Never Bet the Farm: How Entrepreneurs Take Risks, Make Decisions -- and How You Can, Too [ペーパーバック]

If you are thinking about starting a business but haven't done so before, you should read this book. Never Bet the Farm will increase your chances of success, reduce your chances of experiencing a calamity, and focus your attention in helpful ways so you'll make faster progress. The book is a quick read, easy to understand, and unforgettable in its examples and observations.

If you have been an entrepreneur . . . or worked for an entrepreneur, you have a degree in the school of hard knocks about what can come your way. With those bumps and bruises, you'll develop a future business in a more successful way. For example, you probably experienced trying to do too much too soon . . . with not enough resources. That's a natural booby trap for most entrepreneurs who have a strong sense of urgency . . . that often overwhelms their sense of caution.

While the bookstores and libraries bulge with volumes that help you think about who your customer is, how to add great value for that customer, and what you can do to provide superior products and services, there's little to help you realize where it might help you to rein in your enthusiasm. Never Bet the Farm plugs that gap in your inexperience if you are first-time entrepreneur or would-be entrepreneur.

As I read the book, I was struck at how many of the points and examples perfectly match what I teach my entrepreneurial students. Why? Both coauthors are successful entrepreneurs as well as professors of entrepreneurship, and they bring those twin perspectives to bear in practical ways.

The book's structure is a little unusual. The book is short (about 120 pages) with a lot of references (university centers for entrepreneurship, books, web sites, and citation sources used in the book). That may seem like a strange balance. I rather liked the approach. Most entrepreneurs I meet don't like to read and aren't aware of how to connect to their local universities for various types of assistance.

Within the text, you'll find 15 brief essays that develop 15 principles that the authors want you to understand. Here's a paraphrased list of those principles: See entrepreneurship as a career; successful entrepreneurs are no different from you; success secrets are no guarantee; luck will affect you; take on the minimum challenge to move forward; be inspired by more than potential profit and gain; use your worries to help you focus on what you should be doing; hold back enough financial, relationship and emotional resources to be able to make a fresh start if all else fails; spend as little as possible to make progress; check out a choice before embarking on it; don't take risks you can hedge inexpensively; get involved with others, but keep your eyes open; add a teammate/partner to make your enterprise more effective; probe unexplored territory of what others will tolerate; and decide how and when you want to leave the playing field before you start.

Of the essays on these principles, I felt uncomfortable only with the section about probing unexplored territory. Some readers may choose to see this section as encouraging you to disobey the law and to not honor your agreements where you can get away with it. I don't think that's the authors' advice, nor do I think those paths are a good idea. Instead, they are trying to help you keep an open mind.

Many people will argue that there are success principles that apply to becoming an entrepreneur. Certainly, there are things you can do that will improve your odds (which this book describes) . . . but there are no guarantees of success. I particularly liked the way this book balances the requisite faith in your own abilities and vision with the need to be practical that a lot of things can go wrong . . . and probably will.

I thought that the examples drawn from Sir Richard Branson's early experiences as an entrepreneur were unusually apt. Most people don't like how he got started. If you like those examples, I suggest that you also read Losing My Virginity by the boundless billionaire which tells more about his early days.

I also encourage you to connect to your local university. Chances are you'll find resources there that will speed your success.

In Mr. Panah Mosaferirad's review, (a "Spotlight" review based apparently on his penchant for reviewing books and products) he seems to have an agenda in negatively comparing Never Bet the Farm to another book, The Entrepreneurial Mindset. They are completely different types of books! NBTF states upfront that it is not a textbook, but an easy to understand tool for regular folks who have business ideas but are intimated by all the Jack Welch-like profiles of uber-entrepreneurs. I'm sure The Entrepreneurial Mindset is a fine book, which seems tailored to corporate types who are comfortable with MBA concepts, and indeed it clocks in at 400 pages which to Mr. Mosaferirad's mind makes it better. He even criticizes the paper-stock used for NBTF, which is pretty strange. NBTF, however, is intended to demystify the process by which people with creative business ideas can overcome their fears and embark on an entrepreneurial career. The authors, who blend both academic and entrepreneurial expertise, apply their own experiences as well as anecdotes from well-known entrepreneurs to outline the decision-making tools necessary to take smart risks. The last section of the book is an Entrepreneur's Guidebook which identifies entrepreneurship schools/centers throughout the nation, a list of websites focusing on national business and government organizations, and recommended entrepreneur books organized by sub-category. These resources are invaluable to anyone starting out. I wish I had read this book when I opened my retail store 10 years ago, it would have saved me a lot of grief (and money)!!!

I thought this book was great, very instructive, innovative and inspiring.