According to the statistics report on businesses that failed, which was released, by the Small Business Association, (SBN), “only 30% of new businesses fail, during the first two years of being open, 50% during the first five years and 66%, during the first 10. Only 25% makes it, to 15 years, or, more”.
It is a well-known fact that, sometimes, when a business fails, because the entrepreneur ran out of funds, surrounded him/herself, with the wrong team, low firepower, to battle competitors, wrong business model, low-quality products, ineffective customer relationship, bad location, etc.
By now, entrepreneurs should know that pushing that start-up, is not an easy task. It involves time, energy, close monitoring, research, networking and strong connections.
Sometimes, however, all the things stated above, may not be enough, to save a business, on the verge of collapse.
Failure is a prerequisite for great success. If you want to succeed faster, double your rate of failure.— Brian Tracy, from the book, “Great Little Book on Universal Laws of Success”
It is a constant war, out there, as most times, businesses are, often, on survival mode and it will take more than grits, to ensure that the business survives.
The good news, however, is that you can still steer that business of yours, to safety and ensure that, it survives its first 10 years.
Below are 3 tips that will ensure that a business is safe, from failing:
Understand The Market (Your Niche)
What really helped some of the top businesses in the world, to stay afloat, even, after 40 years is because, the Founders, absolutely, understood the market, in which they were operating.
Understanding how the market that you are operating in, goes a long way, in the survival of your business, as it entails you, having a niche, as well as, a brand that is very personal to you and you have been able, to maximize it.
Your niche and brand help to reduce competitors, as your products and services, become known for something that, others cannot give, or, are not giving, in the way that you would execute yours.
Research Your Market
As much as it is necessary that entrepreneurs must take risks, it is, also, advisable to take a calculated risk.
Having a random idea, about how the market you want to venture into, works, will only accelerate your failure if you do not carry out a well thought out research.
A well thought out research, gives you an edge, overall your potential competitors, as you will have a well-documented thought pattern, of your customers, in relation to your products and services.
Surround Yourself Motivated Talents
The third thing that will help you, to keep your business afloat is when you have motivated talents surrounding you.
When your workers are well motivated, they will go the extra mile, to see that the business keeps growing and even, if you are not around, to monitor some procedures, your workers will keep pushing the business ahead.
It is not easy, getting talents, but, when you get them, keep them motivated and they will work their socks off, just to see the business bloom.
You can also read, “Is your business losing money? Here are some possible causes and solutions”
Featured Image: opstart.ca