/// Why Too Much Enthusiasm Will Kill Your StartUp
Enthusiasm is a vital component of starting any business. Your passion and hope will keep you going when everything is stacked against your company. However, it will also blind you to how fast a revenue or product development goal can be achieved and can kill your business. For startups, it typically takes twice as long and four times as much cash to achieve a specific goal than originally planned. This means that the entrepreneur needs to realistically assess if they have enough money available to actually reach the end goal. Risk can be minimized by scaling it back to achieve a minimum viable product or service.
Eran Laniado, a VP of Business Development & Strategy of a NYSE traded firm, wrote for Venturebeat that unbridled enthusiasm will cloud an entrepreneur’s judgment. He suggests to ask the question, “If a friend of mine were running this startup, how would I advise her?”
Too much enthusiasm can also be a real turnoff to your new employees. While you may be willing to bet your house on the new business, don’t assume that your employees want to take that same risk. If you convince them to leave a job and come work with you, explain the huge risk they are taking (and many times for far less of a reward). By doubling timeframes on when promised goals can actually be achieved, you will minimize their enthusiasm fading too rapidly.
American Express Open Forum – Barry Moltz