The Brutal Truth About Entrepreneurship: Are You Ready for the 2-2-7 Journey?
When you think about becoming an entrepreneur, it’s easy to romanticize the idea of setting your own hours, doing work you love, and creating financial freedom. But if you’re at the two-year mark of your entrepreneurial journey and questioning if it’s all worth it, you’re not alone. According to Alan Lazaros, CEO of Next Level University, entrepreneurship is not just a career choice—it’s a test of self-awareness, resilience, and long-term commitment. And one thing is certain: success doesn’t happen overnight.
In a recent interview on Entrepreneurs Creating OMG Moments, Alan broke down the reality of the entrepreneurial journey into what he calls the “2-2-7 Rule.” It’s a hard truth, but one that every aspiring business owner needs to understand before diving headfirst into the world of entrepreneurship.
You can watch the full interview here.
What Is the 2-2-7 Rule?
The 2-2-7 Rule is a framework for the typical timeline of entrepreneurial success:
Two years to go into debt. Many entrepreneurs start their journey investing heavily in their business with little immediate return. This stage often feels like treading water, and it’s where many people quit. This may be more like 3-4 years for some businesses.
Two years to climb out of debt. If you’ve made it past the initial phase, congratulations! You’re starting to find your footing. However, this phase is equally challenging as you work to stabilize and pay off the debts accrued during the startup phase.
Seven years to truly succeed. By year seven, the grind starts to pay off. You’ve built credibility, refined your business processes, and created a sustainable foundation. But reaching this stage takes grit, resilience, and unwavering dedication.
Are You Cut Out for This?
Not everyone is wired for the entrepreneurial life, and that’s okay. Self-awareness is critical to help you understand if you are meant for this. Are you a long-term strategic thinker? Are you someone who thrives on responsibility and wants to work every day to build something meaningful? If not, you might be better suited as an intrapreneur—a driven contributor within someone else’s company.
If you’re someone who craves certainty, entrepreneurship might not be for you. The role of a CEO is exhilarating but isolating, with the weight of the entire business resting on your shoulders. For those who want the rewards of entrepreneurship without the brutal work and risk, the answer might lie in finding a different path that better aligns with your skills and goals.
Lessons from the Two-Year Mark
So, what happens if you’re at the dreaded two-year mark, drowning in debt, and questioning your choices? Alan’s advice is straightforward: start with self-awareness and brutal honesty about your strengths and weaknesses. Are you making decisions based on a long-term vision, or are you stuck in survival mode?
One strategy is to reverse-engineer your goals. This involves:
Clarifying Your Vision: Where do you see yourself in 10 years? Start with the end in mind.
Setting Measurable Goals: Break that vision into actionable steps, focusing on daily, weekly, and monthly habits.
Assessing Your Skills: Are you building the habits and skills that align with your long-term goals, or are you just spinning your wheels?
Entrepreneurship Isn’t for Everyone
Entrepreneurship is not glamorous in the early years. It’s a marathon, not a sprint. “If you’re not willing to put in the work, don’t start a business,” Alan advises. “Keep your full-time job, explore your interests on the side, and avoid the unnecessary stress of going all in if it’s not truly your calling.”
However, for those who feel a deep pull toward entrepreneurship, the rewards can be life-changing. Alan believes that fulfillment comes from aligning your work with your values and embracing the challenges as opportunities for growth.
The Takeaway
The entrepreneurial journey is not for the faint of heart. The 2-2-7 Rule serves as both a cautionary tale and a roadmap for those who are ready to commit to the long haul. If you’re at the two-year mark, take heart. Success is still possible, but it requires resilience, self-awareness, and a willingness to do the work most people avoid.
Before you take the leap, ask yourself: Are you ready for the challenges of entrepreneurship, or is there another path that better fits your unique strengths and goals? Whatever your answer, know that the key to fulfillment lies in being honest with yourself and choosing the path that feels most aligned with your purpose.
Ready to take your entrepreneurial journey to the next level? Check out Alan Lazaros’ free Next Level Five to Thrive course, where you’ll learn the fundamentals to set yourself up for long-term success.
Also check out our Corporate to Cash Jumpstart Kit to help you identify the fastest ways to get your business off the ground and making money.