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10 Reasons Small Businesses Fail

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.

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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.

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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.

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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.

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

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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.

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Last Updated on May 16, 2019

The Daily Rituals of 7 Successful CEOs

The Daily Rituals of 7 Successful CEOs

One of my favorite success quotes ever comes from one of the original and most successful ‘CEOs’ of his era: Aristotle. Here’s what he said:

“We are what we repeatedly do. Excellence, then, is not an act, but a habit.”

This advice is just as sound today as it was when Aristotle first expressed it, way back when. I’m reminded of this at least once a week, when I interview an inspiring author, leader, or successful CEO on my show. I ask my guests a series of questions about what has contributed to their success and their ability to build something meaningful.

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You want to know what nearly all of them say? Almost every time, they respond by telling me that their success is the result of simple habits  enacted day after day.

These quotes from seven successful CEOs demonstrate the daily rituals that have contributed to their success:

1. Promote what you love.

“It’s so much better to promote what you love than to bash what you hate.” – Jessica Alba, CEO of The Honest Company

2. Develop a feedback loop.

“I think it’s very important to have a feedback loop, where you’re constantly thinking about what you’ve done and how you could be doing it better. I think that’s the single best piece of advice: constantly think about how you could be doing things better and questioning yourself.” – Elon Musk, CEO of TESLA Motors

3. Create things that are better, not just “different.”

“Our task today is to find singular ways to create the new things that will make the future not just different, but better—to go from 0 to 1. The essential first step is to think for yourself. Only by seeing our world anew, as fresh and strange as it was to the ancients who saw it first, can we both re-create it and preserve it for the future.” – Peter Thiel, CEO of Palantir and best-selling author of Zero To One.

4. Meditate.

“Meditate. Breathe consciously. Listen. Pay attention. Treasure every moment. Make the connection.” – Oprah Winfrey, CEO of OWN Network

5. Read every day.

“Read 500 pages every day. That’s how knowledge works. It builds up like compound interest.”-Warren Buffet, CEO of investment firm Berkshire-Hathaway

6. Block time for email.

“Set aside a 20- to 30-minute chunk of time two or three times a day for email. Do not check continually through the day.” – Doug Camplejohn, CEO of predictive lead marketing company FlipTop.

7. Make your customers happy.

“We see our customers as invited guests to a party, and we are the hosts. It’s our job every day to make every important aspect of the customer experience a little bit better.” – Jeff Bezos, CEO of Amazon.com

Develop the right rituals. Become a successful CEO.

If the majority of these daily habits are new to you, avoid making the crucial mistake of adopting all of these habits at once. Research on habit-formation indicates that lasting habits are formed one at a time.

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For example, let’s say you’re excited about developing the following daily habits:

  • daily reading,
  • daily meditation, and
  • updating your to-do list every night

Let’s say that daily reading is the one that excites you the most out of the three habits noted above. It would be wise of you to begin by choosing and scheduling time to read every day, and then sticking to that time until it becomes a habit. Once it feels effortless and automatic, you’ll know that you’ve turned it into a daily habit. Now you’re ready to install the next habit… and the next… Until before you know it, you’ll start looking in the mirror and seeing the reflection of a successful CEO.

Featured photo credit: Amy Hirschi via unsplash.com

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