Charles E. Gaudet II is a leading marketing consultant and speaker providing advanced marketing strategies to small business owners. He’s the author of “The Predictable Profits Playbook.” His advice appears in worldwide media including Forbes, Inc. and Fox Business.  Follow him on Twitter @CharlesGaudet or at his blog at http://www.PredictableProfits.com.  Follow him @CharlesGaudet.

Who is your hero? 

Sir Richard Branson. He’s a billionaire entrepreneur who has overcome challenges and adversity with unwavering persistence, creativity and humility.

What’s the single best piece of business advice that helped shape who you are as an entrepreneur today, and why?

A lot of successful entrepreneurs like to paint an infallible story of glory and success. But the truth behind it all typically starts with failure. As Richard Branson says, “Failure is one of the secrets to success.” Failure is something to be embraced and welcomed.

Branson continues by saying, “The difference between successful and unsuccessful people is the successful ones who make just as many mistakes as the rest of us, learn from their mistakes and turn this knowledge into life and career successes.” Along the same lines, Tony Robbins once told me, “Big people have big problems, small people have small problems. If you want to play a bigger life, get bigger problems.”

When Tony asked me about Richard Branson, he said: “Richard Branson’s running over 400 companies, I’d say that’s a pretty big problem. How does that compare to yours?” You see, most people wish to eliminate or run from their problems, while successful people create problems (like Branson’s famous head-to-head battle with British Airways) and conquer them head on.

What’s the biggest mistake you ever made in your business, and what did you learn from it that others can learn from too?

In my life, there’s probably a thousand “biggest mistakes” that tie for first place, but the one that immediately comes to mind is putting all my eggs in one basket by relying on one primary source of leads and sales.

Economics, policies, algorithms and technologies change all the time. If you’re getting more than 80 percent of sales from one lead source (for example, internet or word of mouth), you’re putting yourself in a vulnerable position.

Diversifying your sources of income are critical. Examples include building referral systems, online and offline advertising, joint venture relationships, direct mail, email marketing, special events, list acquisition, leveraging the media, building a sales staff, having multiple conversation funnels, customer re-engagement and so many more.

What do you do during the first hour of your business day and why?

The first thing I do is work out. This gets my mind clear and body energized.

Then I sit behind my desk, review my “plan of attack” (my top three list of things I must accomplish for the day) and immediately begin working on the most important income-producing activity of the day.

What’s your best financial or cash-flow related tip for entrepreneurs just getting started?

To grow your business, you have to be working ON your business instead of IN your business. When you’re starting out, cash will be tight. But before you pay yourself, start by expanding and leveraging the talent of employees or assistants to delegate activities that allow you to spend more time on the profit producing aspects of your business.

Quick: What’s ONE thing you recommend ALL aspiring or current entrepreneurs do right now to take their biz to the next level?

Success is the result of creating a rock-solid business: growing year after year, predictably and dependably, through a combination of proven marketing strategies and a raving fan base.

What’s your definition of success? How will you know when you’ve finally “succeeded” in your business?

Peter Drucker, the father of business consulting, once observed that “marketing and innovation produces results; all the rest are costs.” History is littered with stories of superior products and services being trumped by companies with better marketing. The hard reality is that if nobody knows about you or your offer isn’t compelling enough, you will lose business to your competitors.

To take your business to the next level, become a marketing expert.