How To Decide Which Business To Start | Entrepreneur Advice 2022

Summary

The speaker emphasizes the importance of assessing one's chances in business development by evaluating key components and resources. They share their experience with 720 Sweets, highlighting the significance of supplier relationships and finding dedicated spearheads for projects. The speaker also discusses the value of being resourceful by leveraging personal connections and networking to increase business success, challenging the notion that a lack of network is a barrier to entry.

Takeaways

• 🚀 The speaker emphasizes the importance of assessing one's own chances of success in business development by evaluating key components and resources available.
• 🔑 Highlighting the significance of suppliers in the food and beverage industry, the speaker shares a personal example of leveraging a strategic partnership with a major Bubble Tea supplier for a competitive advantage.
• 💡 The speaker underscores the value of having a dedicated 'spearhead' for each business venture, someone fully committed to the project from start to finish, as a critical resource for success.
• 📈 The speaker believes that with the right resources and a deep understanding of the market, their chances of winning in business are significantly higher, estimating a 60% to 70% success rate compared to others.
• 🤝 The concept of resourcefulness is explored, with the speaker advising budding entrepreneurs to look beyond themselves and consider the skills and connections within their network as potential resources.
• 🔍 The speaker encourages a thorough audit of one's circle of influence to identify and utilize the expertise and resources of friends, family, and acquaintances.
• 🛍️ The speaker illustrates how knowing the right people in the industry can lead to cost savings and flexibility in business operations, such as negotiating better terms on packaging orders.
• 💼 The speaker dispels the myth that lack of a network is a barrier to success, suggesting that entrepreneurial success is not hindered by the absence of pre-existing connections.
• 🌐 The speaker suggests using platforms like meetup.com and business networks within one's city to expand one's network and meet new people in the industry.
• 💭 The speaker challenges the common excuse of not knowing anyone in the industry, advocating for a shift in perspective to see friends and family as potential resources for insights and introductions.
• 🤔 The speaker addresses the fear of rejection when approaching friends as resources, clarifying that the intention is not to exploit but to seek introductions to others who may be helpful.

Q & A

What is the key factor in business development according to the speaker?

The key factor in business development is having all the necessary components and resources to ensure success, as well as the ability to control the major costs, such as supplies in the food and beverage industry.

Why is supplier quality crucial for a dessert shop or chain?

Supplier quality is crucial because the quality of the products directly impacts the business. A good supplier ensures the quality of ingredients, which is essential for the final product's taste and appeal to customers.

What advantage did the speaker have when partnering with a major Bubble Tea supplier in Western Canada?

The speaker had the advantage of knowing the owners of the biggest Bubble Tea suppliers in Western Canada, who also had a farm in Taiwan, which provided a strategic partnership for research and development as well as supply chain management.

What is the role of a 'spearhead' in a business project?

A 'spearhead' is a person fully dedicated to the project, working with 120% commitment from the beginning to the end. They are essential for driving the project forward and ensuring its success.

Why is it important to have a dedicated spearhead in a business project?

Having a dedicated spearhead is important because they can focus entirely on the project, ensuring that all aspects are well-managed and that the project progresses smoothly towards its goals.

How does the speaker's experience with sourcing in China contribute to their business?

The speaker's experience with sourcing in China allows them to be resourceful, which is beneficial for the business by enabling them to control costs and ensure the quality of products.

What percentage of winning does the speaker believe they have in the market?

The speaker believes they have at least a 60% to 70% chance of winning in the market due to their资源优势 and experience.

What advice does the speaker give to budding entrepreneurs regarding resourcefulness?

The speaker advises budding entrepreneurs to look at their circle of influence, audit their connections, and utilize the resources and expertise of their network to increase their chances of success in business.

How can one develop resourcefulness according to the speaker?

One can develop resourcefulness by auditing their connections, identifying the skills and resources of their network, and creatively leveraging these connections to fill gaps and gain advantages in business.

What is the speaker's perspective on the common excuse of not having a network?

The speaker believes that not having a network is just an excuse. They suggest that by putting out the intention of seeking resources and connections, one can start to see their friends and family as potential resources and gain introductions to new contacts.

