Starting a new business can be a life-changing event. Whether your friend is starting a business for personal growth or financial gain, they will benefit from having a great support system throughout their journey to success.
Entrepreneurship can be an emotional roller coaster of uncertainty. Not all businesses are profitable within their first year. It will require tough skin and mental fortitude to weather the storms ahead. New entrepreneurs who have not yet built a relationship with other entrepreneurs may turn to friends, family or the local community for support. Having a reliable friend to turn to for motivation means a lot to someone dealing with the pressures of exploring uncharted terrain.
Your friend may feel disappointed by the lack of support and enthusiasm from close family and friends. Expect them to feel overly optimistic about the quality of their ideas and ability to compete in their industry. Instead of poking at every hole or a grey area, say supportive words like, “sounds good so far” and, “I can’t wait to see the final product.”
Being the decision-maker comes with the responsibility of being accountable for when things go wrong. Making mistakes is a normal part of our learning process. Overcoming failure builds confidence and brings out a person’s best.
Entrepreneurs need to be expert problem solvers with the flexibility to provide quick solutions to problems as they arise. Don’t worry about being the one to solve all their problems. Let your friend find a seasoned mentor or hire professional help through a consultant. Even with the best advice at their disposal, people can still fail. Avoid being in a position where your friend could blame you for their failures.
To be successful, they will have to make new friends and learn from the mistakes of others who have already gone down the same road. Here are just a few ways you can spread the word and support your friend’s new business.
Show Interest and Leave Testimonials
Being a first-time business owner can be nerve-racking and exciting at the same time. Your friend will be eager to share ideas and speak about their new business-related influences. Knowing the short-term and long-term goals of their business will make it easier to understand how you can help.
You may not share the same level of passion, but try not to seem completely disinterested. Lend an ear by listening to the ideas your friend has to share and give constructive feedback from a consumer’s perspective if the product or service is something you’ve purchased in the past.
Try your best to keep up-to-date with the progress of their business. It is as simple as cheering your friend on when they do well or offering small words of encouragement when they struggle.
Refer New Businesses
Understand the core products and services their business offers. Keep your friend’s business cards or business contact information on you. It can be tricky and tiring having to describe someone else’s business over and over. Allow your friend, as the owner or decision-maker, to sell their own business.
By providing a business card, phone number, or website link to potential leads, you’ll avoid misrepresenting your friend’s business. Find out who is their ideal customer and what to say if you find a customer that fits the profile.
Ask what details you should gather? Is the order too small to make a profit or too big to deliver? Wait until your friend has a track record of delivering similar size requests before diving in and referring people who could take issue with you if a business dispute arose.
Help with Simple Business Tasks
Offer to help with simple business tasks. Stick to the jobs you’re comfortable doing and within your skillsets.
Keep your friend company at networking events, conferences, business events, job fairs, or trade shows. An extra hand goes a long way. You can be the additional eyes needed to protect merchandise during a washroom break, lunch break, or while your friend closes a sale.
When attending a business event, be sure to look the part. A stranger will likely see you as a representative of your friend’s company, even if you are only tagging along to assist. Be sure to present their business in a good light. If a stranger asks a question, know the basic answers and share testimonials when the opportunity arises.
Even if your friend turns down your help, the fact you offered your help is evidence of your willingness to support their dream.
“Like” and “Share” their Content
The algorithms of search engines and social media keep evolving and becoming more complex. Even when entrepreneurs do their best to follow best SEO practices, results still vary. Not everyone’s content will get the same benefits. Less relevant content often translates to less priority or limited access to followers. Not every alert or post is guaranteed to be seen by your followers.
When you “Like” and “Share” posts online, your friend benefits from free promotion and gains access to a larger audience. If you leave a positive comment or a glowing review, it adds to their credibility and helps them gain followers. Every bit of promotion goes a long way to building awareness about their brand and making the content more relevant to search engines.
Don’t Demand Discounts
Asking for discounts is not helpful for a start-up that is likely already offering lower rates to build a portfolio. Demonstrate support by volunteering time, paying regular prices for items, and promoting them to others every opportunity you get.
Every dime you spend is an investment in your friend. The money goes towards their well-being and the longevity of their business. Every business will naturally have seasonal promotions, so there is no need to ask for discounts. Just be patient.
Mixing Business with Pleasure
There is no clear answer to whether mixing business with friendship works. Whether or not a friend is an official part of a business may make a difference. We can’t forget that family businesses do exist, and friends have become partners in successful start-ups. So some people can benefit from close relationships and friendships that bring a network of resources to the table. To many, having blurred lines when it comes to business and friendship can be a hindrance to business.
Be a friend that adds resources instead of just depleting them with personal favours. Consider the financial strain a start-up can have on someone with limited resources. Many entrepreneurs invest their savings or money from their nine-to-five jobs to get their businesses off the group.
When planning a social gathering or outing, be considerate and include a few cost-effective alternatives. Try to give sufficient notice so your friend has the opportunity to schedule ahead or budget if needed. If you’re offering to assist with their business, work hard like you would any other job. If it’s a challenge for your friend to stay focused and meet goals when you’re around, it won’t be long before you’re not.
Avoid Personal Loans
Be cautious when a friend requests financial support for their business. A sure way to end a fantastic friendship is over a money dispute. If your friend is not generating enough revenue to pay you back within a reasonable period, then you’re setting yourself up for a stressful ordeal.
A loan is a business transaction best accompanied by a written agreement with details of repayment. Never give more than you’re willing to lose. A rule of thumb is if you can’t survive without the money you are lending for at least one year, then don’t lend it. Also, consider the interest on the money you lend. Getting back your initial money may not be enough to cover the cost of you lending it.
It is not easy to project sales for a start-up business. Likely, their business model isn’t proven. A true friend wouldn’t encourage you to put yourself in a high-risk situation. Their failure could leave you with debt that could jeopardize your credit score. If circumstances outside their control prevent your friend from paying you back, you’ll be the one stuck with the short end of the stick.
Give Useful Gifts
We already buy gifts for friends on birthdays and major holidays. If your friend is an entrepreneur, it may be an excellent opportunity to see if you or your group of friends could help purchase something useful for their business. You can buy used commercial equipment that is still in excellent condition.
Even thoughtful gestures like offering to share a home-cooked meal are a great way to make sure they do not neglect their health and have an opportunity to catch up on the friendship.
You don’t need a large amount of cash to show your support. All you need is a little effort, a bit of creativity, some understanding and a lot of patience. Compromises will need to be made on both sides to maintain and healthy balanced friendship.
Help Them Relax
Having the drive to produce results in a business despite difficult circumstances can be a challenge. We don’t ask for the worst, but we should prepare for it. People inside and outside the company depend on a business owner’s ability to deliver, which is another reason why physical and mental health is so important.
Scheduling activities with your friend to help them relax is a great way to help out. You can go golfing, cycling, camping, or take a road trip to help them experience a different work environment. Most places have internet access, which means your friend can relax while still staying in the loop of things for their business.
There are many ways to support your friend’s new business, but only you know your friend well enough to select the best strategy. It doesn’t take much to show support, and every little bit counts towards helping them reach their goal.