Advertising

10 Reasons Small Businesses Fail

Advertising
10 Reasons Small Businesses Fail

There are times businesses fail, and even when you feel you have done everything right, things go wrong. The odds of a business achieving success are low; that is why it is important to pay attention to every detail required to run a business. If you can stay clear of the mistakes of business owners discussed below, your business is far more likely to be around for a long time.

“There are no disasters in business that you can’t avoid if you see them coming and make the adjustments.” –Boune T. Pickens. Jr.

1. They lack focus

There should be a clear objective regarding the direction a business is going and where it should be within a proposed timeframe. Many fail to understand this concept and pursue several objectives at once. It is better to have a core vision and steer your employees in that direction.

Advertising

2. They make poor decisions

Businesses succeed because of smart decisions. It is important to avoid poor decisions if you want your business to last and make money. It is better to get as much information and review it meticulously than to make hasty judgements based on too little data. Perhaps you should try to draw up worst case scenarios and discuss them with your advisory team before taking any action.

3. They lack the ability to adapt to changes

Change is constant, and we live in a technological age where change happens every second. To survive as a business, you have to constantly adapt and improve your strengths to meet with the demands before you. You can’t be stagnant and expect success.

4. They maintain poor leadership

Every successful business needs the right leadership to continually challenge its people to step out of their comfort zones and seek answers. You can be kind and compassionate, but that won’t yield results if you do not challenge your people.

Advertising

5. They have fierce competition

Competition is a certainty in business. But sometimes, competition can be so fierce that you are forced to shut down your business. Competition shouldn’t create fear, but should challenge you to get better and stand out from the crowd.

6. They stay in the wrong location

Location is pivotal to how far a business can go. You cannot be located close to a fierce competitor and expect to succeed. When choosing a location, it is better to make sure it is going to work towards your advantage. Consider the road network, accessibility, proximity to your clients, population, and demographics.

7. They lack the required skills

For your business to succeed, you have to have the right employees who are skilled and can help execute the mission of the company. According to Warren Buffet, “Risk comes from not knowing what you are doing.” To be successful in your business, you need the right experience and knowledge to make the business sustainable.

Advertising

8. They delegate duties poorly

Money is always tight during the start-up stage. It is better to outsource or delegate duties to the right personnel. Rather than being a “do it all” kind of boss, you should focus on your strengths and delegate other duties to professionals that can execute them appropriately and maximize the output of your business.

9. They lack sufficient capital

There is a reason why business owners seek funding from investors and venture capitalists. Money and cash flow is the life blood of every business. No matter how great your business idea or product may be, without the capital and profitability of the business, you won’t be able to take your business to the next level and attain success.

10. They don’t have enough credit

Another reason businesses fail is because money for its services or products is not promptly payed by customers. You do not need bad debts when running a business. Cash flow is important to running a business; making sure your customers are loyal and consistent in paying you is advantageous to the long term success of your business.

Advertising

Featured photo credit: http://www.flickr.com via flickr.com

More by this author

Casey Imafidon

Specialized in motivation and personal growth, providing advice to make readers fulfilled and spurred on to achieve all that they desire in life.

10 Reasons Why Coffee Drinkers Are More Likely To Be Successful 8 Reasons Risk Takers Are More Likely To Be Successful 10 Habits Of People Who Are Highly Successful At Work How to Form Your Success Formula to Get Unstuck in Life 6 Things To Do Every Day To Ensure You Stick To Your Goals

Trending in Productivity

1 How to Create Your Own Ritual to Conquer Time Wasters and Laziness 2 Are You Addicted to Productivity? 3 Is Avoiding Difficult Tasks And Doing Easy Tasks First Less Productive? 4 How Remote Work Affects Your Productivity And Wellbeing (Backed By Data) 5 10 Best Productivity Planners To Get More Done in 2021

Read Next

Advertising
Advertising

Last Updated on October 21, 2021

How to Create Your Own Ritual to Conquer Time Wasters and Laziness

Advertising
How to Create Your Own Ritual to Conquer Time Wasters and Laziness

Life is wasted in the in-between times. The time between when your alarm first rings and when you finally decide to get out of bed. The time between when you sit at your desk and when productive work begins. The time between making a decision and doing something about it.

Slowly, your day is whittled away from all the unused in-between moments. Eventually, time wasters, laziness, and procrastination get the better of you.