How does the speaker suggest overcoming the fear of rejection when asking for introductions or resources from friends?

The speaker suggests that the fear of rejection can be overcome by framing the request as an ask for an introduction rather than directly seeking help or partnership. This approach allows friends to feel more comfortable and willing to assist.

Outlines

00:00

🤝 Strategic Partnerships in Business Development

The speaker emphasizes the importance of strategic partnerships in business development, particularly in the food and beverage industry. They highlight the significance of having key components and resources to ensure success. The example of 720 Sweets is used to illustrate how a partnership with a major Bubble Tea supplier, who also owns a farm in Taiwan, provided a competitive advantage in terms of product quality and supply chain management. The speaker also discusses the necessity of having a dedicated 'spearhead' for each project, exemplified by their partnership with Brian, who has been instrumental in the operation of the business. The summary underscores the speaker's belief in leveraging personal connections and market knowledge to increase the chances of business success, suggesting that their winning percentage would be significantly higher than the competition.

05:01

🔍 Harnessing Personal Networks for Entrepreneurial Success

In this paragraph, the speaker discusses the concept of resourcefulness in entrepreneurship, suggesting that many aspiring business owners limit themselves by not recognizing the value of their personal networks. They refute the common excuse of lacking a network and instead encourage individuals to audit their connections, including friends, family, and acquaintances, for potential resources and collaborations. The speaker provides examples of how leveraging these connections can lead to cost savings and strategic advantages, such as reduced packaging orders due to personal contacts in the industry. They also stress the importance of changing one's perspective to view friends and family as potential resources without crossing the line into exploitation, and the value of simply asking for introductions to others who might be helpful in one's business endeavors.

Keywords

💡Business Development

Business development refers to the process of identifying opportunities for growth and expansion within a business. In the video, the speaker emphasizes the importance of assessing one's chances of winning or success in business opportunities. This concept is central to the video's theme, as the speaker discusses the key components and resources needed to ensure success in business development.

💡Key Components

Key components are the essential elements or factors that must be in place for a project or business to be successful. The speaker mentions that when looking at an opportunity, it's crucial to have all the necessary key components taken care of. This term is used to illustrate the importance of having a comprehensive strategy in place before entering a new business venture.

💡Resources

Resources in the context of the video refer to the assets, skills, or connections that an individual or company can leverage to support their business endeavors. The speaker highlights the importance of having the right resources, such as suppliers and dedicated team members, to ensure the success of a business. The concept is integral to the video's message, as it underlines the necessity of resourcefulness in business development.

💡Strategic Partner

A strategic partner is an individual or company that collaborates with another to achieve a common goal or to complement each other's strengths and weaknesses. In the script, the speaker discusses partnering with a supplier who owns a farm in Taiwan, which is a strategic move for the quality of their products. This partnership is an example of leveraging resources for business advantage.

💡Supplier

A supplier is a company or individual that provides goods or services to another entity. In the video, the speaker identifies the supplier as a major advantage in the food and beverage industry, particularly for a dessert shop, because the quality of products is directly linked to the quality of the supplier's inputs. The speaker's relationship with a major Bubble Tea supplier is highlighted as a key resource.

💡Spearhead

In the context of the video, a spearhead refers to a person who is fully dedicated and committed to leading a project or business initiative. The speaker mentions the importance of having a spearhead for each business venture to ensure its success. The term is used to emphasize the need for strong leadership and dedication in business development.

💡Dedication

Dedication is the commitment and devotion to a task or purpose. The speaker talks about the need for a spearhead to be 'super, super dedicated' to the project from start to finish. This keyword is used to illustrate the level of commitment required for a successful business venture and is exemplified by the speaker's partner, Brian.

💡Resourcefulness

Resourcefulness is the ability to find quick and clever ways to overcome difficulties. The speaker discusses the importance of being resourceful, particularly in leveraging one's network and connections to find support and opportunities. The concept is a key theme in the video, as it is presented as a critical skill for entrepreneurs to develop in order to succeed in business.

