| When you start your own business, you commit to | | | | needs.In addition, build a stellar Board of Advisors or |
| investing your time, talent and resources in the | | | | Board of Directors. A Board of Advisors usually will |
| business to make it succeed. You authorize a | | | | help you for free, whereas a Board of Directors is |
| spending plan; you ask the bank, your credit card | | | | paid. The key is to engage thought leaders in your |
| company, friends, family, employees, to endow the | | | | niche who become early adopters of your product or |
| business to follow your business plan and implement | | | | service and advocate for you to their significant |
| your marketing plan. There's more to it. You need to | | | | networks.Working Capital: Invest minimally here |
| determine where you can differentiate your company | | | | because there's no added value to the company or |
| from the competition, so where should you invest the | | | | the product. Tying up cash instead of using credit may |
| most resources? To garner the most flexibility, I | | | | actually slow your time to market. This could be a |
| suggest your investment priorities should be: Brand | | | | critical timing mistake if your competition is racing you |
| Capital, then Human Capital, followed by Working | | | | to market.Physical Capital: Invest minimally here |
| Capital with Physical Capital at the bottom of the | | | | because bricks and mortar don't sell product. Yes, you |
| list.Brand Capital: Invest the most in your market and | | | | need a roof and windows that don't leak (I've worked |
| marketing to them. Up front this could simply be | | | | with many startups in the old mills where workstation |
| focusing on a small group of prospects. Do the | | | | layout was based on the leaks and drips.). You don't |
| economics to make them well satisfied customers. So | | | | need to be a miser. And you need the equipment, |
| much so, that they provide the testimonials or become | | | | technologies and conveniences that will make |
| the spokespersons for your future sales. Remember, | | | | everyone highly productive. Cost- effectiveness should |
| the high value transfer of using relationships.Human | | | | be weighed here too.Whenever you are investing in |
| Capital: This is your team and their track record | | | | your business, recognize that you cannot manage |
| coming on board. Only hire stars, no matter what. Only | | | | everything, but you can manage the value equation of |
| employ experts in the key roles of your company. For | | | | each investment. Be sure the value to your business is |
| other positions, look for great talent you can mold to | | | | outstanding, so you can win business with every sale. |
| your vision, and move around to meet the company's | | | | |