26th February 2019
Why do some people start businesses and become rich, while others never make the attempt? It is not a question of IQ. There are many bright people who never step beyond a reasonable monthly wage because they don’t set up their own business. And there are plenty of entrepreneurs who are not overly IQ endowed and yet make plenty of money.
One difference between entrepreneurial success and those who never take the risk is tolerance of failure.
Many people never start their own business, not because of a lack of ability, but because they cannot bear the idea of failing.
Only those that can stomach the idea of failure can become successful in business.
This is an important concept in any workplace. The above observation applies in all situations. For example, say you are in a position of authority in your workplace, unless you explicitly reward genuine effort and do not punish failure when the person makes a real effort, you will also not experience outstanding success.
Paradoxically, tolerance of failure breeds success. If the individual self-censors then that same person will not take the risks needed to succeed.
It is not an easy task, but with goodwill and wisdom, tolerance of failure can transform the fortunes of a business.