The Business Lifecycle- From Launch To Exit

What are the different levels in business and what is the life cycle?

If you have found that running a business isn't freedom at all; that it's even more work and hassle than a regular job, the chances are your past experiences have all been with Level One or Level Two businesses.

Level One

A Level One business is the fledgling company. It's really the beginning point of a business. There is nothing wrong with a Level One business, provided you only use this level as a temporary launching pad where you put together your business plan and get into action. Any businesses that stay at this level then the business are probably more of a hobby or a fantasy than a real business.

Level Two

A Level Two business is nothing more than owning a job. If you don't show up to work, there is no money. It's really not business ownership, so much as it is being self-employed. You've got all of the long hours and feelings of lack of control you had as an employee, except you don't have just one boss you're trying to please anymore; you have a whole bunch of them. Only now we call them customers. Plus, all of the decisions, all of the risks, all of the responsibility, all of it rests on your shoulders. Every day you have to prove yourself and keep going because if you stop, it all ends. That's what having a Level Two business means. Contrast this to a Level Three business.

Level Three

A Level Three business is one where your business works without you needing to be there and work in the business each day. In fact, the criteria of a Level Three business is that it operate smoothly, efficiently, and profitably without needing the daily input of the business owner. When you build a true Level Three business not only will it make you wealthy, but it will help set you free.