Are you thinking about starting a business? What’s the first thing that pops into your mind? Is it borrowing money? Entrepreneur, owner of the NBA’s Dallas Mavericks and Shark Tank star Mark Cuban has some interesting advice about starting a company. His position on starting a business on a loan might surprise, and even irritate some business owners.
Every now and than, the hosts of Bloomberg Television’s “Street Smart” Trish Regan and Adam Johnson bring you key influencers whose businesses aren’t focused exclusively on the S&P 500, the Dow Jones, or the Nasdaq.
About a year ago, on June 14, Mark Cuban, American businessman and investor, best-known for his appearances on the Shark Tank was invited by Bloomberg to talk about the U.S. Economy and starting a business. Here’s what Mark had to say about entrepreneurship — checkout the first two and a half minutes of the interview.
Starting a Business: Interview with Marc Cuban
Only Morons Start a Business on a Loan
Lessons from a highly successful entrepreneur
Controversial or not, here are the key takeaways from the first two and a half minutes of this interview session with Mark Cuban…
#1. Just go after it.
According to Mark Cuban, the most important thing for new entrepreneurs is to go after it. Entrepreneurship means 100% responsibility because it’s all up to you. There’s no place for excuses. If there’s something you love to do and you’re great at it, see if you can turn that into a business.
- Worst case: You’re going to have fun doing what it is that you love to do.
- Best case: You can turn what it is that you love to do into a business.
The opportunities are endless. You just have to decide and take that leap of faith.
#2. Starting a business is more about effort; it has less to do with capital.
Most small business don’t fail due to lack of capital. They rather fail for lack of brain and effort because they’re not willing to put in the time to work smart.
“If you’re starting a business and you take out a loan, you’re a moron. There are so many uncertainties involved with starting a business; yet the one certainty that you have to have is paying back your loan.” – Mark Cuban
If you’re just starting out, you have to know that there’s a lot of effort to put into building a company.
#3. Know you industry and company better than anyone in this world.
This one actually goes back to the fundamentals: know your market and your competitors really well. If you think that your competitors are waiting for you to join the party and take business away from them, you’re naive.
Do your due diligence and prepare yourself before starting the entrepreneurial journey. It’s a roller-coaster ride with loads of ups and downs. Decide what it is that you want to do, write down a plan and get to work. And don’t forget lesson #2: it has less to do with having the necessary capital but everything to do with working SMART.
Over To You
What do you think of Mark Cuban’s advice on starting a business? Do you agree / disagree with him? What was your entrepreneurial experience so far?