Why 98% of New Businesses Fail


Why do 98% of all new businesses fail within their
first 2 years? (That is ALL businesses, not just MLM.)

Hill gives us a thorough lesson in economics in Chapter

There’s an old saying… “If a man will not work, he
shall not eat.”
(2 Thessalonians 3:10)

As civilizations grew, the demand for the Services of
specialized skills increased. As we entered the
Industrial Age and now, the Information Age, it became
impossible for any one person to be proficient in every
skill needed by the community.

So we bartered our Services and developed currency to
make trading Services easier.

Yet somehow, since the dawn of the Information Age, an
entire generation of Internet users have been
conditioned to believe they can earn money without
productive work or performing wanted Services!


98% of businesses are started by lazy people driven by
a Fear-based need to make money. (Fear is the root of
all Negative Emotions including Greed, Jealousy, Anger,
Hatred and Revenge.)

Our friend Jim’s uncle passed away and left Jim a nice
corner lot downtown.

When Jim was a teenager he enjoyed working on cars with
his buddies. So Jim figures a lot of folks need auto
repairs and maintenance and decides to open an auto
repair shop.

In the beginning Jim services some cars, does a good
job, and business picks up.

But Jim also like to take time off to go fishing. He
does not want the hassle of hiring, training and
supervising other mechanics.

So Jim takes cars across the street to Bob’s Auto
Repair to has them do the work. When the work is
complete he brings the cars back and bills his
customers what Bob’s charged him, plus 30% for his
profit – without any value-added services.

How long do You think Jim will stay in business?

With an MLM distributorship – You don’t invent or
develop the products; You don’t manufacture, package
and label them; You don’t process payments or ship the

So, what value-added Services will You provide to
warrant the earnings You expect to receive?

Leadership is not about awards and recognition.
Leadership is a willingness to get one’s hands dirty
and bloodied while blazing a trail to make the
followers’ journey easier.

In other words, a Leader SERVES the Followers. Service
is the engine of success and leadership.

The 98% who fail do so because their driving motivation
is Fear.

The 2% who succeed thrive and endure due to a
Love-driven desire to SERVE.

Your Friend and Servant,

Ken Klemm

P.S. “Be a Mentor with a Servant’s HEART.”
~ Michael Dlouhy

Inspired by Chapter 7 – Organized Planning
of Think and Grow Rich by Napoleon Hill

Join us for live, interactive, international discussions every week. It’s FREE!

Join Free at ThinkAndGrowRichLessons.com

Knowledge is Not Enough

fire-hand-ovenKnowledge is not enough.

You can attend schools, read books, listen to audios,
watch videos..and acquire no Skills – zero, zip, nada,

There’s an old saying… “Experience is the best teacher.”

We learn by making mistakes. Everything we learned and
mastered required many mistakes: Walking, talking,
riding a bike, throwing a ball, reading, writing, basic
math, cooking, etc.

Usually the best lessons learned are those very painful
and costly mistakes. “Careful! The stove is hot!” took
on a whole new level of understanding the first time
You touched a red-hot one.

“Wow, wow, WOW!!!!! Oh, my GAWD, that HURTS!!!!!! Huh?

The sad thing is, the Fear of making mistakes holds
folks back from learning new skills or mastering old
ones. But, wait a minute… WE CANNOT MASTER NEW SKILLS

Another old saying…”If You want to swim, You have to
get wet.”

Learning some things, like swimming, should not be
attempted without a Mentor. When choosing a Mentor,
look for these two qualities…
1. A vested interest;
2. Competence.

Someone who loves You very much does not want You to
drown, but be sure they demonstrate swimming ability
before allowing them to teach You.

Success in Network Marketing requires mastering some
People Skills.

At Mentoring For Free we teach the Personality Colors
skill. Yeah, there’s a video to watch, a CD to a listen
to and a book to read…

But, unlike anyone else I know of who teaches about
personalities, we provide live, hands-on Practice 3
times every week.

On these 3 conference calls we also teach the skill of
Talking to people…and the Critical skill of

Your Mentor will demonstrate how to have good telephone
dialogues and leave voice messages. Then Your Mentor
will let You practice doing the same, all the while
standing by You with a life preserver in case You get
into trouble.

All of us mastered these Skills this way…and, so far,
in almost 12 years, no one has drowned.

Your Friend and Servant,

Ken Klemm

P.S. “Pain is an aspect of everyday life,
but suffering is a Choice.”

Inspired by Chapter 5 – Specialized Knowledge of Think and Grow Rich by Napoleon Hill

Join us for live, interactive, international discussions every week. It’s FREE!

Join Free at ThinkAndGrowRichLessons.com