In the Midst of Drip Footwear’s Liquidation Vusi Thembekwayo Shares Sound Advice for Entrepreneurs

In the Midst of Drip Footwear’s Liquidation Vusi Thembekwayo Shares Sound Advice for Entrepreneurs. Being an entrepreneur is not always a walk in the park. There are times when the going gets tough such that one might give up. Having noted that though, there are many successful business owners out there doing very well.

On Wednesday, many were shocked to learn that Drip Footwear was getting liquidated. The business owned by Lekau Sehoana closed 14 stores nationwide, and laid off employees. Many took to social media to weigh in on the issue, with some bashing Sehoana, while some felt for him.

Vusi Thembekwayo, known for his motivational talks, also shared his views on the liquidation. This comes after one individual asked for his input. Vusi made it clear that at the moment Sehoana and his team are going through the most, so it’s not wise to drag them.

“I have been very careful not to comment on #DRIP issue at this time. Our brother & his team are already having a plenty tough time right now, they don’t need voices of condemnation at this time. Even if some warned him & he didn’t listen, now might not the best time to pick at the wound. This is just my opinion, you all are free to express yours fam. A public failure of something that has so closely defined you (something on which you built your credentials) is humiliating to say the least. So, and maybe I am getting old, but my default is to give grace,” Vusi said.

He then shared this advice to entrepreneurs, especially the 1s generation entrepreneurs.

1. Seek out mentors as early as you can. A lot of us have made the kinds of mistakes that could have easily resulted in our businesses failing. My personal saving grace has been that I have been very intentional about seeking advice & perspectives from more experienced entrepreneurs. This is why – very publicly – Dr. Richard Maponya was a mentor when we started @MyGrowthFund. Since his passing, I have decided to keep my relationships with my mentors private because most of them just don’t like the limelight or attention. But believe me, I have them. So, if you’re reading this, find somebody with at least 10yrs of experience (the 10yrs is because you want somebody that has been through economic & market cycles) and ask them to meet with you once every 3-months for an hour coffee. IF THEY AGREE, Come with very specific questions, share what you’re struggling with – don’t bring the PR version of yourself – and then sit there and uncomfortably let them rip you apart. Rather they amplify your failings in private so you can fix them, than those failings become humiliating blind spots. Remember that by the time your failings become public, it’s usually too late.
2. Find your wolf pack. Being an entrepreneur is lonely. Being successful at something can fool you into thinking that everybody genuinely loves you, or wants you to succeed or that you’re just a “genius”. Newsflash: You’re not. Joining communities like EO (for lower revenues businesses) or YPO (for more mature businesses) is a lifeline. Take it. There are also Chambers of commerce in most towns. Join them. Don’t walk alone! It’s dangerous.
3. There is a distinction between the four stages of a business & you need to know which stage you are good at: Stage 1: starting a business, This requires innovation & self motivation. Stage 2: running a business, This requires grit & patience. Business is hard and it takes time to learn. Give yourself time. Stage 3: Scaling a business, This requires brutal clarity. I have seen folks critiquing the brother for expanding into adjacencies. But I don’t agree that he was wrong. I think he may well have been correct. It’s called “economies of scope”. And is an often used but seldom understood model for scaling a business. The core issue – from my vantage point – seems to be ‘over-trading’. What I can tell is you most businesses that survive early stage are actually destroyed by a poorly executed attempt at scaling. Scale can kill you. How do you avoid that? Refer to point (1) above. Stage 4a: Managing a struggling business. This requires an entire post on its own. Suffice to say, there are people who specialise at just this part. That’s why large companies hire a turnaround team. Stage 4b: managing a successful business is also hard because you must be disciplined in your actions & measured in your decisions. Don’t drink your own cool-aid or believe your own hype. Stay teachable. Footnote: we must resist the urge to be simplistic in our analysis of why companies fail or why founders sometimes destroy the value they have created. There are academic theses on this subject and yet it still happens. So we are all students. Recommended reading “The Science of Failing Well” by Dr. Amy Edmonson. Sorry for the lecture. VT