This article is contributed by Jason Dirkham

The life of a new business owner is rarely a whirlwind of glamour. You’ll spend hours poring over rather dull documentation, often working from a cramped office or even your own living room if funds don’t quite stretch to dedicated premises, and the lack of sleep and time to yourself will soon begin to make themselves known.

There are two ways that entrepreneurs tend to react to the tough early days of business. The first is to accept that times are going to be tough for awhile; the high life and glamor of a successful business may be in their future, but they’re going to bide their time and tolerate less-than-ideal living and working conditions in an effort to get their business off the ground.

The second response is, to borrow a popular term, to “fake it til they make it”. The idea behind this approach is to attempt to portray the life and working practices of a business owner who is already enjoying great success, even though their business is only in its earliest stages.

Which is the correct choice?

In life, we’re used to there being rights and wrongs; good and bad decisions. However, when it comes to deciding how to approach the early days of business, there is no choice that is guaranteed to be successful.

The fact that there’s no easy answer to this question may come as a surprise. On initial inspection, the idea that there could be any merit to faking it until you make it sounds as if it is at odds with many of the main principles of business. After all, faking it tends to require a significant amount of investment; you’d have to spend on a great office, great suits, driving an impressive car complete with private plates, buying tickets to high-profile business events in your local community, and all of the other trappings we all associate with success – which means that there is less money available to spend on the actual business.

How can this investment be justified?

There’s a reason that “fake it til you make it” has entered common usage – because it works.

The simple reality is that the world of business often relies on impressions and ideas more than it does concrete facts. Take, for example, the story of Theranos.  Theranos was a company that was meant to revolutionize healthcare after inventing a unique method of blood sampling and its founder, Elizabeth Holmes, raised billions of dollars in investment – despite having next to no evidence of the fact that her Edison machines actually worked. All of the investors have spoken about Holmes’ manner and demeanor; her aura; the fact that something about her made them believe that investing in her business was a good choice. Holmes cultivated her style and attitude with great care; some have even suggested her noticeably-deep voice is not how she really speaks, but instead an effort to present herself as more serious and respectable.

As we now know, Theranos was doomed to failure, so following in Holmes’ footsteps is to be avoided at all costs. However, the underlying fact is that people believed in her, so they believed in her business.

There’s a lot to be said for taking the heart of Holmes’ story and applying it to your own business – though, of course, backed by a viable business idea that is actually capable of delivering on its promises. If you can take the stylistic touches of faking it until you make it, and convince people to believe in you, then doors may open to you that would have remained firmly closed if you had focused on bootstrapping your business, focusing on the numbers, and working bit by bit to achieve your goal.

Is there a risk of going too far?

Of course, which is why it is important to keep the following in mind:

  • Have a solid business idea. As we noted above, don’t follow in the footsteps of Theranos – make sure that you have a solid business idea and a realistic plan for how you can make the company work. Faking it until you make it should never apply to your company’s capabilities; there’s a big difference between projecting an aura of potential and outright being untruthful, so it’s important to learn to walk the line and focus on the business first and foremost.
  • Don’t overspend. Presenting an appearance of success will come with a price tag, but try to keep this reasonable. For example, while investing in a great suit genuinely can help to impress investors or potential suppliers, you only really need one great suit that you carefully dry clean after each use.
  • If you need to work, work. While networking, meeting with investors, and involving yourself in the local business community are all part of faking it until you make it, these types of events should always be secondary to actually completing the work that your business requires.
  • Be cautious when renting space. One of the most common ways of faking it is to invest in expensive offices in a fashionable location. This step is always worth considering – especially if you will be neighboring businesses that it would be beneficial for you to develop a relationship with – but it is also a long-term commitment, as you will have to sign a lease for at least six months. It is therefore important to check that you can afford to move into the premises to begin with, but also that you will be able to stay there over the course of the next year or so. There’s little point in spending a significant amount to base your business in a trendy area if you’ll then have to leave after a few months due to prohibitively high rent costs.

In conclusion

You don’t have to choose to “fake it til you make it” if you would rather simply focus on the core aspects of your business alone; this approach works well, and can lead to great outcomes.

If, however, you do want to give faking it until you make it a try, then it is imperative that you seek to project an image of success and confidence rather than faking your actual business. If you can do this, and you feel projecting an image of success and opportunity would suit your personality, then faking it until you make it could work very well for you.

This article is contributed by Jason Dirkham