The failure rate for new businesses is 90%.
Even the best businesses fail.
Almost 90% of the Fortune 500 companies listed in 1955 no longer exist.
The average lifespan of a company on the S&P 500 is 15 years.
Companies fall apart because the executives forget about what got them there.
The same thing happens to countries.
If you want to watch how the west was won, watch The Revenant.
Tough, fearless, hard working, pioneers who built America with their bare hands.
No heating in the winters, no air conditioning, no infrastructure, no medical facilities.
Now life is easier than ever and people are lazy, decadent and weak.
They complain about microaggressions and expect the government to take care of them.
Everything has a lifecycle, whether it’s a business, or a country or you.
Creation, existence, destruction.
Or more accurately.
Creation, survive, thrive, survive, destruction.
Notice neutral is not in the lifecycle.
Because neutral is an illusion, you’re either going up or going down.
It only looks neutral in the moment.
When you look at the chart in hindsight, you’ll see that you we’re slipping.
Gravity brings a flat line down.
If you’re just maintaining every year, your business is failing.
You just don’t know it yet.
You might ask:
“If there’s no neutral, how do I know when I’m doing well”
You know you’re doing well when you’re going up.
You want to see hockey stick traction when you look at the chart of your business.
Consistently doing better this year than last year is good.
Consistently doing better this quarter than last quarter is better.
Consistently doing better last month than this month is best.
As long as you’re growing, you’re doing well.
And the faster you’re growing, the better you’re doing.
But neutral, or the illusion of neutral, is the beginning of the end.
Unless you get control.
Because every valley starts with the illusion of neutral.
And one of those valleys will take you out eventually, because nothing lasts forever.
That’s why it’s so important to stay on top of the illusion of neutral.
To make sure that your business cycle outlives you.
You want the money from your businesses and investments to outlive you.
If you outlive your money, you f$#@ed up.
Same goes for everything in life.
You’re either expanding or contracting.
You’re either going up or going down.
And you will have down days, down months and down years.
But don’t kid yourself, understand the reality of the situation.
Tomorrow is not guaranteed today and neutral doesn’t exist.
Stay up as much as you can, for as long as you can.
From the womb to the tomb motherf##@er.