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Most wealth is created through a business opportunity combined with ownership. In an entrepreneurial endeavor, wealth is created by building a business that has a profit and can be sold for a multiple of earnings. Both mental and monetary wealth is the end result of a successful entrepreneurial career. Being an entrepreneur without ownership can be a nightmare-other people make the profit on your insights. The sooner an individual understands the difference between salary and profit, the better. Ownership of future profits can be sold for a multiple of earnings. Salaries and wages are compensation for work in the present, and hence are worth less than profits – which are projected into the future. All investments take place in uncertain world with risk. The investment of resources to create a business needs to be wisely balanced against the risk involved.
Keep the concept statement to one paragraph consisting of three or four sentences. The concept statement is not the business plan; rather the wording is used in business plans to easily explain the idea, product or design. Positioning is one of the hardest marketing concepts to not only understand, but to do right, as I detailed in my recently-completed seriesÂ It’s very conceptual, highly theoretical, and mostly emotional.Â Not everyone does well with that combination.
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