficulties, remind us that oaks grow strong in contrary winds and diamonds are made under pressure" -- Peter Marshall

Wednesday 101s: 5 quick answers to tricky questions

Wednesday 101s

It’s happened to me a million times – you’re in a meeting and someone (the boss, a client, a potential business partner) asks you a question you’re just not ready for. And instead of sitting there like a boggle-eyed fish blowing bubbles in a bowl, I’ve always wanted some sort of quick-response guide to provide an adequate enough answer to keep the meeting moving forward and to win an opportunity to respond later with the correct information.

I’ve said before that it’s imperative to go to meetings completely prepared (especially where figures/numbers are concerned, when it’s harder to weasel out of something) but you simply can’t anticipate everything – and, let’s face it, some questions are there to deliberately trip you up. But you can stumble, roll and stand up tall with losing credibility. 

The three main rules for answering questions are: 

1. Be honest. Don’t lie to cover up something you don’t know as it may come back to bite you in the ass later. Saying “I don’t know” is sometimes to your detriment, so avoid it. 

2. Be direct and confident, not defensive. A positive, pro-active reply will get you further. 

3. Don’t waffle. Give the exact information that’s required to answer what’s being asked in a simple manner. Baffling people with flowery, fancy words and jargon you assume they’ll understand doesn’t make you look clever. It’s just cringe-worthy. 

So here are five quick responses for when you’re asked a tricky question – it’s up to you to decide when to use them: 

1. The deliberately dumb question 

“I get what you’re saying but I believe the question you should be asking is...” 

2. The question that’s completely out of left field that’s really important 

“I don’t have an answer for you, but your question deserves a proper answer and I’d like to take the time to do that offline if that's okay.” 

3. Specific question about something, which is confusing or unclear (when your inner voice goes "huh?") 

“Just to make sure I understand, you’re asking me to....” rephrase their query in your own words to make sure you get what it is they want to know of you. Once you get clarity, you’re better able to craft your response. 

4. A question about your opinion on something 

Often, unless you’re senior management, your personal opinion isn’t in question. Avoid the urge to get into gossip, company politics and discussing confidential business matters. In your response, stick to a reply that’s true to your company’s or project’s ethos. 

5. A question that asks you to show your expertise 

“What we learned from working with Client X on Project A last year was...” 

I personally tend to favour response no 2 if I don't know something or haven't got the info with me. Sometimes it works; sometimes it doesn't. So if you have any responses that you've tried and they've worked, please add them as a comment.

Linda Trim: Always act honourably

Linda Trim, Giant Leap
Workspace Specialists

Marketing and sales director at Giant Leap Workspace Specialists, Linda Trim doesn’t believe in limiting her business dreams – there’s always room to improve and grow. Her business is all about architecturally designing workplace interiors that inspire the people who use them.

Have you always been entrepreneurial? 

I have definitely always had a bit of “hustler” in me but it has developed as I have in business. From a young age I have always had incredible ambition and a desire to succeed. 

What were you doing before joining the business?

I was in IT recruitment which was very stifling. Starting out in a start-up company allowed me to have no boundaries – to be able to put my signature on what we did and achieved. It allowed me to work in implementing the roll out of many systems, rather than just working the way others wanted. 

What kind of planning goes into the venture? 

We sit as a team at the beginning of every year and map out what we want to achieve. We look back at the past year, our successes and where we could have done better and re-evaluate going forward. 

What was your big dream for this venture?

Our dream was to be the most professional, the biggest and offer our staff the best working environment. We still dream. The dream never stops. We are always taking in new ventures, growing the business in different ways. Be it a new client project, a new CSI project or merely a new marketing venture. The success of our dream is never setting a limit. 

How does a new entrepreneur find business leads and profit from them?  

It all goes back to networking and believing in your product and offering; having unwavering faith. Also having a strategy where you can not only network but collaborate with others. Team work goes a long way. 

How does a new entrepreneur figure out what makes them unique and leverage that difference?  

Belief in yourself – a false sense of never failing makes you fearless in your conquest. However, you need to know who else is out there and stay close to competition. Always stay close to what is happening in your market and keep up to date with international market leaders. Try to differentiate yourselves from others. 

How does a new entrepreneur figure out what to charge for their service/product?  

