Beliefs show the world who we are. They are formed throughout your life through experiences and observations. And, as the saying goes, you are the 5 people you spend the most time with.
The problem with beliefs arises when we are not aware of them or how they affect our lives. I’m not talking about religion, politics, or any other topic that’s a no-no at Thanksgiving. What I refer to are the everyday, seemingly inconsequential thoughts that dictate actions.
As a entrepreneur, your beliefs guide your business decisions. But what happens when those decisions are subconscious? What do you do when the thing holding you back is yourself?
The easy answer is to stop allowing it, but how do you do that?
By becoming aware of the beliefs that are holding you back from success, then changing your thought process to align with your goals.
These are 3 false beliefs plaguing entrepreneurs everywhere. And how you can get past them to achieve the success you desire.
I’m bad at money
This is a common one, especially for women. The belief that you just don’t know how money works so you will never be able to make it work for you.
Perhaps it stems from being bad at math. Or maybe it’s just easier to say “I’m bad at money” than to really delve deep into WHY you’re not good at managing your finances. In this case, the simplest answer may not be the right one.
How do we get good at any skill? Practice. This is all money management is; a skill.
What happened the first time you rode a bike? If you didn’t have training wheels, you almost certainly fell. Probably more than once. But with persistence and practice, you improved.
Just like riding a bike, nobody is born just knowing how money works. Some people have more natural ability than others, but everyone has to take the time to learn.
Learning is the key. You can be good with your money as long as you take the time to research and inform yourself. Read books and blogs, listen to podcasts, or go to a seminar. There are so many ways to attain the knowledge you need. Entire industries full of people with the goal of teaching you how to understand your personal and business finances. Use them.
Money is coming in, so I must be making money
If there is money coming into your business, then you must be making a profit. Many businesses have learned that this belief is false the hard way. Unfortunately, the truth is a lot more complicated than money coming in = success.
The truth is that revenue is just a tiny piece of the jigsaw puzzle that is your business. Revenue is essential to any business, but it is far from the most important indicator of success.
You must review all of your financial information In order to know how successful your business really is. A blanket of profit can cover a lot of issues, but not forever. That’s why any person looking at investing in a business wants to review all of the financial statements, not just the income statement (also known as profit and loss or P&L).
The financial statements give you a complete overview of the real health of your business. How do your liabilities compare to your assets? What percentage of your A/R are bad debts? Is there a positive cash flow?
This is why up-to-date and accurate bookkeeping is essential.
Knowing your financial statements is the only way to ensure you truly understand the health and success of your business.
I should be able to do it myself
Being an entrepreneur means that you have to be a jack-of-all-trades when just starting out. Money can be tight and this is a stage where you are going at it alone. Often the business owner has to be the salesmen, marketing director, bookkeeper, IT specialist, HR, and any other necessary job functions that pop up.
It can be difficult to admit when you need help. It can be hard to let go of the control that comes with doing it all yourself. This do-it-all mindset gets you going, but can cause burnout over the long haul.
It is a sad truth that the amount of time you have in a week will not grow as your business grows. As you see more success, you will have to focus your time where it is most needed. It becomes necessary to hire employees or outsource some of the work, so you can focus on your strengths.
There is certainly no shame is needing help. No one can be an expert in everything, nor should you expect to be. Let those with different experiences and specialties help you to reach the success you deserve.
Whatever you do in life, surround yourself with smart people who'll argue with you. - John Wooden
The hardest part of changing your mindset is recognizing that there is a problem. That little voice in your head is sneaky. It’ll spout opinions as concrete facts, and drives you to make decisions that are against your best interest.
Make sure that you are listening to yourself. Not just to understand the way your mind works, but also to root out any unconscious beliefs that may misdirect you away from your goals.
Be wary of the voice in your head. It does not always have your best interests at heart.
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