If you exchange gold for dollars, you receive dollars, but your gold is gone.
But if you share your wisdom even without any expectations, then:
- Your intelligence sharpens;
- Your understanding of multiples;
- Your perception expands;
- The listener gets enriched.
A service business, whether you are a practicing doctor, engineer, or consultant, is like gold trade. You (or your people) sell time for dollars.
While a product business is like a wisdom exchange, you sell a reusable unit of your visualization, married with your risk-taking abilities. You get dollars, but it costs you a fraction of the time, and hence, it can be exponentially grown!
Often, a service business is more exciting and tends to attract employees and customers. In contrast, a product business is usually dull and requires continuous learners and hustlers to be in the grind (and get unimagined benefits in many cases).
Investors want to invest in businesses that have the potential to grow exponentially. It is not about their liking but the design of how the investment business works, no matter the investment mode.
- As a founder, you decide you want to do what? Trade of wisdom or gold?
- You decide which company you want to work for as an employee or professional. Where can you learn to be wise, or can you learn how to trade gold?
Know that the investors are not in the gold trade. However, it is possible to “productize” a service business!
Think for yourself!