It’s an assessment of what the market can afford. I have always believed you have to give products away or offer a cheaper service just to get in door and earn a reputation.

What was your most epic fail in the early days?

I have never had an epic fail but I guess hiring staff and building a team are always the hardest. Like buying a lotto ticket, you never know what you are going to get.

How do you keep yourself motivated? 

I always look at my past successes and what I still want to achieve, it drives me. Having a dream board to remind me what I’m working for. Remembering what it's all about and the people on your payroll. 

Do you have a mentor?

Everyone needs a mentor, if not a few. Always act honourably; that way it can never come back to bite you in the bum. Mentors change as you grow, but I always believe there is room to improve and grow. 

Is it ever alright to give up on a dream?  

No, unless you have a new dream that replaces it. Dreams get you out of bed in the morning but sometimes they need to be tweaked or expanded on. 

Which three character traits do all entrepreneurs possess?  

I think everyone is different, but there has to be a certain level of ambition and risk taking to be an entrepreneur. Also a certain level of hard work to get what you want. Succeeding takes a lot more than just buying a lotto ticket. 

Do you believe in internships for your business?

We usually offer internships in our design department and applications need to go to our head of design via email: info@leap.co.za. Internships provide students an opportunity to see what work life is about. Often what students envisage is completely different to their experience. 

If you could give yourself any advice back then, what are your top 5 wisdoms? 

* Always be professional.

* Never slate the competition.

* Never doubt you will succeed.

* Remain positive and stay focussed.  

* The line “hard work and perseverance = luck” always strikes a chord with me.

Get in touch with Linda Trim from Giant Leap Workspace Specialists via email: linda@leap.co.za, visit: www.giantleap.co.za, find her on Facebook, on Twitter: @GiantLeapSpace and on LinkedIn.

Patrick Lawson: Be nimble to keep up with change

Patrick Lawson, Mobiflock

Patrick Lawson, CEO of Mobiflock is a serial digital entrepreneur who’s as happy playing in the business space as he is developing new uses for cutting-edge technologies that service the needs of digital natives. He’s the man behind mobile messaging service Clickatell, but most recently, Lawson and his team has launched Mobiflock, a new system that keeps us, and more specifically, our children safe when using their smartphones.

Have you always been entrepreneurial?

Straight out of school I started a desktop publishing business. It was the early 1990s and I realised that my computer had far superior graphics capabilities compared to what else was in the market at the time. This I think was the start of me seeing technology, realising it could be a game-changer and then identifying business opportunities based on that. I then went on to build a website for Pam Golding, which became the first to sell a house – sight unseen – in the southern hemisphere. Next up was Clickatell, the mobile messaging company, where we realised that there was a need to aggregate SMS messaging channels in order to offer SMS as an application to person business tool. With Mobiflock, I took a look at my children and realised they’d soon want their own cellphones – and probably smartphones. There are so many obvious benefits to them having smartphones, but at the time there was no way to keep them safe from inappropriate content, dangerous people, and their own lack of understanding of consequences – which is part and parcel of growing up.

What were you doing before starting your business?

From the get-go, the thought of studying and following a corporate path was just not for me. Early stage startups are far more exciting. For instance, when Clickatell started becoming a successful, operational focussed company, I realised it was time to move on.

What kind of planning went into starting the venture?

Fortunately my experience with Clickatell stood me in good stead here. And absolutely, as tedious as it might appear to be when all you want to do is hit the ground running, you need to do the legwork and research to really define the opportunity you see, make sure your good idea has legs, and that the numbers stack up. If you do this at the outset, there are fewer nasty surprises down the road. We also spent a lot of time on designing the product for growth and working out what our brand is going to stand for.

What was your start up capital and where did you work from?

We bootstrapped as far as possible, but once we reached proof of concept stage, we received investment from friends and family. This was followed by an additional private funding round to get us to commercial launch on Android, BlackBerry and Nokia Symbian devices. We’re currently looking for additional investment in order to maximise this global opportunity.

What was your big dream for this venture?

Stage one was to keep children safe on their smartphones – allowing them to have all the benefits of a connected digital device, but to stay safe. Simultaneously we’d be educating parents who are feeling a little bit out of their depth raising their digital natives. Ultimately however we want to offer security products and services for every mobile phone and tablet user, including businesses and individuals.

How does a new entrepreneur find business leads and profit from them?

In our case, our business is both online and global, so online is how customers find us. In South Africa, however, we have been extremely well-received by stakeholders in this space, and we’ve been having face-to-face meetings with them to demo Mobiflock and to recruit them as brand ambassadors. We also intend for each and every of our customers to become our brand ambassadors, recommending the service to other parents in their network. Strategic partnerships, such as those with handset manufacturers or mobile operators take time, so one simply needs to work away at these.

How does a new entrepreneur figure out what makes them unique and leverage that difference?

Listen to your customers. Have faith in your own vision. Fail frequently and often. And keep nimble in order to adapt quickly to a changing market – which is a constant in the mobile space! – and the feedback from your customers.

How does a new entrepreneur figure out what to charge for their service/product?

Do your market and customer research and work out what the market will bear. You need to take your costs into account and work out what profit you will earn to ensure a sustainable business. In Mobiflock’s case, we offer a cloud-based service, which means that for every additional customer we get our costs don’t ramp up as they would with a bricks and mortar business. This means we can easily grow the business exponentially without risking a massive rise in costs.

What was your most epic fail in the early days?

Not predicting how quickly the mobile landscape would shift, and choosing as our first operating system to develop for something that was very quickly eclipsed by other operating systems. Having said that, the effort wasn’t entirely wasted as we learnt a lot in a very stable environment which made rolling out Mobiflock to other operating systems very quick.

How do you keep yourself motivated?

Remind yourself of your original vision and have faith in that. Make sure you celebrate your successes along the way, even though you know you still have a long journey ahead of you.

Did you have a mentor?

I don’t believe in a single mentor; rather surround yourself with a group of people you can turn to for advice and different perspectives.

How long does it take for a venture to get off the ground, in your experience?

Three years seems to be the time most companies get sufficient traction and momentum to be a viable concern with critical mass, market acceptance, an established product and healthy revenues.

Is it ever alright to give up on a dream?

Dreams are like ideas, they’re a dime a dozen – it’s acting on them that matters. And the reality is that you may need to modify your dreams when reality bites in the shape of children to feed.

Which three character traits do all entrepreneurs possess?

A “glass half-full” mentality. Tenacity. And the ability to identify an opportunity, build a vision, and then communicate this to your founder team, your staff, your customers and the market at large.

Do you believe in internships for your business?

Yes, it’s a good way of paying it forward and also grooming potential future employees. To apply, especially if you are a developer, email jobs@mobiflock.com

If you could give yourself any advice back then, what are your top 5 wisdoms?

* It doesn’t get any easier While it was tough raising funding a decade ago, it’s become 10 times tougher since then, which means it takes up even more of your time, energy and focus as an entrepreneur.

* Don’t plan for funding Rather plan to not get funded at all, rather to build a solid, sustainable business that can stand on its own two feet.

* Dance to your own tune Don’t be put off if you don’t tick the current “funding flavour of the month” check boxes. As long as you have done your homework, identified a distinct market need and proven your concept, of course.

* Focus Stay focussed on your business goals and specifically on getting that first rand of revenue through the door. Having said that, keep nimble so you don’t miss out on new developments in the market.

* Get involved One of the biggest changes I’ve noticed comparing getting Mobiflock out of the starting blocks with launching Clickatell just over a decade ago is the opportunities we’ve had thanks to the nascent entrepreneurial community developing in Cape Town and South Africa.

To get in touch with Patrick Lawson from Mobiflock, email: patrick@mobiflock.com, visit: www.mobiflock.com, on Facebook, on Twitter: @mobiflock and @patricklawson, and on LinkedIn. 

Princess Diana: Follow your heart

Found on Pinterest, originally attributed to Jenny Burrows

On 31 August 1997, Princess Diana passed away in a car accident in Paris and, to me, the world really hasn't been the same since.

Those were the days before blogging and Facebook and Twitter, and not everyone had owned their first cellphone yet – sure, the handset was bigger than your whole face, but damn, you were cool!

We were still all connected, just at a slightly slower pace. People were famous for proper things like good work, great achievements or because they were royal – not because they'd had a sex tape leaked on the Internet, they'd slandered someone on Twitter, or because they were good at being a slutty, air-headed socialite with deep pockets.

