Reducing Cost and Pain

Small businesses get so caught up on our branding and creating a name for ourselves we forget to quantify our success in relation to Cost and Pain. The hard about business is actually doing business. I say all the time, if starting a business was only about purchasing business cards and letterhead, then all of america would be entrepreneurs and small business owners.

There is so much more however. Today, I have a wonderful friend going out to make a dream purchase of his lifetime. He has always wanted a Mercedez Benz E-Class, but more than that, he has always dreamed of walking into the dealership and just flat out paying cash for the entire cost of the car. I will say, there has been a great deal of time spent on researching the automobile purchase as well as all the ins and outs.

We've discussed the Cost of the car. Not in actual dollar value, however moreso in what else will this purchase "do" towards the goals you have put in place? Are there other sacrifices necessary for you to make this deal possible? The thought of making this purchase a full cash purchase is exciting however, can you live for the next 3-6 months if something horrible happened in your life? Are there any other bills in jeopardy of default? That would be "cost".

The Pain of a bad deal is felt for 4-8 months if not years after your decision to act. Pain is not intended to felt as an ache or physical ailment, although your heart may sink everytime you think about it, but instead Pain is the fallout or domino affect that comes after the new car smell is gone.

Do your research and do your best to predetermine what your Cost and Pain will be when you are approached to make challenging decisions. Never agree to pay or provide something you have not yet personally taken possession of yourself. If you have to commit to donating $500 to a major charitable event and you stand to get major press from, but you don't have the $500 yet, well.....don't make that type of committment.

The Cost and Pain of having to fix a broken committment like that will show up in ways that money alone cannot never repair. Your word and work ethic is everything in the world of small business. In every life, a little rain must fall, but do you really care about a flood when you own a boat?