Daniel Nathanson, Ph.D. from UCLA Anderson Graduate School of Business, explains the importance of building a team before starting a business. He gives important tips on what to look for in business partners and the role they play in attracting investors.
Building a team is absolutely an essential part of building any real business, and how you do it and who you have on your team is critical to the success of your business. A huge mistake many entrepreneurs make is thinking they can build a business all by themselves. In fact, many people that are attracted to entrepreneurship have a mistaken belief of what an entrepreneur is or should be. I call it the Superman complex. They think of themselves as standing at the top of a mountain, the breeze blowing through their hair, with a cape on and a big E on their chest, looking out at the horizon all alone. Well, that's what too many entrepreneurs think. They think, “I'm an entrepreneur. I can do it all myself. I can take all the risks. I can do all the work. It is my idea, and I will make it happen.” In reality, your team's what's important. You will need a team if you want to build a business of any significance. The amount of change and the pace of that change in today's world require a team of people. Investors look for a team, and I am purposely using the word team here and not simply employees; there is a big difference! I'm talking about you and a partner, or a few other key individuals, who share your vision and your passion for making the venture a success. It doesn't have to be a large team, but they have to work as a team, sacrificing for the good of the whole.