Test Your Legitimacy

Have you ever felt like an impostor in your business? Without mentioning names, I can tell you that more than a few of the entrepreneurs I come into contact with have the recurring belief that they are not “legitimate” businesses.

Most of those who harbor this fear are in the creative arena. If you love what you do to make a living, others have a hard time believing it can really be called a business. It seems to be the special curse of those, blessed with gifts that they are lucky enough to earn income from, to often feel fraudulent. Who ever heard of a dry cleaner or insurance salesman questioning their claim as business owners?

So I’ve devised a quiz that will help you calculate your degree of validity. See how you do:

1. Do you have customers? Are there people who are willing to part with their hard-earned dollars to pay you for your product or service?
2. Can you say what you do in a way that garners respect? Telling people that I am a coach is not a guaranteed credibility builder. When I say that I lead remarkable women to uncommon success, eyes light up and I know I’ve struck a chord.
3. Do you have a Web site? Can people find you? Does Google know you exist? It’s the old tree falling in the forest comparison—if you’re in business, does anyone know?
4. Are you a registered business entity—a sole proprietor, DBA (doing business as), or corporation— limited liability or S-corp? Do you pay taxes? Do you have a bank account for your business?
5. Do you have marketing materials with your contact information? Getting out brochures or postcards about your company on a regular basis declares your existence.
6. Do you get referrals? Will your customers write testimonials on your behalf and refer others to you?
7. Does the press know and write about you? There’s nothing like a third-party endorsement to add credibility and legitimacy to your business.
8. Are you respected by your peers? Are you a member of a chamber, a networking organization or an association that recognizes your contribution in the business sphere?
9. Are you profitable? Do you earn more money in your business than you spend?

But more important than any of the above is the tenth question: Are you happy? Do you love what you do? There are millions of 9-to-5’ers out there who have titles and credentials, but hate getting out of bed. What’s the value of legitimacy compared to personal satisfaction and happiness?

But really, this was a trick test. In my humble opinion if you answered “yes” to numbers 9 & 10 that’s all you need to claim legitimacy. The others offer breadth and depth to your company, but the truest measure is whether or not you’re working at something that satisfies your soul and earns you a profit.

If you have a nagging feeling that you’re not “for real,” take a look at the questions I’ve asked and see what may be missing for you. My hunch is that when you begin filling in the missing pieces, not only will you be too busy to think about your validity as a business, you’ll also be fortifying your foundation which will make the question unnecessary in the future.