“I have never gone into any business purely to make money. If money is your only motive, then I believe you shouldn’t launch the business at all.”- Richard Branson.

Entrepreneurship is trending. The social media landscape is filled with narratives of successful entrepreneurs who are living their best lives while running their own businesses. Who wouldn’t want to be afforded the flexibility of working on his/her schedule while not being answerable to anyone? Who wouldn’t want to emulate success stories of glamorous serial entrepreneurs? For these reasons alone, it is completely understandable why taking the leap into entrepreneurship is a very enticing prospect.

However, when deciding to pursue entrepreneurship or to implement strategies for your business, it is important to answer one pivotal question: Why are you in business?

There is no right answer to this question as people launch businesses for a plethora of reasons. Most of the entrepreneurs I have encountered fall into one of the following categories:

1. Legacy entrepreneurs– Persons born into an entrepreneurial family or who may have inherited businesses.
2. Social changers– Persons who believe that their businesses contribute to a greater good. They find fulfilment in serving customers.
3. Need-based entrepreneurs– Persons who need entrepreneurship to satisfy a need in their life. For example, the need for income after job-loss or the need for personal satisfaction after being frustrated with conventional employment.

Of course, there are circumstances where a person’s initial motivation for starting a business may be a combination of all three categories. However, every entrepreneur should be able to identify his/her ‘why’.

Knowing why you exist within the entrepreneurial world should be the cornerstone of your business. Without identifying this key piece of information, you can easily find yourself merely going through the motions in your business.

In my case, I am in business to help entrepreneurs remove barriers to growth. Applying research to solve problems fulfils me. It’s what makes me happy. It doesn’t hurt that at this stage in my life, I needed to expand my career options and launching my own business was a viable means of doing so.

When I do consultations, I always ask potential clients:

“What do you wish to accomplish?”

“What are your goals?”

“What is the vision for your business?”

“What does success look like to you?”

Your reason for being in business serves as a reference point for all operations. It allows you to manage your business with purpose. It governs the processes, people, and systems within your business. Identifying your motivation is the first step to developing measurable goals for your business. Once your goals are identified, you can accurately define the strategies and tools required to achieve them.

Understanding your ‘why’ also enables you to identify your ‘who’; i.e. your ideal client. To be a successful entrepreneur, you need to let people know exactly how you serve them. They need to understand how your products or services can solve existing problems in their lives. Customers do not flock to your business with the intention of helping you run a profit. They do so because your products or services are of value to them.

Of course, money and profit are going to be components of your ‘why’. It is obvious that you should aim to make money as an entrepreneur. Yet, being laser-focused on money is an easy way to manage your business without a clear purpose and direction.

I tend to agree with Mr Branson that the pursuit of profit is not enough to create a sustainable business. In any event, profits don’t just happen. They are the by-product of motivation, strategy, and timely execution. Your ‘why’ puts all these into perspective.