Plenty of people have started in business and failed, some failed quickly, others took longer, a LOT longer…
Years of observation and working with business people has taught me a range of things, the main things are how they failed in business, in often not so spectacular ways and what to do about it.
The reasons are often simple.
- No plan – No structural or marketing strategy
- Technical skills to do something but no business ‘personality’ or charisma to really sell, promote or build interest
- Low knowledge of the purpose and function of business – Profit is one thing, providing a reason to do so is another…
- Inability to look at the challenges and find ways to overcome them
- Being busy and working long hours does not always mean you are being productive
- Not enough start up capital, CASH to really give your project a go
- Lack of operational systems for when things really get going so you can develop a valuable asset not just a business
- Research – making and selling a gadget that is about to go off trend and fade is one thing, knowing it is fading is another…
- Not knowing how much money you NEED to make each week to break even and then how much profit to make, then what to do with it
A seasoned business operator will look at this list and say, hey that’s just the start… and they are right. There is so much to business that this list is just a starting point.
But that’s it, it’s all about starting points. Even people in business after many years find there are new starting points, like when computers started showing up in businesses, a new starting point. A new piece of technology for a manufacturing process… same. And so it goes on.
If you want to start in business, make sure you do something about addressing the basics listed above, sure they can be daunting, sure you will be tested, but you wanted to take the risk, you wanted to make your mark so do it, but do it right.