Swinging for home runs is hard... really, really hard and that’s why building a cashflow base first, is key.
Entrepreneurship can be risky and unpredictable. It's the high stakes game of business where some will strike out and a select few will hit home runs.
While the idea of scoring big and hitting a homerun is a tempting lure, it's always wise to start with a solid foundation.
Building a cashflow base first is crucial to the success of any business. The importance of having a steady stream of income cannot be overstated. Cashflow provides the base that will pay the bills, cover expenses and give you the peace of mind that your basic needs are taken care of.
Once you have built up your cashflow base and it can operate without your direct involvement, you can then begin to strategize about a new endeavour that can support the lifestyle you want to achieve.
Lifestyle money is what makes entrepreneurship worthwhile and a little less stressful. It's the reward for your hard work and dedication. Now you can finally take the trips, buy a nice car or indulge in that house you've been eyeing.
Home-run money is the ultimate reward for any entrepreneur who has put in the time, effort and sacrifice. It's the opportunity to take massive risks that could yield massive rewards. However, with great risk comes greater potential for failure. If you haven't built a solid cash flow and lifestyle base, you may be less confident in taking the necessary risks and the fallout from a failed attempt at a homerun could be more painful than it needs to be. You also want to dust off quickly to be as ready as possible for your next attempt.
Building a homerun business requires extremely high energy, dedication, careful planning and execution. Swinging for the fences with the aim of hitting a home run can be tempting but it's wise to take calculated risks aware of the potential consequences.
When we began building Ruckify, I had a vision of building the Amazon of rentals, and almost everyone I spoke with thought it was a crazy idea. As time went on and we figured things out, it almost felt like it was a guaranteed homerun... that was until we had partnership issues. Having built and owned Cody Party Rentals for the past 25 years meant that I had a solid base in place which allowed me to make the tough decisions I needed to make.
So, begin small, build your foundation, grow your lifestyle income, and then take the big swing. You may strike out a few times, but when you finally hit that homerun, it can change your life forever.