Are you in business, or do you have an expensive hobby? There's one way and one way only to answer that question: profit. If you consistently make a profit then you've got a business.
If you consistently fail to make a profit, then you've got an expensive hobby. There are those that would say that there are more worthy goals than making a profit. What about making the world better? How about being of service to people? World peace, anyone? All worthy pursuits to be sure! Certainly I would agree that if you're not making something better for someone, there surely can't be much soul satisfaction in your pursuits.
But a business must make a profit. Period. No discussion. Not optional. Without profit, you may be spiritually in the right place but your business will be no earthly good to anyone.
At the height of the dot-com internet boom in the late 1990's, the business world was buzzing about cutting edge web sites and cool companies with fooseball tables in the break rooms and employees who stayed there 24/7 and pizza parties and, most important, the millions of "eyeballs" that they had captured in the form of visitors to the sites. Investors couldn't throw money fast enough at these companies. They raised tens of millions of dollars purely on the strength of visitors to the web sites.
Only one thing was missing……profit. No one was buying anything on these sites. And eventually the venture capital money ran out and the pizza parties in the offices stopped and the foose ball tables gathered dust and the employees had to go find real jobs. In companies that could make a profit.
People say the internet changed everything. It certainly changed a lot, but a couple of prehistoric business truths survive.
1) At some point somebody's got to buy something.
2) To survive you have to make a profit.
Profit isn't an option.
Profit is what enables us to make dreams come true for ourselves, our employees, and our customers.
Keep your eye on the ball. And the ball is always profit.
Contact Joe: Joe@joeCalloway.com – www.joecalloway.com