Dying to turn your idea into money? Take this test

You have the million-dollar idea, the gusto, maybe even the office desk and chair. But do you really have what it takes to be an entrepreneur?
Many people underestimate the steep task that is running a business; it's no wonder 80 per cent of all new small and medium-sized enterprises (SMEs) collapse within the first five years of starting.
Before you take the leap into the bitter-sweet world of entrepreneurship, it is important to get your mind right. Find out whether you have what it takes to be an entrepreneur by answering these questions candidly:

1. Are you willing to work long hours?
If you are getting into business to escape the 9-to-5 workday you might be in for a shock, particularly during the first few years. A business requires commitment and nurturing, more so during the nascent stage, much like a baby does. This could mean longer working hours and even working weekends.
Bidco Africa Chief Executive Vimal Shah once said: "(One must) be willing to put in extra hours to grow your business, and do not do it just for the money because financial success will not happen overnight."
2. Are you passionate?
Although this might seem like a cliché it does not make it less true. Running a business can make you wear out, especially at the beginning. When things look bleak and everything seems not to be working, this is where passion helps to motivate you and go on until you have overcome the slump. It is what makes you go at it again and again, day in day out, until it is a successful venture.
This unedited tweet by Chris Kirubi best exemplifies what passion does for an entrepreneur: "I arise in the morning torn between a desire to improve the world and a desire to enjoy the world. This makes it hard to plan the day...but because I want to achieve my purpose and make a difference in society, I will stop focusing on the frightful things I see when I take my eyes off my goals and instead fix them there. With that said, I'm off to my meeting." Chris Kirubi is one of the well-known investors in Kenya and chairman of Capital Group.
3. Are you willing to invest?
To make money you must spend some. You must be willing to invest in your business and this could mean using your hard-earned savings or taking a loan. Consequently, you might have to lower your standard of living and make sacrifices until the business is profitable.
Perminus Wainaina, the managing director of Career Point, says you need to have an entrepreneurship plan in order and not to quit without having tried and tested the idea, seen its viability and to have enough savings to last you until the business picks up.
4. Are you able to create partnerships?
For an entrepreneur, the ability to forge successful partnerships cannot be overstated. You should be able to create good relationships with clients, ensuring they are satisfied with your product and the level of service for repeat business. The cordial relationship should also extend to suppliers so that they are timely in their delivery. It may also be that when you are unable to pay up immediately when the accounts are due, the supplier could give you a grace period.
Not least, the entrepreneur who goes in alone might find it difficult to steer the business and may eventually crumble under the work load. It is, therefore, important to create a team of energetic like-minded individuals who share the vision for the business venture.
Tamarind Group Chairman Martin Dunford is on record having said: "Doing business in Kenya and Africa should be based on the same principles, forging successful relationships with people. Whether they are employees, clients, suppliers or vagabonds, they all have the same requirement – to be treated with respect..."
5. Are you a good planner?
Last week, I cited improper book-keeping and lack of a marketing strategy as one of the reasons a start-up could fail. A sure-fire way to prevent these is to plan ahead. Then begs the question, are you able to research and formulate a plan for all the facets of the business from production and marketing to sales? It is said that 'Proper organisation of financials, schedules, inventory and production is the oil that keeps any business engine running smoothly.'
Public Relations expert Gina Din Kariuki had this to say when asked what advice she would give to aspiring entrepreneurs: "Have a good business plan and do your research. Too many people start without doing enough research..."
6. Are you a good decision maker?
Making decisions swiftly and under pressure is important especially when you are the team leader and everyone is looking up to you.
Mike Macharia, the founder and chief executive of Seven Seas Technologies, attributes the success of his company to having the right frame of mind. He says with a proper mindset, focus and speed everything else will fall into place.