In business, nothing matters more to me than free enterprise and the success of entrepreneurship across America. The values that entrepreneurs bring to business are what have made this country great over its 234-year history. But I’m concerned that the current business and political environment is so unfriendly to entrepreneurs that the death of entrepreneurship may be imminent.
If entrepreneurship goes down the drain, so too do millions of future jobs. It is well known that the economic recovery, as well as the economic growth of the nation over time, depends on entrepreneurial success.
Large companies do a good job of maintaining operations, combining and acquiring businesses, and stabilizing them, but they aren’t known for exceptional results in innovating and launching new enterprises. Big companies try their hand at the “start-up game,” but their risk profile and the nature of the expertise they bring to the table is frequently counter-productive with regard to innovation, at least compared to the way that entrepreneurs do it.
The biggest companies count on entrepreneurs to innovate and start enterprises which they can acquire and grow further. It is part of the business lifecycle – and the natural balance that exists between the many strata of companies has worked well. But that balance is in jeopardy.
The government’s policies over the last few years have become very unfriendly to entrepreneurs. Starting and operating a business has become more expensive and more complicated. These factors limit the number of people who can enter the entrepreneurial environment, and I fear for entrepreneurs who are trying to organize themselves in these difficult times.
Credit is tight. Entrepreneurs generally have had their balance sheets assaulted — even more heavily than our corporate counterparts. Economies of scale have never been more important and entrepreneurs don’t excel when it comes to acquiring these efficiencies. And the requirements for specialization in business have grown multi-fold — another place where entrepreneurs tend not to excel.
My concerns for entrepreneurship have become the basis for much of the business strategy I dispense to clients, friends and fans. It forms the basis for how I have directed my own companies and ventures. This is not a time to lie down and curl up. Tremendous opportunity exists, but new plans and strategies are necessary.
I am not one to rant without a purpose. There is a specific business strategy that has grown out of this unfriendly economy and I want to share it with you so you can take action and use the current environment to your great advantage whether you are in business, film, real estate, or some other aspect of entrepreneurship.
Check back in a few days and I will tell you specifically what entrepreneurs need to do to optimize these tough times.
