It’s amazing how our perspective changes when we have, as Warren Buffett coined, “skin in the game.”  Without it, there is no value or commitment and without value and commitment there is no sense of urgency. To make decisions and get results, you need to have skin in the game and that sense of urgency to take action and reach that goal. Financial skin in the game is effective because something tangible, like your pocketbook, is attached to it, as well as personal skin in the game that shows a true emotional investment. A combination of both, though, is necessary.

Something given to us for free has very little value than something we have to work hard for or pay to get. There has to be something that is on the line. It doesn’t have to be life threatening or extreme, but if you have nothing to lose, then what do you have to gain? Some would say “everything,” but I would argue “nothing.” If you aren’t willing to risk the good for the great, then what are you willing to risk? What is that opportunity cost? Time? Money?  When you take a risk and put your skin in the game, now you’re attached and have more of an incentive to see things through until the end.

Risk taking is essential to success. Taking risks forces you to be more confident, believe in yourself and grow. When you play it safe, you don’t step out of your comfort zone and in turn become complacent and never reach that next level.  But, when you truly make yourself uncomfortable, dance with your fears, and fail forward, you realize your true potential and that there is no going back.  Whatever it is, make that commitment to propel yourself forward and take action.  Put your skin in the game.