💡Network

A network refers to a group or system of interconnected people or things. In the video, the speaker advises budding entrepreneurs to look at their circle of influence and network to identify potential resources and connections. The term is used to highlight the importance of building relationships and tapping into one's social and professional networks for business success.

💡Mentees

Mentees are individuals who are being mentored or guided by someone with more experience or knowledge. The speaker mentions teaching their mentees and clients about the importance of resourcefulness and networking. This term is used to illustrate the speaker's role as a mentor and the guidance they provide to others in business development.

💡Perspective

Perspective refers to a particular attitude, way of thinking, or viewpoint. The speaker talks about the importance of changing one's perspective to see friends and family as potential resources for business. The concept is used to emphasize the shift in thinking required to identify and utilize the resources available within one's network.

Highlights

Importance of assessing personal chances of winning in business development by evaluating key components and resources.

Example of leveraging supplier relationships for a dessert chain as a strategic advantage.

Emphasis on the quality of products being paramount, influenced by supplier relationships.

Personal connection with a major Bubble Tea supplier in Western Canada as a key resource.

The significance of having a dedicated spearhead for each business project to ensure commitment and success.

Finding a dedicated partner, Brian, who has been instrumental in the business operation.

The role of personal experience in sourcing from China and its contribution to business resourcefulness.

Confidence in having a higher winning percentage in business due to resourcefulness and strategic partnerships.

The concept of resourcefulness in entrepreneurship and its impact on the success of a new venture.

Advice for budding entrepreneurs to not limit themselves by thinking they have to do everything alone.

The importance of auditing one's network and connections to identify potential resources.

Using personal connections creatively to fill gaps in business resources and increase chances of success.

The perspective shift needed to view friends and family as potential resources for business insights and introductions.

Dispelling the myth that a lack of network is a barrier to starting a business or pursuing e-commerce.

Recommendation to utilize platforms like meetup.com to expand one's professional network.

Encouragement to see friends and family as resources for introductions rather than direct business involvement.

The power of intention in networking and how it can lead to valuable connections and opportunities.

Clarification on the fear of rejection when approaching friends as resources and how to navigate it.

Transcripts

For me, when it comes to business development it really comes back down to what are my chances

of winning as opposed to yours.

What I mean by that is, whenever I look at an opportunity I need to look at whether I

have all the key components and whether I have the resource to make sure that these

key components are all taken care of.

To give you a little bit of an example.

With 720 Sweets, what is one of the major hurdle or major advantage that we would have

when you're developing a dessert chain or a dessert shop?

Number one thing is your supplier because at the end of the day it comes back down to

the quality of your products.

So, for me, because I knew the owners of the biggest Bubble Tea suppliers in Western Canada

and he has a farm in Taiwan.

So, for us, it became a very good strategic partner for us to partner up together.

When I have the marketing skill set and I understand exactly what's going on in the

marketplace and he has the resources to support me when it comes to research and development

and when it comes to supplies.

A lot of people ... That's one of the biggest costs when it comes to developing a product,

especially in the food and beverage industry, is your supplies.

So, if you can really control that, that's a really big plus.

So, for me, finding him as a resource and as a partner is super, super important when

I was deciding whether I want to enter this business or not.

If he wasn't on board, I most likely wouldn't be choosing this business to be in.

A second component and a second resource is that for any business, because I'm handling

multiple different projects at the same time, every single business that I'm handling with

there must be a spearhead.

What I mean by spearhead is someone that is fully dedicated, 120% into that project, because

you're not.

That person, that spearhead, needs to be super, super dedicated and committed right form the

get go and all the way to the end.

Luckily I was able to find Brian, who became my partner and he's been amazing and he's

been super dedicated throughout this whole term, which really helped support the operation

on the business.

I feel like because of the fact that I have these two components and also with my experience

with sourcing in China, I was able to go ahead with this business because I was resourceful

when it comes to this business.

I feel like that if I were to open this shop versus you were to open this shop, I would

have much more advantage in doing so.

My percentages of winning would be at least 60% to 70%, in comparison to everyone else

in the market.

That's when I decide to enter into business.