On this day in 1997, I had a massive dream come true – the night before, I'd done what my heart had told me to and it was one of the happiest moments of my life.

In 2012, I'm still only doing what my heart tells me to, so today I'll light a candle for Princess Diana and reflect on how far we've all come in 15 years. And, as an entrepreneur, I feel following your heart is sound business advice as well.

Have a great weekend – tomorrow is the "official" start of spring in the southern hemisphere; my favourite time of year! Enjoy your downtime :)

Infographic: Definition of entrepreneurship

Found this loitering around on Pinterest -- have a great weekend! 

David Kokong: Know people

David Kokong, entrepreneur

Mtsamai David Kokong became his own boss in 2000. He made a R10 investment in a training manual and went on to excel as an independent field advertiser (IFA) for life insurance/assurance giant Clientèle Life. And with more than 7 500 people in his network and an unwavering belief in himself, business success was sure to follow!

Have you always been entrepreneurial?

Always! I can specifically recall being seven years old, lining my friends up to catch fish in the river and then selling it for pocket money. At nine, I discovered that people were always hungry at township funerals because they’re so long, so I improvised and started selling cooked mielies and fish cakes to the attendees – even the pastors bought from me!  

What provided the push you needed to go on your own?

I was a correctional officer for 20 years, which landed me the position as the head of the Goodwood Prison in Cape Town, as well as doing IFA part-time. It dawned on me one day, while comparing my salary advice slip to my IFA commission statement, that I was earning more money with IFA, with a quarter of the stress associated with running prison. My fear of sustaining my lifestyle past retirement age gave me the push to go into IFA full-time – I couldn’t see myself getting a job just to make ends meet after the age of 60, which also meant that I wouldn’t be able to be in the ministry full-time either.

IFA is founded on the principles of “ubuntu” meaning daring, caring and sharing, so through IFA, Clientèle Life is bridging the gap between the haves and the have not’s in order to eradicate poverty. That really appealed to me as a black entrepreneur – as part of IFA, the necessary mechanisms are in place to help you succeed. They’ve simplified the business plan and incorporated it into a living programme to ensure the success and sustainability of the business. I worked from anywhere and everywhere and, as long there are people, my business thrives simply because I’m a networker.

What’s your big dream for this venture?

Apart from building the brand and being a good example to others, my late father, Pastor M. Z. Kokong of Apostelic Faith Mission (AFM) instilled in me that every person has the potential to be someone and that we’re not to judge anyone. In my quest to be in ministry, I soon realised that in order for me to bless others, I have to be blessed. My involvement in IFA equips me to be financially free and to guide and empower others to financial freedom. Consequently, I have a vision that through IFA we can touch so many people’s lives, provide them with the opportunity to rekindle their hopes, instil self-worth and, most importantly, to be able to provide for their families without being dependent on government handouts.

What was your most epic fail in the early days and what did you learn from it?

My business suffered a bad blow during the recession when a lot of people lost their jobs and couldn’t afford to pay their premiums. But I stayed focussed and motivated my team to see the bigger picture, changing my strategy to use the dip of the recession to secure new business.

What are the two biggest/most common mistakes entrepreneurs make?

They put all their eggs in one basket and give up too easily. Only the strong and toughest will survive. As the saying goes, Rome wasn't built in a day; good quality things take time.

Is it ever alright to give up on a dream?

No, never ever give up! Believe in yourself and your dreams; once others see your passion they will believe as well.

What’s your life motto?

Work like a slave today to live like a king tomorrow.

What three character traits do all entrepreneurs possess?

The foresight to identify money-making opportunities in places or instances where others do not, the ability not to give up; to persevere and innovation.

If you could give yourself any advice back then, what are your top 5 wisdoms?

* Patience

* Commitment

* Perseverance

* Focus

* Faith – believe in yourself even when nobody else does.

Get in touch with David Kokong via email: david@dkokong.co.za or visit: http://www.dkokong.co.za. 

My Independence Day

If you'd have told me two years ago that I'd be sitting at a loaned computer in the spare room of my home, after having lost pretty much everything that "makes me who I am", I'd have tied you up, covered you in syrup and rolled you down a gravel pathway because I'm spiteful like that. But here I am: no job, single and nursing the fragments of an idea that I'd like to lovingly turn into a legacy project that I can be proud of -- and that turns a profit.

