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Bird in Hand Principle

You have to create solutions with the resources available here and now.

Entrepreneurs start with what is available; whatever is available right now is your bird in hand. This is also part of designing your failure and affordable loss: looking at what you have because that likely what could be lost.

The bird in hand principle is guided by the following: Who you are? What do you know? Who do you know?

Who are you?
In order to be successful the first thing you need to find out is who you are, which will guide you on the right path. If you are a great thinker you will design a great product but if you are a great salesman you will be looking how to sell the product. So basically you need to find out who you are, your strengths and weaknesses. Are you a salesman, designer or a management person. Who you are is important. As an example, if you are an introvert or anti-social then you probably not going to want to knock on doors the whole day in which you should not at a not contact strategy such as doing business over the internet.

What do you know?
A very important question is what do you know, in what industry (or hobby do you have experience)? Because that knowledge can be used to make money.

One of the best ways to get skills is via work experience. Work experience will also give you product and industry knowledge.

What you know is not just limited to work, another way to develop contacts is via hobbies or clubs which can hone your abilities but may also give you the tools required to start a business.  What you know also makes it easier for people to help you as you require less effort to be helped.

Who do you know?
The people you know can help you with advice, skills, introductions or referrals into industries. These people can help you understand if an idea is for you or not. If they tell you x is wrong, you can correct x, then you can get feedback and they will tell you y is wrong as wrong which you can correct. And this will help you prevent costly mistakes.
The people you know can help you with experience and connection. But there is another part of who you know that can also help you in your business: friends, family and fools. Friends, family and fools are usually where entrepreneurs will get their first funding from or their first clients from. These are the people most likely to support you before you gain traction. Less than 1% of startups raise venture capital and the “three f’s” are often an entrepreneurs lifeline starting out to get the idea off the ground.

One of the best ways to leverage who you know is contacts you have gotten via work.

Tip: You can use our community to get this kind of help.

As you can see from this, entrepreneurs don’t necessarily start with a given goal; they start with who they are, what they know and whom they know.

The bird in hand principle is considered the foundation to build your new business on. If it is built on a solid foundation it will be far more sustainable.