Home » Business

Why People Fail When Starting A Business

Aug 17, 2007
Have you ever wondered why 95% of new businesses in the United States fail within the first 5 years? Or why most of the rest of them will eventually fail? Knowing why is the most important thing you can learn if you want to make sure your business is not among those doomed to fell in the upcoming days.

Most offline and online businesses fail because of the lack of planning. It is truly as simple as that. Most businesses are started without a strategic plan for succeeding in their respective market niches.

Businesses are started all the time with passion and dreams, with the goal of being successful and making thousands and even millions. Unfortunately, they do not succeed because the owner never developed an effective plan to filter the ups and downs of the business. As the saying goes: No one plans to fail, but they do fail to plan, goes into perspective here.

If you strategically plan your business vision before you invest a single dime in your business project, you are far more likely to succeed than any other business in your market niche. If you failed with your business venture in the first 5 years of starting, it is most likely because you failed to plan and failed to have the proper business plan in mind even before investing in such business idea.

As businesses fail primarily because of the lack of planning, it is no wonder most successful entrepreneurs and Fortune 500 companies today invest more of their time in the business concept than they do in actually starting a prolific plan for a business company.

Some of you think it would be a mistake to share your vision with others in order to get a review of your business start-up model. You might be afraid of being laughed at or of someone stealing your idea. But it is a terrible decision to not have someone else review your business plan.

Some of you are simply intimidated by the idea of a business plan itself. You do not know how to do market research, for example, so you pretend it is not necessary and guarantee yourself of failure, rather than first asking for help.

And sometimes you fail to request assistance because of your strong entrepreneurial ego. The idea that you do not need any help is gibberish. That is indeed a huge error in judgment.

If you want your business to succeed, you should always have a plan, and have that plan reviewed regularly, even if you do not need outside financing. If you do need outside financing, you can bet you will need a plan.

Have your plan reviewed by people who have already succeeded. Or take advantage of the services offered by SCORE or your local SBA office. But have a plan and have it reviewed. Otherwise, you can plan on failing and that in no guys healthy mind, acceptable.
About the Author
Starting A Wholesale Business is one of the helpful components Joaquin serves as a coach online. His focus today is on helping people create wealth through acquiring the right Wholesale Video Games opportunity
Rating:
Please Rate:
(Average: Not rated)
Print Email Report Share
Article Categories