I left a job that I loved at the end of May 2012 -- I've been in the consumer magazine industry in South Africa for the last 18 years. It was a rash, instantaneous decision but the absolute perfect one for me: my independence day. So, I've spent the last month setting up a home office and trying to dream up a strategy that I can use to market my skills set and turn them into a viable business that pays the bills and allows me to live a comfortable lifestyle. Which is not as easy as it sounds.

I've limited capital and loads of confidence in my abilities in the print media and digital space; the only challenge is that I have absolutely no working knowledge of being an entrepreneur. And that's where this blog comes into its own. I hope to put my skills as a journalist and writer into play, and interview those amazing local business owners and entrepreneurs who have done all the hard work before me in setting up their companies. The practical, hands-on wisdom they share, I hope, will be worth far more than spending cash I don't have on courses and tutorials that could turn out to be a waste of time. I see it more as knowledge-sharing and paying it forward.

With the economy being in the sad state that it's in, I have three friends who are struggling entrepreneurs, who need to make some very serious decisions in the next few months on whether to abandon their own-business dreams or to seek out gainful (yet very junior) employment. They seem to think I have a magic business 8-ball on my desk that I can consult on their behalf, to give them ideas on how to breathe life into their own ventures. I don't. I don't even know what to do for my own struggling start-up, except trial and error. But that, for me, is not a very positive or proactive point to start from. So I'm going to do what I do best: interrogate the crap out of this "going on my own" lark in the hopes that it helps other people out there who are in a similar situation to turn their business dream into a reality. It'll be done in my own way and I hope you enjoy coming with me on this adventure into entrepreneurship!

And to the universe: thank you for this -- and something better!

Mike Eilertsen: Go with your gut

Mike Eilertsen, LIVEOUTLOUD
& Sir Richard Branson, Virgin

Mike Eilertsen is CEO of LIVEOUTLOUD, Southern Africa’s largest all-encompassing luxury lifestyle brand. He’s been moving and shaking in the entrepreneurial space since he was at school, showing that tenacity and innovative business goals get you what you want. He’s a finalist for the Sanlam Entrepreneur of the Year 2012 award and, since 2007, has managed to turn a R300 investment of waitering tips into a competitive, successful and sustainable business empire.

Have you always been entrepreneurial or is it something that’s grown over time?

It has always been something that I knew I wanted; I started my first business before I even knew what a business actually was. In grade five, my weekly R10 lunch money went to paying the two bestmarble players a couple years ahead of me R5 each for all their marble winnings of the day. I then divided the marbles into starter packs and sold them for R10 to the mothers in the parking lot after school. Business was shut down when my parents called the school after I asked them to take me shopping to spend my R930 profit.

What were you doing before starting your business?

I was a waiter for all of three months and, after the owner of the prominent Sandton meat restaurant where I was working refused to serve a patron’s wife a vegetarian meal, I decided I wouldn’t work for anybody again. A week later the Breakfast Boy was launched. I took the R300 I’d earned in tips and ploughed it into a business where I hoped to be selling breakfasts and coffees across all major intersections, stadiums and large gatherings across Africa. That was just the beginning and it's developed and grown since then. LIVEOUTLOUD – The Collection started in November 2007.

What kind of planning went into starting the venture? Is a business plan really necessary?

Not at all. All you need is a good idea, a great way to differentiate yourself and the courage to see it through. I believe people spend too much time planning and not enough time doing.

How does a new entrepreneur find business leads and profit from them?

All an entrepreneur has to focus on is differentiating the product and service, while creating a goodrapport with the consumer. Combine this and then stand in front of people face-to-face so they can see what you’re about, and feel your enthusiasm, and the money will follow.

How does a new entrepreneur figure out what makes them unique and leverage that difference?

They must look at what their industry is doing and go out of their way to change the rules of engagement. The industry we are in doesn’t feel we play by the rules and that our product is unconventional, but that’s a good thing. The difference is that we are turning away business in print media, something unheard of in an era where magazines are shutting down constantly.

How does a new entrepreneur figure out what to charge for their service/product?

