Jasz
VIP Contributor
Is your business headed for failure? It's estimated that 50 percent of small businesses fail within the first five years.
The seven most common reasons for business failures are:
- Poor management: Management is one of the most important skills in any business. Poor management can lead to a lack of planning, leadership and organization.
- Insufficient capital: A lack of funding is another common reason for business failure. Business owners need to have enough capital in order to carry out their business plans and goals.
- Not having a niche: Having a niche market allows you to focus your marketing efforts and dominate your market, regardless of the number of competitors in the industry.
- Bad location: Location is key in determining whether or not a business will be successful. A bad location can translate into poor sales, low foot traffic and high rental costs.
- Lack of planning: Planning helps businesses by providing direction and making goals measurable. Without a plan, it's hard to prioritize tasks, stay organized or reach goals.
- Pricing problems: Many businesses have failed because they did not understand how their prices compared to those of competitors. Prices that are too high or too low can both deter customers from making purchases from your company.
- No marketing plan: Marketing is essential to have a succesful business.
The seven most common reasons for business failures are:
- Poor management: Management is one of the most important skills in any business. Poor management can lead to a lack of planning, leadership and organization.
- Insufficient capital: A lack of funding is another common reason for business failure. Business owners need to have enough capital in order to carry out their business plans and goals.
- Not having a niche: Having a niche market allows you to focus your marketing efforts and dominate your market, regardless of the number of competitors in the industry.
- Bad location: Location is key in determining whether or not a business will be successful. A bad location can translate into poor sales, low foot traffic and high rental costs.
- Lack of planning: Planning helps businesses by providing direction and making goals measurable. Without a plan, it's hard to prioritize tasks, stay organized or reach goals.
- Pricing problems: Many businesses have failed because they did not understand how their prices compared to those of competitors. Prices that are too high or too low can both deter customers from making purchases from your company.
- No marketing plan: Marketing is essential to have a succesful business.
Last edited:
