They say that if you want to earn unlimited income, you have to start your own business. No wonder that there are a lot of people who immediately resign from their jobs. Yes, that can be a great plan if you want financial freedom. However, it’s not that easy. You have to think twice, in fact you have to think a lot of times. If you will not plan your business right, you’ll end up bankrupted.
As much as you want to become your own boss, you need to prepare properly. You have to know the risks involved.
In this article, I will briefly explain some of the reasons why more than half of small businesses die.
They are too excited. This is one of the most common reasons why businesses falter in no time. We want to open up our own business even without careful research. Establishing your own trade doesn’t happen overnight. In fact, some successful business owners spent months, even years of preparation, so they can create a long running industry.
Your adrenalin might be at its peak. But don’t let that excitement push you to start something which you aren’t prepared for.
They usually join the ‘business trend’. It’s a big No for you to become a ‘copy – cat’. One business idea might be good in some locations. However, it might not be the best for you. You have to be original. You need to have fresh ideas.
Trends or fads are not forever. Are you going to establish a business that is just for a period of time? I don’t think you like that, right?
They lack promotion. In promoting your business, you have to be aggressive and personal. Don’t take this for granted. How can your business grow if no one knows it? I believe that most business fail in the first few months because they were not able to advertise it properly. You don’t have to spend so much. You can just send messages to your friends and I’m sure they would be willing to share the news with their friends too. Aside from that, you can maximize the social media. It would be nice if you will create your own business page in Facebook. You can also make a twitter account. There are so many ways to promote your business. Invest time for it if you want to be successful.
They don’t keep track of the inventory. Most business owners are busy counting their money. The problem is, they don’t check their inventory. That is very important. A lot of my friends who started their businesses thought that they were doing well only because they have money at the end of the day. But after few months, they realized that the money at hand is not equal to their inventory. And with further investigation, they found out that a clerk stole some items from them.
This can be avoided if you are strict in checking your inventory. Make it a regular habit.
They are not hands on. Even if you are the boss, it doesn’t mean that you have the license to be lousy. You shouldn’t depend the success of your business to your staff. You have to be on top of the game. Being a boss has a lot of responsibilities and being a couch potato is not one of those.
Now, you know what are the worst things you can do for your business. Plan carefully and be consistent so you can enjoy the fruits of your labor in no time.