The solution to reclaim these lost middle moments is by creating rituals. Every culture on earth uses rituals to transfer information and encode behaviors that are deemed important. Personal rituals can help you build a better pattern for handling everything from how you wake up to how you work.

Unfortunately, when most people see rituals, they see pointless superstitions. Indeed, many rituals are based on a primitive understanding of the world. But by building personal rituals, you get to encode the behaviors you feel are important and cut out the wasted middle moments.

Advertising

Program Your Own Algorithms

Another way of viewing rituals is by seeing them as computer algorithms. An algorithm is a set of instructions that is repeated to get a result.

Some algorithms are highly efficient, sorting or searching millions of pieces of data in a few seconds. Other algorithms are bulky and awkward, taking hours to do the same task.

By forming rituals, you are building algorithms for your behavior. Take the delayed and painful pattern of waking up, debating whether to sleep in for another two minutes, hitting the snooze button, repeat until almost late for work. This could be reprogrammed to get out of bed immediately, without debating your decision.

How to Form a Ritual

I’ve set up personal rituals for myself for handling e-mail, waking up each morning, writing articles, and reading books. Far from making me inflexible, these rituals give me a useful default pattern that works best 99% of the time. Whenever my current ritual won’t work, I’m always free to stop using it.

Advertising

Forming a ritual isn’t too difficult, and the same principles for changing habits apply:

  1. Write out your sequence of behavior. I suggest starting with a simple ritual of only 3-4 steps maximum. Wait until you’ve established a ritual before you try to add new steps.
  2. Commit to following your ritual for thirty days. This step will take the idea and condition it into your nervous system as a habit.
  3. Define a clear trigger. When does your ritual start? A ritual to wake up is easy—the sound of your alarm clock will work. As for what triggers you to go to the gym, read a book or answer e-mail—you’ll have to decide.
  4. Tweak the Pattern. Your algorithm probably won’t be perfectly efficient the first time. Making a few tweaks after the first 30-day trial can make your ritual more useful.

Ways to Use a Ritual

Based on the above ideas, here are some ways you could implement your own rituals:

1. Waking Up

Set up a morning ritual for when you wake up and the next few things you do immediately afterward. To combat the grogginess after immediately waking up, my solution is to do a few pushups right after getting out of bed. After that, I sneak in ninety minutes of reading before getting ready for morning classes.

2. Web Usage

How often do you answer e-mail, look at Google Reader, or check Facebook each day? I found by taking all my daily internet needs and compressing them into one, highly-efficient ritual, I was able to cut off 75% of my web time without losing any communication.

Advertising

3. Reading

How much time do you get to read books? If your library isn’t as large as you’d like, you might want to consider the rituals you use for reading. Programming a few steps to trigger yourself to read instead of watching television or during a break in your day can chew through dozens of books each year.

4. Friendliness

Rituals can also help with communication. Set up a ritual of starting a conversation when you have opportunities to meet people.

5. Working

One of the hardest barriers when overcoming procrastination is building up a concentrated flow. Building those steps into a ritual can allow you to quickly start working or continue working after an interruption.

6. Going to the gym

If exercising is a struggle, encoding a ritual can remove a lot of the difficulty. Set up a quick ritual for going to exercise right after work or when you wake up.

Advertising

7. Exercise

Even within your workouts, you can have rituals. Spacing the time between runs or reps with a certain number of breaths can remove the guesswork. Forming a ritual of doing certain exercises in a particular order can save time.

8. Sleeping

Form a calming ritual in the last 30-60 minutes of your day before you go to bed. This will help slow yourself down and make falling asleep much easier. Especially if you plan to get up full of energy in the morning, it will help if you remove insomnia.

8. Weekly Reviews

The weekly review is a big part of the GTD system. By making a simple ritual checklist for my weekly review, I can get the most out of this exercise in less time. Originally, I did holistic reviews where I wrote my thoughts on the week and progress as a whole. Now, I narrow my focus toward specific plans, ideas, and measurements.

Final Thoughts

We all want to be productive. But time wasters, procrastination, and laziness sometimes get the better of us. If you’re facing such difficulties, don’t be afraid to make use of these rituals to help you conquer them.

Advertising

More Tips to Conquer Time Wasters and Procrastination

 

Featured photo credit: RODOLFO BARRETO via unsplash.com

Read Next