Due Diligence

Proverbs 14:15

A simple man believes anything, but a prudent man gives thought to his steps.

My first foray into private business ownership has been an unmitigated failure. I thought with good motives, a business degree, and ability to raise capital, I'd be an instant success. I was wrong. There are two words that I learned in business school that I understand a whole lot better today, "due diligence". If had done my due diligence, I would have read the financials of the businesses that I purchased more thoroughly to notice their negative revenue trend line. If I had done my due diligence, I would have read my lease agreements closer to understand the terms of termination without cause. If I had done my due diligence, I would not have jumped into business because money became available, but would have given thought to the timing of when to open each location and given more time evaluating the profitability of one business location before committing to two additional ones.

I believed everything and was left with nothing. Had I done my due diligence, I would have been more thoughtful. Due diligence is my new favorite phrase.