Why Do You Need A Business Coach?
Why you need a Coach?
In almost all cases of First-Generation Businesses, the Business Owner has started the Business because of his Technical Knowledge and Passion.
While this takes the Business to a certain level, but then they face stagnation. This results in 80% of new businesses failing in the first year. When the reasons are evaluated, we realised that very few Educational Systems teaches an Individual to become an Entrepreneur. Most of the education systems globally teaches an individual to become a great professional in a corporation.
Many of the Business Owners believe that they are Entrepreneurs. This is certainly not true. All Business Owners start from being a Self Employed and they have to make a journey, which in many cases, is arduous, to becoming a TRUE ENTREPRENEUR. In many cases, unfortunately, they remain as Self-Employed throughout their life.
We all start as a student at level -1 (negative one). We are learning in school and with early experience we are preparing to become an employee. We are in essence, learning what we need to know to get the job.
As Employees at Level 0, we can use the career experience to move up the ladder to ultimately own a business and be self-employed.
At this Self-Employed Level 1, we buy ourselves a job. The issue is that most business owners have a very narrow employee business experience. They have only worked in one industry and have learned one or two business principals.
When you get to Level 1 as a business owner, you have to know a little about a lot of things. You have to know sales, marketing, finance, accounting and human resources because you are the main driver of the business. You have to wear many hats and ride the “Make a Sale. Do the Work” seesaw as a sole proprietor for the most part. Your challenge at this level is keeping your current customers and maximizing their potential.
As you move up the ladder, you grow your business and become a Manager and live on Level 2 for a while. As you add employees and staff you add new responsibilities and are starting to build a team which at some point will be able to run the business for you. Now you are on the business Merry-Go-Round putting out fires that your employees create.
Successful business owners run “a commercial, profitable enterprise that works without you” as defined by Brad Sugars, founder and CEO of ActionCOACH. You have now reached the Owner Level 3. As an owner you don’t make all the decisions and you don’t focus your time on day-to-day operations. You have to work through a team to ensure direction is followed, and goals are reached. At this level you have created a business that operates smoothly when you aren’t there.
Moving from Owner to the Investor Level 4 means you have grown your wealth to a point where you are using your own funds to buy business opportunities. When you graduate to true Entrepreneur Level 5, you are then buying business opportunities with other people’s money. At these top levels of the ladder you are going to have to make different decisions in a crisis.