How to Grow as an Entrepreneur and Jump into the Venture Capital Game

In the business venturing world a SIDELINED ENTREPRENEUR is just that... someone who can enthusiastically follow the action, and who knows how the game is played, but is not a player in the start up, investor, or entrepreneur community. While you do know that there is such a thing as a general entrepreneur “expert success script” (the pattern for entrepreneurial success), several things are keeping you on the entrepreneur sidelines and out of the new venture capital (VC) game. You are reluctant to take start up or private equity risks. You lack investor and venture capital resources (cash, contacts, infrastructure, technology, etc.). And it’s likely that you don’t yet appreciate the highly-structured and complex patterns, plans and methods, or depth of disce ment (knowing when a venture is “on” or “off” course) necessary for a clear understanding of the highly-specialized venture capital (VC) environment. Also, it’s important to know that when the sidelined entrepreneurs happen to hold positions of power (such as a bank officer, atto ey, accountant, etc.), they may feel all too free to give advice, and expect it to be taken. So even though you can appear “entrepreneurial”, and you are often quite good at describing the expert success script... you are not an entrepreneur or venture capital expert, yet. The Way Forward You can certainly add value as part of a team in an existing business opportunity or start up by sharing your knowledge of the “entrepreneur success script”. But on your own, you are not in a position to pursue a new start up. Get involved in mentorship programs, and you will learn more skills required to pursue investors and private equity. If you want to venture, the main thing that’s holding you back is your need for guesswork. You need to enhance and improve your ability to recognize when a venture is, or is not, following the patterns necessary for success. So take a course in entrepreneurship, preferably one taught using the “experiential method”. It’s important to identify experts who may be able to help you refine your “antenna” (helping you to pay attention to the fine points, strategies, and tactics of building a new business). Courses in experiential learning will also greatly help you grow and develop. You may eventually discover that your entrepreneurial profile is changing, and that you are becoming an “Institutional Expert”...which may be a more rewarding venturing type for you. Such expertise will also help you attract greater investors, private equity, or venture capital investment. SOURCES: Dr. Ronald K. Mitchell, CPA, Ph.D and Howard Mitchell