It’s not always easy to recognize when you are going off course. You need some guide posts to provide direction. For an income-generating auction business, look for these markers...
• High Profit Potential -- If what you are selling doesn’t allow you to make a substantial profit, you might question whether it is worth doing. Granted, you will need to test anything and everything you want to sell, and your profit may be small at first. And to complicate things further, your definition of “substantial” may be different from mine. But if your goal is to maximize your money while minimizing your time (and it certainly ought to be), you need to constantly evaluate what you are doing.
For example, an auctioneer recently sold a computer part for $136.25. He paid $130 for it and he spent over an hour writing the ad. Not a great return for his time. If this low profit margin continues, the auctioneer needs to rethink his strategy and sell something more profitable.
• Low Risk -- The auction business is by its very nature low risk. If you are spending more money than you anticipated, it’s a sign that something needs to change.
• Easy Marketing -- Marketing concerns are minimal if you...1) Research and choose the most profitable/in-demand merchandise.
2) Master effective marketing skills. If your products are not selling, this is where you need to look. There are no other variables.
• Fun -- You may think that having fun is frivolous, something you can dispense with. After all, making money requires...
... serious thinking! But you are wrong! Those people who don’t enjoy what they are doing usually don’t have the stamina to stick it out, to learn their craft.
I built a business from scratch, one in which I was making more than $100,000 per year -- and I did it in less than a year’s time. I woke up one morning with the realization that I absolutely hated what I was doing even though I was an entrepreneur and my own boss. I realized that my reasons for starting my business weren’t carefully considered, and that I just needed to make money in a hurry. I quit that business immediately.
Of course, I completed everything that was currently in process but I sought no new business and instead started doing the work of figuring out what I really wanted... in spite of all the well-meaning people who assured me that I was nuts to walk away from a profitable business.
I had some lean times, very lean times, before I figured out what I wanted to do. If I had asked myself some tough questions in advance, none of that would have been necessary.
What’s the point of this personal saga? There are two actually... the first is to emphasize the importance of the focus questions. Do your thinking before the fact rather than after. The second point is to “reframe” that dreaded word...
... mistake.
In most of our cultures, we are taught from our earliest childhood days to dread and despise mistakes. All too often, when we make a mistake we feel shame. We feel that there is something wrong with us. If there wasn’t, how could we have done something so stupid?
As I said earlier, I invite you to see mistakes as merely a necessary part of learning. Make your learning process as enjoyable as possible. Consider each experience as a lesson and a way to get feedback on your actions. Live and learn. Analyze rather than judge yourself. Have fun.
Make a plan that fits with your passion, take action and be positive to feedback. A perfect formula for success!
