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« Venture Capital Crash Course | Main | Strategy: Look Outside Your Industry »
Tuesday
Mar172009

Keeping The Entrepreneurial Psyche in Check

A recent article in the Economist provides interesting insight on an Entrepreneur's mental approach to the world. Read it here, then consider the following approaches to making sure your psychology doesn't get in the way of success:

1) Surround yourself with trusted advisors who can tell it to your straight and keep you grounded. This will assist in cases when you're really lousy at managing others, you can't let go of control or you become excessively confident.

2) Use a written methodology for managing risk. Make sure you write down risk factors and weight them when making crucial decisions. This will help focus your brain on the concrete nature of the decision and allow you a more objective method for assessing risk. As before, seek outside input as well.

3) Know when control issues, pride of ownership or ego is getting in the way of scaling your operation. If you can't let go, re-evaluate your role in the company. Unless yours is a venture that can be run with only one employee, you're in for a rough ride if you think you're the only person in the world to "get it done." This one is particularly tough, because those who report to you won't tread on your strong personality. Again, take decision making and make it concrete. If you find yourself feeling like you're the only person in the world who understands your business, take this as a strong warning indicator.

Share your thoughts. What are some of the tricks and techniques you've used in the past to maintain a clear grasp on reality while fighting what Kevin McDonald (EVP of Alvaka Networks) calls "The Dream Killers?"

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