Today’s post is part three of a five-part series by guest blogger Alex Papa, a publisher, social entrepreneur and investor based in the U.K.
Every day, new businesses open their doors with the hope of turning over a profit. People of all backgrounds invest into their dreams of running a successful business and acquiring wealth. But the stark reality is that some of these businesses will close before turning a profit.
The success of an entrepreneur in new business start-ups can never be guaranteed. But certain underlying pillars can distinguish a successful business from the one destined to collapse.
Pillar Three: Access to Resources
Resources mobilize a business. Without adequate funding, an entrepreneur can’t launch their start-up, or take advantage of unexpected opportunities.
There are three categories of resources: financial resources (capital), human resources (staff) and physical or operating resources (expenses).
You need to structure proper finance plans to acquire and fund the necessary resources of your new business. You’ll also need to develop contingency plans to keep things going should your new business fail to make a profit in the first few months. It’s vital to quantify the total cost of required resources, and how you intend to acquire them.
Alex Papa is a publisher, social entrepreneur and investor. He often mentors new business owners and speaks in seminars around the world showing people how to find ideas for small businesses. He also writes about Internet Security solutions at the blog.