Don’t bet the farm. As an entrepreneur, your work has a higher element of risk than for others. This doesn’t mean you should embrace high-stake bets. Successful operating in a world of risk and uncertainty is about ensuring that you never bet more than you can afford to lose.
When making decisions in uncertain environments it’s tempting to look to ROI as a guide. “If I bet X amount, I could get Y back.” However, this is linear thinking. This is assuming that the outcomes are finite and knowable. Instead, think about the range of possible outcomes and what proportion of them look favourable. Then set a limit on what you can afford to lose. That’s betting – entrepreneur style.