Businesses Don’t Fail; People Fail
There is the often banded statistic that one in three business fail within three years, where this figure came from I don’t know. I suspect its urban myth and taken as fact as I can’t find any source. With all the talk about the economy and the Global meltdown, going into business must be one of [...]
There is the often banded statistic that one in three business fail within three years, where this figure came from I don’t know. I suspect its urban myth and taken as fact as I can’t find any source.
With all the talk about the economy and the Global meltdown, going into business must be one of the riskiest things we ever do in our lives.
Then we find it’s harder than it looks and in many cases we fail, and there are a lot of explanations for failure: global meltdown, climate change, political unrest, cash flow, two rapid growth, two slow growth, underfunding, poor location, crap product, unreliable suppliers, poor staff and unhelpful banks.
But in our heart of hearts, if we are brutally honest with ourselves we know the cause, we are the cause of failure, I know, I’ve been there.
We are the reason businesses fail, our bright entrepreneur spirit full of hope and aspiration of making millions, creating jobs, excited by the thought of risk taking we become blind to the truth. And the truth is not about blame it’s about accepting responsibility for the fact we cocked it up, we didn’t see it coming, we failed.
We simply didn’t get it right and no amount of blame can alter this fact.
I have consulted with companies who thought they had invented the best thing since sliced bread, only to find that they had not bothered to find out if anyone actually wanted it.
I have seen businesses fail where the CEO or owner/manager had a vision but did not share it with the people who matter, the customers and employees.
When you think about starting a business and have that bright idea, take a step back, do research, talk to others, test the market, cover all possible contingencies, make sure there are enough customers prepared to pay for your vision, and the value you attach to it, then just maybe you will not just be another statistic of business failure.
By Ian D Broadmore -“Dare to be different” 2009 ©
Ian Broadmore is a successful entrepreneur and motivational speaker, a former bankrupt who now helps businesses stay in business. www.ianbroadmore.com