You Need to Embrace Risk

Summary

• Embrace uncertainty in business—it's where the opportunity lies.
• As an entrepreneur, you need to tolerate some risk.
• We all pay a "tax of ignorance" for what we don't yet know.
• To reduce this ignorance, we must continually test and iterate.
• Aim to get past the "no's" and perceived failures; they are part of the progress.
• Don't just ask if something worked, evaluate how well it worked.

Video

How To Take Action

I would suggest embracing the unknown in your business. Remember, where there's uncertainty, there are also chances to grow. And you've got to be okay with taking risks—every entrepreneur does. Think of it like this: we're all learning, and sometimes we pay a 'tax' for the stuff we don't know yet. The cool thing is, you can cut down on this tax by trying new stuff and making little changes to see what works.

Don't let the 'no's or the times things don't go right get you down. They're just steps to getting it right. Here's a tip: it's not about if something was a success or a flop, but more about how well it went. Did it kinda work, or was it a total miss? This way, you're always learning and getting better.

Here's what you can do right now:

• Jot down what you're unsure about in your business.
• Pick one thing from that list and think of a low-cost way to test it.
• Try it out, and see what happens—win or lose, you'll learn something.
• After the test, ask yourself, "Did this work a little, a lot, or not at all?"
• Use what you learned to make it better, or try something else.

Remember, it's all about baby steps and learning as you go. Keep testing and tweaking!

Quotes by Alex Hormozi

"the opportunity is in the uncertainty"

– Alex Hormozi

"you have to have some tolerance for risk as an entrepreneur"

– Alex Hormozi

"you have to pay down your tax of ignorance"

– Alex Hormozi

"the only way you pay down that tax is that you test and you iterate"

– Alex Hormozi

"you just want to get as many knows out of the way as many failures out of the way"

– Alex Hormozi

Full Transcript

the opportunity is in the uncertainty and so as long as you can Embrace that which is why you have to have some tolerance for risk as an entrepreneur because you have to pay down your tax of ignorance which we all have to pay down every single day for not knowing the things we should know and the only way you pay down that tax is that you test and you iterate and so you just want to get as many knows out of the way as many failures out of the way because you're not actually failing you made progress it wasn't yes or no did it work or not it's how well did it work