In 2017, I tried to start a business, Poplar, LLC.

It ended up failing. Why did it fail? Probably the biggest reason is that starting a new business always takes more capital than you think. And if you don’t invest in the right things at the right time, you could run out of money, and it is best to close the business. Having enough capital is rarely an option when you start a business, so you have to have a backup plan if things go awry. If you don’t have a backup plan, then you have to shut down the business.

The business was renting out a camper on Airbnb near the Grand Canyon. It ended up making revenues, but in the end, it had to be shut down, due to not having the necessary permits related to the business. In particular, I needed a Commercial Use Permit from the National Park Service to be able to deliver the camper inside the National Park. I learned a lot about permits, and the National Park Service during this time.

It ended up that I needed to cancel the bookings that would have turned the whole operation from Red to Black. So, while it did make revenues, I never was able to earn that money back. As I had spent a lot of money on getting everything I needed to put in place, there was no going back. It had to be shut down.

Instead, I had to go back to work and find a job again. Wow, was that tough! I was onto something big. If only I could have had the permits, and the permits weren’t allocated on an annual basis for the next year! Ah well, such is life.

Lessons Learned On That Failed Venture

• Keep your day job - this helps you be able to funnel more money into your operation

• Set a business operating budget - don’t just keep putting more money into a losing operation

• Know when to quit early - set goals for the business, and if it doesn’t work, cut your losses

• Make multiple income streams - if one income stream is small, start a second income stream

• Double down on the income stream that works

• Drop the income stream that is not working quickly - but give it a fair shot

• Read “Rich Dad, Poor Dad” by Robert Kiyosaki

• Study “Rich Dad, Poor Dad” by Robert Kiyosaki

• Delegate tasks as much as possible that can be done in a cheap fashion

• Own the tasks that can affect the customer experience in any way

Take 2: Red Rock Outfitters

It’s been five years since that last venture. In that time, I have done a lot of reading. I moved all the way to the other side of the country, to Virginia. I learned and studied what I did wrong. I am ready to go at it again. I have started another venture. This one is similar but a little different.

Finance

The biggest thing is that I have zero plans to quit my day job. That money keeps me fed, and puts a roof over my head. I will continue to keep my expenses low, which allows me to fund the business with that money. This money will be made as a Personal Loan to the business that will allow me to fund the operation. The next thing is to get a Business Tax Advisor that specializes in small businesses. I could have saved a lot of money if I would have done proper accounting and business expenses. Having a Business Tax Advisor can help me understand how I can maximize the tax benefits of owning and operating a business.

Market Trends

Taking a look at the market trends, the obvious thing that is different from 2022 and 2017 is that we have gone through the COVID-19 Pandemic. That has had many changes in all facets of life. The biggest thing that changed relating to both businesses (Poplar & Red Rock Outfitters) is the flexibility in Remote Work. In 2017, it was rare to find a Remote Job. They were out there, but it was estimated to be in the single digits for Digital Nomads. It was a novelty and revered for the person who was able to convince their boss that “they didn’t need to show up to the office” anymore.

Having more flexibility in remote work is good for business. Taking a trip in a luxury camper to work remotely nearby a National Park or travel a bit and “get away from it all” while still working is the premium version of “work - life balance”. Since the Pandemic, outdoors activities has taken off. In 2021, it was estimated that there was 7 million people who went camping for the first time! Now’s a much better time to start an Outfitter business than it was in 2017.

The final thing about the market is that right now we are seeing a four-decade high for inflation. People are sick and tired of paying too high of prices for everything. That includes buying a camper. All of those new campers are going to want a glamping experience. They are not going to jump right into “roughing it.” And camping is a relatively cheap activity…that is, if you have all of the gear that you need.

And finally, buying a camper is a big investment. If you are really serious about the outdoors and like to travel a lot, it’s a cheap alternative to the hotels. But, you need to travel that much to consider the investment in purchasing. All this adds up to a simple formula:

more campers + high prices + provide equipment at a fair price = a good time to start

Multiple Products

Start with one product, and then grow. Plant the seed, and water it. See if it grows. If it doesn’t, then plant another seed. One should try to plant a seed a month. The first one is already decided. Now, it needs to be planted.