The “Newton’s cradle” error that kills businesses

I’m easily amused.

Because of this, I love Newton’s cradles – I could watch those little balls go clink-clink-clink all day long. Even better, I use Newton’s cradles as a sort of crystal ball. They tell me the future. How?

Like this:

If I walk into a brand-new, just-set-up business and see a Newton’s cradle on the owner’s desk, I can predict with confidence…

That business is going to fail.

It’s not the toy itself that’s the problem.

It’s the attitude behind it. It shows that you’re more interested in the “trappings” of appearing corporate and successful than you do about the boring work stuff. Same goes for anything designed to impress – art, water features, life-size mounts of the business name and logo…

And especially advertising.

If your advertising is clever and creative, then it’s designed to impress rather than sell. It’s basically art. This is fine if you have the money – I’m all for indulging – as long as you don’t kid yourself. It’s not an income-producing investment. It’s art. It’s an indulgence, nothing more.

Here’s my theory:

In our personal life, we might not buy a Newton’s cradle… or a rolling ball sculpture… or spend several thousand dollars to run a clever picture-joke in the paper.

When we start a new business, on the other, suddenly these things aren’t mere expenses.

They’re “budgeted for.”

And that gives our inner child a sense of legitimacy to go out and spend that money. That the crux of the “Newton’s cradle” error – a false sense of legitimacy.

Don’t get me wrong. I’m not telling you what you should and shouldn’t spend money on. We should all be allowed to do whatever we like. It’s our money, after all. All I’m asking is that we’re honest with ourselves. Is it an expense that will help grow our business?

Or is it a mere indulgence?

Only once we’ve answered that question can we make a truly informed decision.

Sincerely,

Gil-Ad
Share
This entry was posted in Business General. Bookmark the permalink.

Comments are closed.