It is a well-entrenched belief that you, as an entrepreneur, should work hard and be persistent. Endlessly persistent. You will face difficulties and your job is to put your head down and bulldoze through them because at the end of the road is success. Glorious success.
And there are tales galore of entrepreneurs whose companies were on the verge of collapse but who persevered and achieved great fame and prosperity.
Some of these stories have become mythic. Such as the time when Fred Smith, founder of Federal Express could not pay the fuel bill to keep his planes in the air. He took the $5,000 he had and flew to Las Vegas on a Friday evening. He won $270,000 which was sufficient to keep him going and eventually Federal Express became the behemoth it is today and also created the overnight delivery business.
Sarah was a tech enthusiast with a bright idea. There was no app on the market that provided individualized recommendations for exercise, nutrition and well-being. She would use Artificial Intelligence to provide such a service. The app would know that, for example, you stayed out too late on Friday evening and had five drinks and would automatically adjust your Saturday schedule to give you more sleep time and ease up on your exercise routine.
She launched “YourPersonalFitnessJourney” and poured all her savings into it. Many of her friends and business school classmates also invested. She hired a small team of developers and fitness experts who worked the crazy hours that start-up tech companies demand.
Shortly after launch, users started experiencing issues with the app’s AI algorithm. Personalized plans were not updating correctly and users became frustrated. She was able to debug the software, but it took much longer than expected and the senior programmers she hired busted her personnel budget.
As the app gained popularity, it attracted scrutiny over data privacy. Concerns were raised about how user data was being stored and protected.
Sarah hired a cybersecurity expert to audit their systems and ensure compliance with data protection regulations. She also implemented more transparent privacy policies and communicated these changes clearly to her users.
Despite the initial success, Sarah faced a significant funding shortfall. The costs of development, marketing, and resolving technical issues drained her initial capital faster than expected.
She pitched “YourPersonalFitnessJourney” to several venture capitalists and angel investors. After numerous rejections, she finally secured additional funding, but the process was stressful and time-consuming.
The fitness app market became increasingly saturated with new competitors offering similar features. Larger companies with more resources started to dominate the space. Sarah focused on differentiating “YourPersonalFitnessJourney” by incorporating advanced AI features that competitors didn’t have. She also partnered with renowned fitness influencers and health professionals to create exclusive content for the app.
Her star AI person, the only one who really understood the algorithms, was hit by a drunk driver and died two days later. She had key person life insurance on him but her cash-strapped HR department had delayed paying the premiums and the policy had lapsed.
Sarah buried her head in her arms and moaned.
What should Sarah do? What would YOU do?
I have dealt with a similar issue in an earlier blog.
When should you cut your losses and when should you struggle on?
Sometimes external circumstances force your hand. You cannot get critical raw materials. You lose a crucial patent infringement case. You suffer a debilitating stroke that leaves you paralyzed.
But, frequently, you are in a position where you can keep going if you try. But your heart is no longer there to fight the good fight.
If you are in such a situation, look inward. Is your dejection a temporary blip or something deeper? Does the fire that once animated you still exist, or has it been dowsed? Does the thought of rekindling that fire energize you, or does it leave you cold?
Reflect on this for a few days. A few weeks is better.
If the thought of carrying on does not bring you alive, it is time for you to leave for the next phase of your life. All things come to an end including this.
Accept this gracefully and move on.
Peace!
P.S.: A very good friend and coaching client is passionate about spreading what I teach to a wider audience. He is creating a business mastermind of folks who can help. He is specifically looking for persons familiar with the world of information marketing and documentary making and distribution. Also for persons who can help him reach celebrities or influencers with a large audience. If you have ideas about this and are enthusiastic about it, please email me and I will connect you with him.
Email me at srikumar.rao@theraoinstitute.com.
