Any Entrepreneurs Here?

[ygolo]

My parents are immigrants, as am I. However, they came over as "Professionals" on work visa. Nearly everyone in my extended family is either an Engineer or a Doctor. Engineering is a decent fit for me, but I just don't like the lack of creative control or individual inquiry.

What's "TEC"?

Also, for financial/accounting info, are you talking balance sheets, and cash-flow type stuff, or do things get more complicated than that?

[attilla the honey]

Hi there, TEC is The Executive Committee, but there are organization like YEO which I think stands for Young Entrepreneurs Organization.

Because I was in manufacturing, I needed cost accounting, as well as tax and management accounting. When I was consulting (after I sold my first business), I was going into businesses where the owners were really ignorant of the all of the statements as well as the ratios for the banks.

So, whenever I am asked about the more important thing about starting a business, I always tell people to get an education on the financial side of the business especially the cost accounting and the ratios the bank and other lenders will expect from you.

So what is the problem with starting an engineering firm or software or commercial construction or oil and gas consulting???

I know many engineers who own oil and gas companies or exploration companies who have complete control (except over the markets)???

[ygolo]

Originally Posted by attilla the honey

Hi there, TEC is The Executive Committee, but there are organization like YEO which I think stands for Young Entrepreneurs Organization.

Thanks for the tips.

Originally Posted by attilla the honey

Because I was in manufacturing, I needed cost accounting, as well as tax and management accounting. When I was consulting (after I sold my first business), I was going into businesses where the owners were really ignorant of the all of the statements as well as the ratios for the banks.

So, whenever I am asked about the more important thing about starting a business, I always tell people to get an education on the financial side of the business especially the cost accounting and the ratios the bank and other lenders will expect from you.

I guess I don't know what I don't know. I got a 10-day MBA book and there was a whole section on ratios. They all made sense to me conceptually, but can't say I have commited them to memory.

Originally Posted by attilla the honey

So what is the problem with starting an engineering firm or software or commercial construction or oil and gas consulting???

I know many engineers who own oil and gas companies or exploration companies who have complete control (except over the markets)???

There is nothing wrong with starting an engineering company. That is a dream of mine. The main obsticle is my own self-confidence. The main reason I would want to be an entrepreneur is for freedom. But I know that businesses can actually end-up sucking-up all the owner's time on things he/she dislikes doing (which would defeat the purpose). I am not sure I am extroverted enough for the task of persuasion.

I told my parents I was interested in starting my own company and they freaked. "You're a smart guy, but you're no Bill Gates," was one phrase uttered.

There is a perception in the circle of people I am around that entrepreneurship has high risks of financial ruin, and most of them are quick to point out that I have a high-paying job already. "Why get greedy?" (I have a hard time explaining the freedom angle) If I can clearly seperate "failure" from "financial ruin," then I would be far less hesitant.

To paint a clearer a picture, by background is in integrated circuits. The main tracks I was interested in are either a Fabless Semiconductor business or an Electronics Design Automation firm. Here is a self-touting video on EDA.

The main reason, for these choices is that I don't (haven't) like(d) the tools nor the methodology used in any of the chips I've worked on (4 distinct, i.e. non-stepping chips, in three different organizations). I believe they all suffer from similar flaws in methodology. And the tools...

Quite frankly, I believe EDA tools (collectively) are the worst quality comercially sold software on the face of the planet, and that the people who use the tools are as much to blame for the crapiness as the tool makers (long, rantish story).

At the same time, chip manufaturing is subject to Moore's Second Law, and design suffers from a similar phenomenon. Imagine having twice as much data every 18 months, and using the same crappy (often one generation crappier) tools.

I would love to create a methodology+tools to run circles around more backward thinking companies, but for a business plan I would prefer a Blue Ocean approach. Beating another (large, sucessful) company, seems like poor motivation for a business.

Anyways, I could go on like that... I have a lot of internal issues to work out before I venture out.

[niki]

ygolo: just curious, what MBTI Type are you?
i just want to say that firstly, i'm really impressed (honestly!) about ur high-ambitions to start an engineering company! ..and here i thought there's almost NOBODY in our generations nowadays want to do any engineering-related job,..let alone to start an engineering company! but boy, how i was wrong after i've read ur passionate reply!
how old are you btw?

and secondly, this post of yours further enhanced my 'deep feelings/belief' that everybody sure does have his/her own place in this world!
i mean, i might be viewed as probably the most childish, not mature, idealistic guy for NOT wanting to work in an engineerring company (it was my dad's offer to me, and he got mad by my response, and started calling me all of the above) and instead want to start doing what i'm really PASSIONATE at: Music!..but then now i know that really, it's all depending on EACH person's Personality-type, too !
my "place" would easily got replaced by you, in this case !
since my Dad likes all technical things, he seems to easily assume that I HAVE to like those technical things too, which unfortunately, i'm not ... i'm very different from my dad, from Personality-type, until our perspective & opinions about many things in Life & what we value..

[ygolo]

Originally Posted by niki

ygolo: just curious, what MBTI Type are you?
i just want to say that firstly, i'm really impressed (honestly!) about ur high-ambitions to start an engineering company! ..and here i thought there's almost NOBODY in our generations nowadays want to do any engineering-related job,..let alone to start an engineering company! but boy, how i was wrong after i've read ur passionate reply!
how old are you btw?

Thanks for the encouragement. I am a 28 y.o. intp.

