Jim Beach, Author Of School For Startups
Our next CashFlowShow – Direct Sales Radio show guest (Wednesday, December 21, 2011) is Jim Beach author of the School For Startups.
Entrepreneurs are not the big risk takers according to Jim.
Especially direct sales entrepreneurs who have the best of both worlds. Support of the home office, a proven product line and the ability to control their lives make direct selling a low risk business.
Entrepreneurship offers a safer path with more control. Jim’s book is about success and the process of becoming a successful entrepreneur.
Join us on the CashFlowShow – Direct Sales Radio as we interview him this coming Wednesday.

Direct Sales & Low-Risk Entrepreneurship
I believe entrepreneurship is not about creativity or risk.
You are crazy, most people will say!
They think that entrepreneurship is entirely about creative people doing risky things.
Direct Selling Business
Let’s see if by using the direct selling business model we can decide what entrepreneurship is.
Let’s Start A New Direct Sales Business
Lets pretend we decided to start a direct sales business of our own… Restaurants are the least social media aware businesses in America. Most good restaurants have websites, but very few collect email address, fewer blog, and even fewer restaurants tweet.
A zero risk, zero creativity business idea that I tell people, especially young people, to start is a restaurant social media consulting firm.
Go into a restaurant and ask for the manager (it works best between 2 and 5, when business is slow). Say to the manager: “For $200 a month I will be your social media manager. I will start the process of building a fan base online and communicating with them via Facebook and Twitter, and even text messages to phones.
On a slow Tuesday night, you call me or text me, and I will send out a tweet announcing half-price wine for the next hour, and I will help drive revenue for you.”
I think if someone tries that at 10 restaurants, they will sell 2 or 3. And then it would be a business! Not creative. But innovative, not a social media company, but a restaurant social media company. No risk, as no money is needed upfront to start this business. The only thing invested is the time in marketing directly to your potential customers.
The restaurant is your customer and in this pretend business we marketed to them, the customer, directly. That is what direct selling is.
The Entrepreneur School For Startups
In School for Startups, we teach that the best way to succeed as an entrepreneur is to reduce risk.
The direct sales business model is a perfect example. Your corporate support company has taken all the financial risk and then provided you with a proven brand.
The best way to reduce risk is to know what your customer wants before you invest money. In home party plan direct sales businesses, the company that you sign on with has already done the research and created a product line that has desire in the marketplace.
I started a business in 1994, a summer computer camp for kids (the business grew to $12 million in yearly revenue by 2000). Before I incorporated, I ran ads in the local papers to see if there was interest. Before I printed a brochure for those interested, I made sure there were a lot of people interested. Risk was reduced by my first activity, which was going directly to the customer.
As a direct sales consultant you have the best of both worlds: the fun, excitement and passionate ability to create your own life working from home and the support and guidance of a major established corporation.
So what is entrepreneurship then? It is solving problems (like slow nights at a restaurant). People pay to have their problems go away.
As a direct seller each consultant can stand out by becoming unique in solving problems for their guests. How to know their problems? Ask them. Directly.
Entrepreneurial Spirit
What sets you apart from the other consultants in your company? Tell us about YOUR entrepreneurial spirit in the comment box below!