How to take Risks

I had a conversation with a friend of mine last night, and I gave that person an answer that surprised them. They were talking about some of my accomplishments, and they were saying how lucky I was to have had them.

I agreed.

In most cases, luck comes to those who are prepared to take the opportunity that comes before them. One of the things that I was lucky about was getting into UC Berkeley. I was lucky, because the number 1 program in the world for my major was in the state that I was already living in. However, in order to access that luck, I would first have to get a 3.8-3.9 GPA. You see in order for me to have the luck to get in, I would need to have been prepared in the first place.

With the luck that I had with my youtube channel, getting over 600 subscribers, meeting Dylan Froscott, in order to have that luck, I would have to first release videos consistently for 6 months, before ever having over 40 subscribers.

And then in my 7 month, I hit 100, 200, 300, and 400 subscribers.

I am very lucky to have been able to work as a chef at a 2 Michelin Starred Restaurant.

However, I would have to first email different restaurants, research the business, be willing to work for free, and then work my ass off to earn that title.

If you want to be lucky, you have to be prepared to take risks.

And so, the question becomes, how should I take risks?

Now when it comes to small risk, you should be trying to take as many of those as possible, just because of how little downside they have, and the huge upsides they bring. Now big risks is when things start to get interesting. When it comes to big risks, the key is to mitigate them.

First thing you want to do is write down the big risks that you are contemplating. And then you want to ask yourself, “What is the worst that can happen?”

Be honest with yourself, what is the actual worse that can happen? How much money could you lose? Would you lose your job?

What you will find is that the downside was not as bad as you thought.

The second part is to then mitigate them, meaning, what could you do to prepare so that you can get rid of all or most of those downsides? Most of the money you lose, you can make back in 3-6 months. You can often times just prepare more steadily, so that when you take the risks, you will just end back where you started.

There is an intelligent way to take risks, and you have to take them, if you want to get to where you want to be. Luck is given to those who are prepared.

It’s that simple,

-Sam

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