So, when you said resources, being resourceful.

How does someone develop that?

At the end of the day when it comes to being resourceful, a lot of times when a budding

entrepreneur, they try to do something, they try to start a new business, whether it be

online, offline, doesn't matter, E-commerce, they handicap themselves by thinking that

it's all them.

That they are the ones that are in charge of developing the whole business.

That they're not going to reach out for help.

So, this is what I teach all my mentees and clients, is to look at your circle on influence

and look at basically and just jot down what exactly they do.

Whether it be your relatives, whether it be your uncle, uncle's dad, or your dad's friend

that does cup designs or manufacturing or packaging designs.

You'd be looking at basically all of your friends, what do they do, what kind of resources

they have.

When you're able to really fully audit your whole resource and your whole connection,

you would start to fill in the gaps and fill in, hey, you know what?

Jason's the guy that knows all the foodies and bloggers, so if I were to do anything

to do with food, I would talk to Jason.

My other friend that does packaging, if I am to create a product to sell online, on

Amazon, packaging is one thing that I'm super, super anal about, then I would talk to my

friend that's in packaging because now MLQ, instead of a 10,000 piece packaging order

it would drop down to 5,000 or 500 for that matter, because I know him.

That would give me more room to play with when it comes to my resources.

That's a resource that not every single person has.

When you can start being creative and resourceful around the people that's around you, that's

going to increase your level of success.

The chances of you succeeding in the business, is when you become resourceful to the people

around you.

That's exactly how I determine whether a business is a go or no.

Is it look at whether I have all the key components to make this business successful or not.

Right, I think a lot of times ... I hear a lot of this.

A lot of people that come and ask me when they're first starting out.

It's like, "Hey, you know what, I don't know anyone.

I don't have any network.

That's hindering my success and I can't start this business or I can't do E-commerce because

I don't know anyone in the game."

That is only an excuse.

Quite frankly, I didn't start off with any network in Vancouver and it takes years to

develop these relationships that you can count on, but that doesn't hinder your level of

success just because you don't have the connection to do so.

There are a lot of meet up groups out there.

There are a lot of ... Nowadays especially, with meetup.com, with all your business networks

within your own city.

These are a lot of different good places where you get to meet new people in your industry.

That's one place to network and another thing is that when I say it's an excuse is because

if you don't know something you're going to find that, oh, you know what, I don't know

any resources around me, I don't think I can count on anyone because you never really have

that perspective of seeing your friends, per se, or your family members as a resource.

As a resource to give you insights or introduction to people they know.

So, if you put out the intention of seeing these people as a potential resource, then

you would see it from a different perspective and that would open your eyes and they then

become your resource.

It's a matter of the perspective, I think.

The fear of rejection from your friend as a resource is ... Just to clarify a little

bit more.

When it comes to seeing your friend as a resource, I'm not telling you to partner with them or

rub anything off them or anything of that sort.

It is seeing them as a resource or potentially putting it out there as, "Hey, can you make

an introduction to someone you know who does this?"

When you put that intention out there, automatically they would have someone in mind.

So, for example, if someone asks you, "Hey, I want to start an ice cream shop.

Who would you go to automatically?"

You would be like, "Oh, Wilson.

I know Wilson.

He started an ice cream shop."

Or Amazon, "Yeah, I know this guy.

He does Amazon."

Or business development, "Oh yeah, I know that guy.

Wilson does business development."

These are things that come to top of mind when you have those conversations and when

you put the intention out there of trying to look for a certain type of people.

Or, "Hey, you know what?

I'm thinking about creating baby product."

Then, I talk to my friend who's a parent.

Perhaps they would know someone that's in the industry of baby products.

I don't know, right.

Manufacturing, let's say in China or let's say in the States, doesn't really matter.

It is putting the intention out there and seeing it from a different perspective.

Not seeing them as someone that you poach or someone that you take advantage of because

that's taboo right.

That's like, oh, I don't want my friend to see me in a different light.

I don't want to mix friendship with business.

It's not mixing friendship with business, it is putting the intention out there and

people love and would want to help you if you just put the intention out there.