- A desire to be one's own boss: The desire is fine, but many don't know the commitment that is involved to be successful.
- A desire for financial independence: Business owners jump in because they want to be financially independent without realising that there is also a downside and this is the possibility of losing everything they own.
- They hate paperwork in their current job: They don't realise that the paperwork may double or even triple when running their own show.
- They don't like working with others: If you are not able to relate to other people who you will be in constant contact with if running your own business, this will be a problem.
- You want to have freedom: Many entrepreneurs like to do their own thing, but they have to be able to produce a product or service that is in demand in the market place. A desire just to be creative is just not enough.
- A desire to use your skills and knowledge: This is probably the best reason for starting up in business, however, it must be with caution because the skill and knowledge needs to be able to set up and run a good business, with a good product or service.
The 12 Top Causes of Small Business Failure
Small Businesses Failure is caused by a number of factors but the 12 main
reasons which can be termed business causes are:
-
Poor business knowledge, management experience and skills.
- Poor cash flow due to bad debts and inefficient collections.
- Overtrading
- Poor financial control.
- Lack of sales and revenue.
- Failure to plan.
- Lack of capital.
- Incorrect or non-existent books and systems.
- Excessive funds taken for private use.
- Lost time in complying with regulations and red tape.
- Internal problems to do with shareholders, managers and staff.
- Other reasons
There are probably countless other reasons or causes for business failure though not as major as the ones listed above. Nevertheless they can contribute to the closure of a business prematurely. Simple things such as the wrong pricing, failure to negotiate better costs, failure to seek professional advice when necessary, failure to stay with the business and put in the work as a hands on person, neglect by the owners to spend time in the business if they get involved with other outside interests, taking on inexperienced staff, failure to monitor the production level of employees etc.
It's Time for you to Change
It was Dr Edward de Bono who said that opportunities "only exist once they have been seen and they will only be seen if they are looked for'.
All goal achievers from Andrew Carnegie to Walt Disney, from Helen Keller to Ghandi, plus all the great Olympic athletes that ever lived - all have been great opportunists. That is, they were looking for an opportunity and when they saw it they reached down and grasped it with both hands. You cannot afford to adopt a "wait and see" attitude. There is no standing still, as Dr de Bono once said,
"The next step and the one after that are there to be taken. Standing still and waiting for the conveyor belt of life to deliver your luggage to you is not a strategy favoured by successful people."
Change mental gears and get out of your comfort zone. Don't lose the moment. Don't lose the opportunity. There's an old Arab proverb spoken like this - "four things never come back - the spoken word, the speedy arrow, the past life and the lost opportunity".
Use your leisure time to create opportunities and do the things you've always dreamt of doing if only you had the time. Will it be easy? Not for a moment. Who said achieving anything was easy?
Perhaps it's just too much trouble for you. Maybe you just can't be bothered. Anyway there are bills to pay. Your family wouldn't approve. Your friends would laugh. Best to stay where you are. Blame the government. Blame the economy. Find someone or something else to blame for your lack of success. Talk yourself into it. You might find some small comfort, for the time being. But how will you feel in 5 years when you look around and many of the people you know who made a decision, who took action and who took control of their futures are now reaping the rewards while you remain forever the same.
Maybe you'll be a little bit better off but not where you wish you could be. And not who you would like to have been. Even now you can look back at actions not taken, things not said, dreams abandoned and feel the pain of loss. You'll never know what you gave up, what you could have achieved.
What price are you paying today for decisions that you made in the past? But it's never too late. Time to change.
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