The mistake that can topple a brokerage like a house of cards 

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The views expressed in this column are solely those of the author.

If you spend four-plus decades in business, you make plenty of mistakes. Some of them you may laugh at later. Some of them retain their sting for years. And a few stick on you forever — not because they destroyed you, but because they reshaped you.

My most memorable mistake wasn't about a single contract gone wrong or a deal that collapsed. It was much bigger than that. It was an attitude problem. I believed early success had made me invincible — and that belief almost undid everything I was trying to build.

Riding the high of early wins

Like many entrepreneurs, I started with more energy than intelligence. I was confident, ambitious, and — to be honest — a little arrogant. When my first few ventures showed promise, I took that as a sign that I had cracked the code. My thinking was simple: If one office works, why not three? If one deal pays off, why not sign five more?

Growth looked easy from the outside. On paper, I was a success story in the making. And the applause of early wins can be intoxicating. It makes you want more. Faster. Bigger.

So I went for it. I expanded. I signed new agreements. I committed to bigger financial obligations. I told myself this was what leaders did — they carpe diem all over the place and seize opportunities.

What I failed to see was the difference between momentum and consistent growth. Momentum carries you forward, but stable growth keeps you from tipping over the front of your skis. I had plenty of momentum and very little stability.

When the wheels came off

At first, everything looked fine. The numbers pointed up. The excitement in the office was real. Clients were coming in. Revenue was flowing. But the foundation had a huge crack in it.

My systems weren't strong enough to support the growth, my financial structures weren't stress-tested for downturns, and the people I had placed in key roles didn't yet have the clarity or resources they needed. I was running too far ahead of the business, assuming it could keep up. I also (arrogantly) believed I could outwork any issue that could derail the plan.

Then the cracks widened. Cash flow dried up when expenses outpaced revenue. Commitments I had made suddenly looked impossible to keep. Relationships I valued were strained because my confidence had written checks reality couldn't cash.

It was brutal. And it was humbling.

The truth is, I had built on sand. Success made me careless. It tricked me into believing that the future would behave like the past, when in fact, the future rarely does.

A hard — and enduring — truth

Looking back, I've made plenty of other errors in judgment. But this one stands out because of how it shook me at the core. It wasn't just about money — though I lost plenty. It wasn't just about time — though it set me back years. It was about identity.

I thought I was building a business empire, but it was actually a fragile house of cards. And when it collapsed, I had to face the hard truth that I wasn't as smart, experienced or prepared as I thought.

That's a hard mirror to look into. But it was the mirror I needed.

The lessons that lasted

The lessons I carried out of that failure shaped the rest of my career, and two in particular became key to my success.

The first was observation. I had been charging ahead so fast that I wasn't actually seeing what was happening around me. Observation requires slowing down, paying attention, and asking tough questions before you act. It's the discipline of looking at the risks as carefully as you look at the rewards.

The second was delegation. I had tried to be the hero in too many situations, believing I could will things into place through my own effort. But one person — no matter how driven — cannot scale a business alone. I learned the power of surrounding myself with people who are smarter than me in areas where I'm weak and then trusting them to do what they do best.

Those lessons became part of the DNA of Benchmark Realty as we grew it from a single office into one of the most successful brokerages in the region. They gave me the humility to listen, the patience to prepare, and the courage to admit when I was wrong.

Failure is 'tuition' — so spend it wisely

When I talk with younger entrepreneurs today, I tell them that failure is tuition. You're gonna pay that tuition one way or another, whether you want to or not. The question is whether you'll learn from it or waste it.

The tuition for my mistake was expensive. It cost me money, time and reputation. But it bought me something far more valuable: wisdom. And wisdom, unlike money, tends to stick.

So, when I'm asked what my biggest mistake was, here's my answer: It was believing that early success made me invincible. The day I discovered otherwise was the day I truly became an entrepreneur.

Phillip Cantrell is the founder of Tennessee-based Benchmark Realty and EVP of Strategy for United Real Estate Group. In addition, he is the author of "Failing My Way to Success: Lessons from 42 Years of Winning (and Losing) in Business." Learn more about Phillip and his book at phillipcantrell.com.