How many times have you been knocked down as a result of not counting the cost?

When I made the decision to go back to school at City College; I was focused on the end result, getting my BA.  As months went by, I found myself withdrawing from school because of a missing link…money. As an entrepreneur, I took on a large greeting card order from one of my stores that I could not complete, because I did not have enough materials or time to complete it. I learned a big lesson from that experience… resources. So, how did I get knocked down?  I didn’t count the cost.

How many times have you found yourself unable to complete a project/goal/dream you started because of a missing important link? Did you really think about the ‘how’ of your project? It takes a few knock downs to realize that counting the cost is a MUST DO.

Counting the Cost of any project is the final action move in “What’s the game plan?”  Here are the factors to consider in counting your cost:

• Money
  • Do you have enough money to start and complete the project?
  • Do you have a source where you can get money? (private lenders)
  • Family and Friends:
  • A word of caution:  when dealing with family and friends you need to talk to them about your project before you need the money.
  • Bank
  • Develop a relationship with your banker and share your business plan and project.

• Resource
  • Have you created your power team? (accountants, lawyers, and other important persons that you will need to complete the project)
  • Do you know what agencies within your city/state will assist you complete your project/goal? Have you made a friend there? Have you reviewed their website?
  • Do you know where to get your supplies? (Wholesalers/trade shows/online)
  • Do you have the required certification / licenses in your field? Do you know what paperwork to fill out?
  • Are you a part of the association, club, or network groups affiliated with your project?

• Time
  • Do you know how much time is needed to complete your project in years, months, weeks, days, and hours? Do you have the time to start and complete your project?

• Sacrifice
  • What are you willing to give up?
  • Do you have a support team in place? Someone to watch and pick up the children? Someone you can talk to?  Who are your mentors?
  • Did you discuss this advantage with the family you live with?
  • Are you going to have to take time off from work or other things you are doing in your life? For example social clubs that you hold a position or sport team.

• Exit Plan

If you are starting a business whether it’s real estate or a corner store you should have a business plan, which should include an exit strategy. If the business should fail how will you get out? Do you want to start the business then sell? Who will take over the business in the event of an untimely death? Your exit plan will cover these issues and more.

If you are in school: You should have a time line for all the years you will be in school. What will you do if you have to stop attending school? How long will you stay out? What will you do when you finish school?

By utilizing these factors and learning from my mistakes, I was knocked down, but not for long. By planning my finances and time, utilizing available resources, understanding my exit plan and what I was willing to sacrifice, I was able to get back up, and put on my winner’s belt!

Counting your cost will prevent you from sabotaging the success you desire.  What will you do differently now that you have discovered something(s) you did not think about before?

 “Suppose one of you wanted to build a tower. Will he not first sit down and estimate the cost to see if he has enough money to complete it? For if he lays the foundation and is not able to finish it, everyone who sees it will ridicule him, saying, this fellow began to build and was not able to finish.”