Originally Posted by niki

and secondly, this post of yours further enhanced my 'deep feelings/belief' that everybody sure does have his/her own place in this world!
i mean, i might be viewed as probably the most childish, not mature, idealistic guy for NOT wanting to work in an engineerring company (it was my dad's offer to me, and he got mad by my response, and started calling me all of the above) and instead want to start doing what i'm really PASSIONATE at: Music!..but then now i know that really, it's all depending on EACH person's Personality-type, too !
my "place" would easily got replaced by you, in this case !
since my Dad likes all technical things, he seems to easily assume that I HAVE to like those technical things too, which unfortunately, i'm not ... i'm very different from my dad, from Personality-type, until our perspective & opinions about many things in Life & what we value..

I too believe there is a place for everyone. I have wanted to be an "inventor" since I was about 8 y.o. I don't know how that idea got stuck in my head, but I cannot rid myself of it (Believe me, I've tried). That word has particular connotations for me (patents and money-making are just means to ends), and this has turned into an obsession of sorts. I've put myself into situations at work and school where I am severely under-qualified, just for the opportunities to learn. But in the process, I have wrecked my self-confidence. Despite the lack of confidence, my desire continues to be strong.

[attilla the honey]

Ygolo, are you kidding me, why aren't you in business already? Most entrepreneurs have partners that make them "whole", so why wouldn't you be the inventor/product design and find a partner who would be the "face" and operations of the company if you feel your introversion wouldn't work? You should look for an ESTJ with a not so strong S with connections in your industry. (2 N's would theorize all day and not get the details done.)

Yes, a business is all involving and can steal your time, but there is a time, generally around 7 years into the business, where the cash is good, the people are good and the customers are good, so you are able to spend more time on your own pursuits.

I love doing all the jobs in a business. My staff and the plant where I am president all know, I know how to do every job in the factory, so they cannot hide or do the job poorly. I love to learn new jobs and my latest is back into factory engineering and plant retooling.

Right now our factory growth is through encapsulation of electronics for the oil and gas industries. Our product is for remote control of wells. I understand the biggest issue facing the industry is how to protect the electronics from the cold and rain and our cold pour process protects the electronics.

[Schizm]

Maybe one day.

But I just had some neighbor come over and try to sucker me into some multi-level marketing scheme. He told me I could make 4000 a month part time and that other people make 20 to 30000 after being with the company for a few years. Clearly all lies.

[The_Liquid_Laser]

I would like to start a business someday. I can relate a lot to what ygolo is saying.

[ygolo]

Originally Posted by attilla the honey

Ygolo, are you kidding me, why aren't you in business already?

Actually, I have tried a few things "on the side", albeit somewhat half-heartedly. The most promising idea so far is to start a hedge fund after I get good enough at trading with my own money. If nothing else, I will learn how to trade well, which is a boon in itself. I actually pursue low-risk, home-based, part-time business opportunities on a regular basis. Each time, I get a little more disciplined.

I am also starting to firm-up product ideas for EDA tools. Each time, I have a horribly frustrating time at work with a tool, it provides fodder for what my tools will (and wont) be like. There is a particular tool-suite that I believe will be incredibly hard to beat if I can figure out the algorithms (they are rather tricky). All I need to work on this is my home computer, and a C/C++ compiler. In fact, the speed-up is potentially, so great that I may even use Java (which naturally takes advantage of parallelism).

A pair of my old classmates (both INTJs) created an "incubator" while doing their phd's with 12+ companies involved, and a couple of them did really well. Right now, they are focusing full-time (discontinued their phd's) on a social networking site.

What is your take on requiring 8+ months worth of spending money available before venturing out on your own?

That is the main reason I haven't quit my job. Actually, the advise to inventors in particular is to keep your day job till your first really successful invention.

Originally Posted by Schizm

Maybe one day.

But I just had some neighbor come over and try to sucker me into some multi-level marketing scheme. He told me I could make 4000 a month part time and that other people make 20 to 30000 after being with the company for a few years. Clearly all lies.

Not all network marketing schemes are rip-offs. Many have been around for a while and have actually made millionaires. I think Amway (now part of Quixtar) is one such thing. My cousin is actually participating in this.

You have to be careful how you approach selling your products, however. Because pressuring your friends and family for sales can lose your relationships very quickly.

Also, if you sign-up and do nothing with it, of-course you will loose your money. One of the weird things is that most of these things expect you to use the products they are selling (that's how they use the "power of the network"). So if you wouldn't use the products yourself, don't get involved.

However, I have met people who have are close to replacing their salaries, others who do network marketing full-time, and yet another who is a millionaire (through various businesses) who has also participated in many network marketing programs (not all are equally beneficial).

You have to look at it as a (non-traditional) sales job. Selling products gives you commissions. "Training employees" (a.k.a. creating a successful "down-line") in effect gives you a promotion in their organization.

Calculate your cost of membership vs. the commissions you expect (not what they tell you to expect). If those make sense, it may be a legit program. Companies use this method to sell products because it is a lot cheaper than growing a sales force internally. They get a lot of sales to people who end-up never using their product.

How many people buy and never use the George Foreman Grill, or exercise equipment, or even book-club or magazine subscriptions, and never use them?

It's the same sort of thing. It may be a rip-off, but often "scam" or "fraud" is inaccurate. jmo.

[Little Linguist]

Oh heaven help us, no!!!!

I mean, I would love to have my own business, but I think I'd kill even the most thriving enterprise....

Just wasn't made for it, I guess.