Business mentors can be crucial for entrepreneurs. People who have been there – who can offer practical advice and emotional support when required – can mean the difference between success and failure for many companies.
Recent research from software provider Sage found that startups without an official mentor were twice as likely to go bust within their first five years than those with a business adviser.
“If I hadn’t had mentors, I wouldn’t be here today.” This is what Indra Nooyi, one of the most powerful chief executives in the world, has said of the advice of others. She has been at the helm of PepsiCo for the past 15 years. “I’m a product of great mentoring, great coaching,” she adds.
In the Scale-Up Report of 2014, Sherry Coutu, who advises the government on helping fast-growth companies to flourish, said mentoring was one of the most effective ways to help entrepreneurs reach their potential.
“Access to investor capital, debt and equity finance, leadership skills and business mentoring determine whether companies can grow and how fast,” she said.
The value of a sounding board
“Starting a business can be a very lonely place – particularly if you are an entrepreneur embarking on the journey alone,” says Paul Lindley, founder and chairman of Ella’s Kitchen, the British baby-food brand, and founder of kids’ toiletries firm Paddy’s Bathroom.
“It’s easy to feel that no one understands how much you’re juggling – from the challenge of acquiring so many new skills to the pressure of making vital decisions on a daily basis,” he says.
“I have found that other entrepreneurs, who understand the struggle of building a business from scratch, are often eager to offer support, advice and encouragement. Never underestimate how much you can benefit from the experience and ideas of the people who’ve done this before you. I found there is huge power in building and investing your time in such a network.”
Mentors don’t have to be millionaires or top chief executives, he adds. Sometimes entrepreneurs just need a sounding board – someone to help them see a problem or opportunity from a different perspective and overcome setbacks.
“Family and friends can play an absolutely key role,” he says. “Sometimes just talking through a big decision with someone, whether they have the expertise or not, can be invaluable. I know that I owe much of the success of Ella’s Kitchen to the sage counsel and empathetic ear of my wife – right from the early days of starting the business at our kitchen table.”
Syed Ahmed, former star of TV show The Apprentice and founder of eco technology company Savortex, which manufactures smart hand dryers, created his own mentoring group a few years ago, made up of several successful entrepreneurs, to help them advise each other and make better business decisions.
“The mentoring group acts as a leadership team to me and the company to help us avoid potential pitfalls and guide the company to success,” he says.
“This allows me to make decisions based on a collective thought process of relevant experiences. Each mentor has overcome challenges and achieved success within the critical business areas that matter to our business and market.”
Finding support
But how do you find the right mentor for your business and how do you structure the relationship to bring most value?
There are many ways to find a mentor in the UK. There are portals to help match entrepreneurs who have been there with up-and-coming company founders, such as mentorsme.co.uk, a free service featuring around 30,000 potential mentors.
Charities including The Prince’s Trust also offer free business mentoring to those who qualify. And there are companies offering mentors who are paid for their time. These should not be discounted, says Ahmed, because both parties are motivated to achieve results if there is a financial incentive.
Lindley’s mentoring relationships have come about through a chance introduction or meeting, and through research.
“It’s important for budding entrepreneurs to get out and network – you never know who you might meet and how they might be able to support you in the future,” he says.
“My experience has shown that people are often more willing to help than you might imagine – it’s always worth asking for a meeting or a phone call, even if the people in question seem far beyond reach. What’s the worst that can happen?”
Ahmed met his business mentors at networking events or through LinkedIn. Alongside real-world mentors, he has two imaginary ones – James Dyson and Richard Branson. “I ask them questions from time to time if I’m really stuck,” he says. “Both inspire me and have overcome challenges to create hugely successful enterprises.
“Based on their relevant business skills, I pose imaginary questions to them. Sounds crazy I know, however it really is a creative thought process and very helpful. You should try it.”
How to get a mentor
- Try charities such as The Prince’s Trust
- Online portals such as mentorsme.co.uk can help too
- Don’t discount paid-for mentoring
- Ask for a meeting, even if the person appears beyond reach
Content on this page is paid for and provided by Hiscox, sponsor of the Adventures in Business hub on the Guardian Small Business Network.
