“Before I begin any venture, I first come up with a number of ideas. I then estimate both costs and revenues for each venture idea, and I then select the idea that has the highest profitability using the “Net Present Value” methodology. Managing the risk of failure is about doing a proper preparation and analysis.”

 “When I start a new venture, I always make sure that I know how much money and time I am willing to lose. Since any new venture can potentially fail, you have to know when you have reached your limits and when that happens, you have to be able to stop. As an entrepreneur, I know I will do everything that I can to make the idea succeed, but you have to be smart about managing your risks too. I have seen a good friend continue to invest money in his venture, when the market was clearly not responding favorable to his idea. He ignored everyone’s advice to stop and just kept going. Now he is financially ruined, divorced from his wife and no longer on speaking terms with his family.”

“I think entrepreneurship is a matter of instinct. There is no way to explain it, but you just know when an idea is going to work. In order to manage the risk of failure, you have to learn how to trust your instinct. Almost any successful entrepreneur I know shares this ability to sort of predict the future and somehow avoid failure along the way.” 

 “I think failure is just a way of thinking. If you want to have an omelet, you have to break eggs. No pain, no gain. The key is perseverance. Whatever happens, you just have to continue working on your idea until you succeed. Listen to any entrepreneur on Youtube and you will hear that it is only by persevering that they succeeded. Accepting failure is the philosophy of the loser.”