Only when you are breaking even on a cash-flow basis do you know that the business needs no further capital investment in order to stand on its own. At this all-important milestone, your revenue is at least covering all your expenditures.
Only THEN, in our view, do you have the luxury of taking a flyer on some other products and services. If you then choose to do so, we can help by testing your way into some additional new-product or new-service launches. As a former employer of mine, David Ogilvy, used to caution, “look before you leap.”
Some new products may well make a killing for you. Some will likely fail to bring in enough profit to make them worthwhile. But that’s the nature of the entrepreneurial life, as you no doubt know. Look before you leap, indeed.