How do you start a new business?

Bicycle Rentals/Bicycle Repairs

Let me tell you about my first business – a story that has valuable take-aways for any business you are considering starting.

I began Bob’s Rent-A-Bike when I was 19 and on summer vacation from college. It was a little scary because I had no idea what I was doing. I took my life savings – just $1,000 – and bought a bunch of second hand bicycles – all that I could afford.

Then, I arranged to have a motel, a gas station and a sporting goods store serve as rental locations. But my competitors had better rental locations already lined up. And they also had shiny new bicycles. Almost no one was renting my bikes and my business was going nowhere.