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Les McKeown's Predictable Success Blog

First published May 3, 2020

5 Reasons Not to Launch a New Venture (as a Covid Exit Strategy) 

5 Reasons Not to Launch a New Venture (as a Covid Exit Strategy)

If your email inbox is anything like mine, it's overflowing with exhortations to launch a new business or a new venture of some sort.

Now, don't get me wrong - I'm a rabid entrepreneurship fan. As a serial entrepreneur myself, and someone who works daily with

founder/owners, entrepreneurship is essentially my life ... but ... (and it's a big 'but') ...

... I've been through 7 recessions now, and I've seen the same pattern every time: a huge spurt in new venture launches, followed by a harrowing, distressing spike in new venture failures.

So if you, or someone you know is thinking of launching a new venture as your COVID exit strategy, watch the video below, and download the brief accompanying pdf. 

If after viewing / reading you do decide to launch your own venture, you'll have no bigger a fan and supporter than me - I just want you to be really clear about what you're getting into ahead of time.

Please leave your questions and observations in the comments below!

Running time: 04' 02"     Don't forget to leave your comments below!

Read Video Transcript

You know, if you have followed my work for any length of

time, you'll know that

I'm an enormous supporter of entrepreneurship.

I started as a serial entrepreneur.

I think I launched 42 businesses before I was 35, and it was

the pattern recognition that happened during that period

period of serial entrepreneurship that brought me to the

work that is now my life's work - Predictable Success - and I

I love entrepreneurs.

I mean they are my tribe. You are my tribe - people who launch

new ventures, step out from relative safety and security to

take a big risk.

Those are the people that I love to work with and alongside.

And something that I've observed over the years is that

in times of economic downturn -

I think I reminisced about this in an earlier video -

I've been through seven economic recessions in

my time back in the United Kingdom, and now for the last 20

years here in the United States.

So I've seen this pattern play out seven times. What happens

in an economic downturn is that the number of new ventures

spikes enormously. Particularly in the recovery phase from

a recession.

But the other thing that happens is that the rate of failure

of new ventures spikes as well.

It's always high.

It's about 80% - in normal times 80% of all new ventures fail

in the first 3 years, and even that huge number gets higher

during and after recessions. And the reasons behind that

aren't hard to work out. A lot of people in an economic downturn

feel that they've really got no option - their backs are to the

wall. Now, believe me I get that.

That for a lot of folks starting their own thing is really

the only option that they have at times like this.

But the other thing that happens along side that is If I

was just to be mean and not try to think too hard of a nice

way to say this, there's an awful lot of manipulative profiteering

goes on at times like this.

I'm sure your inbox is bombarded like mine with emails from

people telling me now is the perfect time to you know, "launch

my own venture", "do my own gig", "do my own thing", when the reality

is that by far the majority of people - probably about 90%

of all the folks who start something new

in the next year at least, their new venture is going to fail.

Not because they're bad people, not because they're dumb, just

because it's not right for them. And so on a little bit of

a discordant note,

I was just going to record a brief video explaining why I

believe that it's probably not the best time to start your

new venture, but I ended up spending the weekend

putting all my thoughts together in a brief the

report. You can get it right below here

entirely free - no bait and switch and I'm not selling anything

in it, and it's not magnificently produced because I just

put it together literally over the last couple of days for

you. So if you're thinking, or somebody you know is thinking

of launching a new venture first of all God bless you and

if you do decide to go forward with it my heart will be with

you, and you'll find a mass of material here at Predictable Success

that will help you be successful if you decide to

go forward, but I want you first of all to just read my five

key reasons why it might not be the right time to launch

a new venture for you; and if you've got as I said you've

got somebody you know who you think would benefit from the

report please send them over to it. I'm Les McKeown, please

leave your comments below, tell me what you think of this

video, give me some feedback on the report. Let's make it a

great week despite everything!

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