Three Feet from Gold – Start-up TrapSadaf Abbas
Three Feet from Gold – Start-up Trap
Three Feet from Gold – Start-up Trap Is an article that focuses on Mr. Darby’s gold-digging experience. How is it made a huge mistake and what we can learn from it?
As a new business owner, this particular trap fills strongly with many star-up individuals who have once launched their business, you are bound to worry about their business. They wake up in the night thinking about their paychecks, receivables from Debtors, Bank loans, etc.
Three Feet from Gold – The background of the Story
One of the most common causes of failure is the habit of quitting. When one is overtaken by temporary defeat. The individual is guilty of this mistake. Back in the gold rush days of the US, there was a man named R.U Darby. He heard potential goldmines in his area and was caught by this gold fever.
He never heard about gold being discovered in the location we were heading towards. The task was difficult but he was definite about the gold.
After weeks of labor and hard work, he did discover shining ore. All he needed was machinery to bring ore to the surface. He covered up the mine and went home and started arranging funds to support machinery costs. Once funds were arranged, he went back to the mine. Later, something happed and all the hopes for gold disappeared. It was found out that there is no gold there. He drilled on desperately trying to find the gold.
One R.U Darby lost all hopes he sold the machinery to a scrap man at below market price. The scrap man was smart he called a mining engineer to look at the mine again and do little calculations.
The engineer concluded that the project failed because the owner has a lack of knowledge and relevant skills. His calculations proved that the gold is just three feet from where Darby had left drilling and that is exactly where the gold was found.
The scrap man earned millions of dollars from it because he knows it is beneficial to seek professional consultation.
Years later, Darby not just paid all money that he borrowed made more money than the scrap man.
How it is possible?
Darby later discovered in life that his burning desire for gold can be transmuted into other businesses. He started a small insurance company by remembering that he just lost gold because he quit three feet from the gold. He analyzed his mistakes and benefited from this experience my simple method of saying to himself “I quitted three feet from gold, but I will never stop because a man says “no” when I ask them to buy insurance”
This changed is life completed and a small company with only 50 employees was able to sell 1 million dollar life insurance. He thanks this for the experiences and lesson that he learned about equitability and learning from mistakes
What we can learn from the story
Failures are the first stage of success. There are a few lessons new start-ups can learn from the story.
- Always value teamwork.
Teamwork is very important for any business to grow and succeed. Best ideas and solution comes with discussions and debates. A business needs to work in a team.
- Passion for business is not all you need
Like Mr. Darby, he had all passion and desire for work and his gold search. However, it is not all you need. Proper planning and strategies play a vital role in your business. Without planning any desire or vision is unless.
- Expert Opinion or Consultation
An expert consultant can identify all lope holes in your business and take measures accordingly. Sometimes it is difficult for business owners to access their business. A business consultant works with the client on various aspects of planning, strategy, policy, and problem-solving tools.
- Learn from mistakes
A great lesson learns from the incident is that even your business fails do not panic. Keeping planning and track of where are the loopholes. Acknowledge your errors make a new plan and create a list of why you do not want to make mistakes again.
Plan and Avoid this Trap
Something which new start-up entrepreneurs can do to avoid this pain of start Up mistakes and survive is if they:
Make a proper Business Plan
Financial Model which predicts futures projections
Hire professional business consultants.
Evaluate and re-adjust their plans
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