An April 1st Discussion on How to Establish a Successful Business

photo courtesy of Ugandan Insomniac

Starting a business is incredibly tough.  At times, it seems the whole world is conspired against you. Lawyer fees, incorporation fees, commercial space, insurance, etc. can create a large hole for new businesses to crawl out from.

You read about Bill Gates starting Microsoft in his garage or Chad and Steve founding YouTube at a San Franciso dinner party, but articles on their success so often neglect to emphasize the incredibly large sums of money these folks were privy to (Gates through his family & the YouTube boys through PayPal's sale), but few entrepreneurs start businesses cash rich.  For most of us, we are perennial beggars seeking the capital to get off the ground.

But, all is not lost.

Building a small niche marketing company in Las Vegas was incredibly difficult.  For the most part, I was dealing with competition that was much better funded, better connected, and more motivated.  I had no desire to stay in Vegas - only to amass as much cash and experience as possible while I was there.  As a result, I devised a time-tested method to build a business on minimal capital: gamble with company money.

Varying estimates put the failure rate of businesses at roughly 70%, typically only 1 in 3 succeed - essentially, the same odds as playing video poker at Sassy's.  On the other hand, craps offers 48% odds of winning while providing opportunity to hit the long shot.  Simple math dictates that gambling is a safer bet than starting a business, but anybody (18+ or with a fake ID) can gamble.

The secret to success is combining the supreme risk of starting a business with the relatively high risk of gambling. Worried about paying taxes at the end of the year or your employees at the end of the month?  Worry no more.  Let the tables dictate whether the government receives its share or your employees get paid.  Think you need a new laptop or conference room projector?  Nothing a good hand of blackjack can't solve.

This sure-fire method is simple to implement.  For example, at my marketing company, I would get paid directly from my clients each Wednesday.  Fortunately, my clients were located in the casinos, and so I did not have to make an extra trip.  Caesar's typically held a poker tournament Wednesday nights, and so I would buy in with a fraction of last week's revenue - recognizing the opportunity to WIN BIG and pay my employee quarterly bonuses.  After poker, the lucky craps tables are a short walk across the street to the Flamingo.  Exchange some company revenue for chips, and I was off to better office space and a website redesign.

Simple.

The best part of the Bet on Black Method is the free drinks.  How many marketing strategies or investor presentations come with an endless supply of Seven & Sevens?  When was the last time you were comped for a free breakfast after meeting with a vendor or your CPA?

Fortunately, for Oregon Startups, the Bet on Black Method is not limited to Las Vegas or Atlantic City.  Thanks to Spirt Mountain and Chinook Winds, Oregon entrepreneurs can implement this method with relative ease.  Good luck in all your ventures. and don't hesitate to bet it all on red if you are feeling it.