Some companies start out with millions to back them while others are bootstrapped for the initial years. In both cases, there have been successes and failures. When you compare the importance of time, effort and money, there is no one winner.
Some steps do easier when you have access to funds while there are others where no amount of money will help if you don’t have time on your side or can’t put in the required effort. So let’s look at how each of these components can contribute to your success story.
When TIME matter the most?
There are certain situations where money can help but it isn’t the most important element always. Effort too counts but without investing time, you will not see the results you seek. Two such scenarios are:
For every business to grow, your team must be adequately skilled and must be able to keep building on their skill sets to keep up with the evolving market. Now, you could have a lot of money backing you but here, time and effort are critical.
After all, as the age-old adage says, practice makes perfect. No matter how much you invest in workshops and classes, your team’s skills will improve only if they have time to practically apply their new skills and if they make the effort to learn.
Perseverance is key. Your team must not give up on hurdles but find a way around them, troubleshoot and overcome difficulties. It is only with this dedicated effort and time that a company can grow.
In such cases, if you were to only pump money into the company, the company may suddenly have a growth spurt, however, this may be short-lived.
When MONEY is critical?
It’s true, money can’t buy success, but, it sure can help! There are some stages of a company’s growth where having money gives you a step up. In such cases, no amount of effort or time can compensate for money.
Word of mouth is a great way to promote a brand but it has its limitations. When it comes to expanding your customer base, the more money you invest, the wider your reach will be. In such cases, time and effort are superseded by the funds available. Investing in the right advertisement campaigns can help you target the right customers, generate leads and convert sales.
Bootstrapped companies have to take a DIY approach to most things. It isn’t uncommon for the same person to design products, handle sales and even make cold calls. This isn’t the most efficient use of the individual’s time. The outcome is also usually not as good as it would have been if you had been able to hire a professional.
When the company has access to sufficient funds, you can streamline efforts and hire the right people for each role. This gives the company and its services a more professional appeal.
When EFFORT count more than money or time?
A business may be backed by wealthy investors who give it all the time in the world to grow, however, unless the team puts in a lot of effort, success may be hard to come by. Let’s take a look at 2 scenarios where effort makes more of a difference than time or money.
The most successful companies can all boast of great customer relationships. Why are people more willing to shop from Amazon rather than a local reseller – because Amazon delivers products quickly, accepts returns, etc. – all customer friendly services.
Building a strong relationship with customers does not depend on money as much as it does on effort. There’s an effort involved in personalizing approaches, designing customer-friendly policies, making the company accessible, etc.
Entrepreneurs must be able to identify opportunities and build on them. You must be able to spot these emerging opportunities, analyze how they might affect your business and take necessary steps to benefit from them.
You could spend money and hire someone else to do this but there too, your money would be effectively spent only if the person you hire puts in an effort towards identifying the right opportunities for your business.
Our Two Cents
In short, growing businesses need money, time and effort to be efficiently invested. Take your office space for example. While ‘location’ is an important consideration, it may not make sense to overstep your budget just to have a swanky office. Similarly, there’s no sense in renting a traditional office that fits your budget but requires you to commute 1 ½ to 2 hours from your home on public transport (wasted effort, isn’t it).
In both cases, your time, effort and money may be put to better use by joining a Neighborhood Coworking Space. Don’t you agree?