The short answer
I say no to the merely good in order to be free for the great. I judge a decision by reversibility and size: reversible decisions get made fast, irreversible ones get slowed down, written out, and tested against the worst case.
In full
The most successful people I have known had one uncommon ability: they let good deals pass by.
Surfers understand this. They watch dozens of waves go under them. They are not idle, they are positioned.
For small, reversible decisions, speed is worth more than accuracy. Make the call, learn, adjust.
For large, irreversible ones, I write the case out longhand, name the worst outcome, and ask whether I could survive it. If I could not, the answer is no regardless of the upside.
From experience
I passed on a deal that would have doubled my revenue in a year. Six months later the opportunity I had been holding capital for arrived, and it was worth several times that. The discipline of the no is what made the yes possible.
Common mistake
The eagerness to get rich overriding judgment. A merely good deal consumes the capital, attention and credibility the great one required.
Do this next
- Step 1
Classify your next decision: reversible or not.
- Step 2
For irreversible ones, write the worst case in one sentence before deciding.
- Step 3
Keep a list of the deals you declined, and review it annually.
Questions
- How do you know the big wave when it comes?
- It fits what you have been building for, not just what you can afford. And you will want to commit everything, not part.
- Is there a cost to waiting?
- Yes, and it is far smaller than the cost of being fully committed to the wrong thing.
By Robert T Fletcher