National Football League Hall of Famer, Fran Tarkenton, retired from the game in 1978 with numerous accolades, NFL records, and most importantly, several failed businesses.
Unlike the financial roads taken by many other professional athletes, Tarkenton took a decidedly different path and has, thus far, started over 20 successful companies. He remains a passionate small business advocate and at age 74 shows no signs of slowing down.
In my interview with him, he talked about how he replaced his gridiron success with business intuition and know-how, as well as the opportunities and trends in entrepreneurship… particular for baby boomers looking to escape Corporate America or big government.
From Audibles to Statistics
Playing in the NFL for more than 18 years, including three Super Bowl appearances, obviously taught Tarkenton how to read defenses and quickly spot scoring opportunities. The same holds true for him in his role as an entrepreneur. When I asked him about current business trends he was quick to point out the numbers.
Tarkenton exclaims, “The fastest growth in small business start-ups is with people who are 50 years old and above… but the fastest of the fastest are those aged 65 and older.” The notion is supported by research from multiple organizations, including the Kauffman Foundation, Small Business Administration, and
- The Kauffman Foundation found that from 1996 to 2011 the number of Baby Boomers starting a business increased by nearly seven percent, the largest increase among all age groups.
- A 2011 study by Civic Ventures and MetLife shows that approximately 25 million people – one in four Americans ages 44 to 70 – are interested in starting businesses or nonprofit ventures in the next five to 10 years.
Within the context of the numbers, Tarkenton sprinkled his common sense approach and boomer experience, saying, “They’re more active, or they get bored, and want to take the skills they have learned and do something on their own which is far more rewarding – so they are at the lead of the start-up business.” That being said, football players and business owners alike understand that the numbers are only part of the game.
Mindset Matters
Unlike many professional athletes, Tarkenton worked during his off-seasons. He was drafted into the pros in 1961 but his starting salary of $12,500 pales in comparison to what even bench players earn in this day and age. So, for the first few years, his time away from the playing field was spent learning about businesses, specifically the logistics end from a trucking company, sales from a printing business, and even a marketing and advertising stint with
His biggest asset, and one he suggests new entrepreneurs learn to embrace immediately, is failure. “Even today,” Tarkenton remarked, “I continue to fail, get smarter, and learn. It’s all part of the process that we have to go through. You have to understand most ideas aren’t going to work, and that you’ve got to keep trying. In football I threw interceptions; I lost games; I lost three Super Bowl games. You learn from failure. So you want to fail fast and learn from those things; and then you have a better chance of making it work.”
Tarkenton’s straightforward stories and candid advice reveal a conscientious business philosophy that you won’t hear discussed in Wall Street meetings or elevator conversations. “The mission of business,” he said, “is very simple: help people. Bring products and services to the market that help people solve problems. So that’s what we do. Wall Street is driven by making money; you can read about it every day … they even make movies about it. But that approach, because it’s driven by the desire to be rich, often compromises principles … and ultimately that is not sustainable.”
He doesn’t claim to have a perfect five or seven step process to running a business—and, in fact, warns against slick salespeople who talk business but have never run one. His ideals are simple: “You’ve got to be transparent, tell people the truth, and your heart has to be in the right place.”
Business Reality
No one ever said business is all fun; and not everyone is going to succeed. So, I confronted Fran Tarkenton with the fact that his first two businesses after his football career seemed to have the key components of transparency, honesty and heart, but still failed.
Like the man who’s dodged a lot of charging linemen, Tarkenton wasn’t fazed by this question. He promptly took the conversation to a level I can only hit after a couple shots of espresso.
“Yes, that’s true” Tarkenton said, “I was inexperienced and didn’t have anyone to turn to.” Adding, “You have to find something you love and feel passionate about; but entrepreneurs also have to understand cash flow. You have to have cash flow.
Wary of a long-winded or technical explanation for cash flow and other business ratios, instead, Fran focused on explaining cash flow in a way any new business owner can comprehend. He takes to heart the story of the retired chairman of Georgia Pacific. When this executive was just 12 years old, his father, who owned a clothing store, suddenly died. He and his mother were left to take over the shop and, as Tarkenton remembered him saying, “The first thing I learned is that if we didn’t have more money in the cash register at the end of the day than at the beginning then we were going to go out of business.”
Practical Advice
When I asked the former Minnesota Viking for practical advice to pass on to the baby boomer or bored retiree, his response provided direction down a path others can adopt … a substitute for complicated business plans and venture capital funding:
- “New business owners need to understand that you’re never going to have the complete answer. You’ve got to get smarter and better every day. You have to be listening to people, asking questions and talking to people who are doing business.”
- “Keep your day job as long as you can in order to avoid the financial pressure that comes with giving up income. Don’t rush into taking on bank debt because banks want to get paid back.”
- “One secret of business is to make friends. If you make friends you’re going to be able to reach out and serve them with respect, humility, and transparency.”
At the close of my interview there was no need for any amazing comeback or a Hail Mary pass. But, with that flair for the dramatic that characterized his days as a quarterback, he put an exclamation point on our time by offering the following: “There’s no substitute for the work you have to do; you have to work at it all the time and you have to get better at it every day. Understand that if you’re going to get despondent, disappointed or depressed because you experience defeat and loss, you shouldn’t be an entrepreneur. You’re going to have defeats; most of what you are going to try is not going to work. But learn from what did not work and push forward, which will help you get to the answer quicker.”
Listen to additional excerpts on the interview including other stories, comments, and his personal life.
Also check out SmallBizClub.com, a free entrepreneur resource that Fran and
Learn how starting a business can be an important source of retirement income with my article: For Retirement Income, Ditch The Stock Market & Rat Race
Let me know what you think about the trends in entrepreneurship and if you've started a business or are planning to start one… leave and comment and consider following me here at Forbes.com and on Twitter @robertlaura.
