Passion does not equal profits
As we saw with the JBP, we need to make sure we're learning how to manage and lead a business even if it is our passion.
I've been thinking about this all weekend, too many people out there are being told that passion will equal profits.
While I love Li Jin and what she's been building around the Passion Economy (I also think it’s the next phase of life for entrepreneurship), let's not get it twisted...businesses still are businesses.
There are financial management skills you can learn. Taxes you have to pay. Just because it's your passion does not mean you can throw all kinds of basic principles out of the window. That is how you end up in bankruptcy because you did not take the time to learn the rules of the game you're playing.
I keep seeing this happen over and over again. This is why sometimes I say that KnowCap does the "Lord's work" because many aspiring entrepreneurs have simply not done the work of learning. They have done the work of building. Maybe even marketing. But, not the crucial point of learning.
Case in point. Have you heard about the implosion of the Joe Budden Podcast? Look it up.
It all happened because the head podcast host never took the time to learn the business. Never learned how to be a good leader. Didn't know the rules of the game he was playing and that lack of learning blew up in the whole organization's face. Will they be fine? Most likely.
Would it have been more successful if some management/leadership courses were taken or a leadership coach was hired? ABSOLUTELY.
This is why I titled the article "passion does not equal profits." Some rules are meant to be broken, not all of them. And when you break the ones that are there for a reason, the consequences may just end your foray into the passion economy.
Tread lightly. Or, do the smart thing and learn as much as you can.