He/she must charge the amount people are willing to pay. Without telling family and friends about the product (without saying it’s yours), ask them to pay for it. If they’re reaching for their wallet, your price is not too high. Ultimately you gauge the price on whether or not you are selling.

What was your most epic fail in the early days?

A lack of financial control. I loved the sales side of the business and never paid attention to what the accountants were doing. No matter how much we sold, we just didn’t make enough. I only solved this recently by employing an experienced full-time accountant who pulls me over the coals every now and then when I don’t follow procedure!

What are the two biggest/most common mistakes that new entrepreneurs make?

Spending money they haven’t made, and not employing a great accountant.

How do you keep yourself motivated to continue?

You need a fellow businessowner who you can call on those lonely days to offload. They don’t need to give advice, but just remind you about why you started, and that we’ve all been there. This isn’t amentorship role – I recommend that for the first year of establishing your business you shouldn’t have a mentor. They have a tendency to guide you, but also tell you what can’t be done. Entrepreneurs have to go on gut-feel for the first year, defy the odds, and do that which would make most mentors cringe.

Which three character traits do all entrepreneurs possess?

Courage, drive and they’re all dreamers.

Do you believe in internships for your business?

Yes, we have an obligation as leaders to foster youth leadership, and show South Africans how easy business can be. We have a policy at LIVEOUTLOUD to accept interns whenever possible.

If you could give yourself any advice back then, what are your top 5 wisdoms?

* Overemploying: Dreams of having an empire and hiring hundreds of employees fill our heads from the day we first think of opening a business. As a result, each penny made is reinvested into staff, growing the company and doing what is believed to better the company as a whole. I had 47 employees when the market changed and the recession took hold, and overnight turnover dropped. An organisation’s employees are its biggest asset, but they are an even bigger liability when things get tight. High overheads are what kill a business, and even if you survive, your morale and productivity is affected by retrenching.

Lesson: rather employ fewer, but more skilled individuals. This will make your business strong and lean.

* Effective financial control: Having ineffective financial control is like driving a car with a blindfold on. Yes, you might move forward for a while, but sooner or later you’re going to crash. Initially I hired friends with accounting degrees or bookkeepers. They weren't well-informed on tax structures and effective financial control. This resulted in money being put into projects that were doomed to fail.

Lesson: Employ a highly-skilled, well-established financial controller. No matter how expensive they may seem, they will give your business security and direction. After yourself, your accountant should be the next hired.

* Celebrating a deal prior to the paperwork being signed: “A verbal deal isn’t worth the paper it is written on.” These words echo in my head as disappointments follow you throughout your career. We all know the story – the meeting that finally results in your client saying YES; you allocate resources, time and a celebration to the new project only to find out your client didn’t have the jurisdiction or funds have run dry. Despite being an exceptionally optimistic person, life has taught me to celebrate only the signed deals!

Lesson: Push for the signature or purchase order. Don’t settle for an email confirmation or the classic “please go ahead” as these are the pitfalls we in sales fall for over and over again. Have the contract ready so when the client says yes, they sign something straight away to get you going.

* Being too involved: Start-ups require you to be involved in all aspects of your business, but as your company grows you find yourself still doing the things your employees should be doing. By being too involved on every level, you’re no longer leading and you won’t have the time for vision, strategy and the bigger picture.

Lesson: Employ people who are leaders in their own right. This will allow you to rest assured knowing they are doing what’s required.

* Employing your clones: You don’t realise you’ve done it until someone points it out. As human beings, we’re comfortable around those who are similar to us. Gregarious people enjoy the company of other enthusiastic individuals. Accountants like others with logical and analytical personalities. No matter who you are, you tend to be impressed when hiring those whose traits you relate to. In my case I’m a hunter sales personality with weak administrative skills. Three months after opening we had a team of six others exactly like me, and not a contract, procedure or file in sight. Once the “clones” were pointed out, I diversified completely, targeting those who were as different from me as possible.

Lesson: Choose your non-negotiable requirements. For me these were loyalty and big dreamers, and I only employ people who share these traits, but they have every other skill I don’t. This will ensure a strong, adaptable business team.

Get in touch with Mike Eilertsen from LIVEOUTLOUD via email: mike@liveoutloud.co.za, visit:www.liveoutloud.co.za, check his Facebook profile, find him on Twitter: @MikeEilertsen and on LinkedIn.