6 Ways to Avoid business failure
There are unpredictable reasons for the business success and survival i.e. both external and internal factors. A large number of business failure and success depends on the problems defined by externally. Most small business owners have limited experience in management while tend to have technical or professional skills. This can result in subsequent reversal of the fortune in the widespread business failure. Everyone including suppliers, investors, employees, and customers lose when a business owner fails. How businesses can vigorously protect themselves from any threat?
according to the recent stats and figures:
90% of the business failure results due to cash flow problems
Net profit margins expanded to 10% in 2017, which is up from 5% in 2016
80% of the business owners serve 2 years in business, 50% of all businesses form it 5 years, 30% sustains 10 years
50% of business owners strike cyber attacks, only 20% of small businesses rates their ability to mitigate vulnerabilities, cyber risks, and highly effective attacks
50% of the entrepreneurs start their business at home while around 10% of owners of small businesses close each year
For each small business owners some questions are more important in answering them:
Check the total full-time personnel currently employed by your business.
In what region is your business located?
Discuss gross sales or revenues for your most recent fiscal year?
Which best describes your business?
Which best describes the industry or sector in which your business operates?
People around you are full of ideas. Some of them even like to blurt some whenever there is a chance. Pretty often, a friend of mine comes up with new viable business ideas, but seldom does the course looks good to drag it to the market. Well, not exactly drag it, should have said ‘bring it’.Well, apparently I walked him to his testing room where he gave me some samples of a dessert he had prepared. It was good, had potential, only if the packaging and marketing of the same weren’t too challenging. Soon he trashed the idea and that’s where he failed. Well, that’s the story. That is how many innovators goof up. People give up soon thinking it might not work, or might require a great deal of effort to get it up and working. It is disappointing to have a sudden idea rush, only to drop it into the bin. Usually, there are some essentials for invention and product development.
Source:
https://www.invoicera.com/blog/entrepreneurship/ways-to-avoid-business-failure/
