Business Failures

Business FailureThe 8 Traps Causing Failure And The One Attribute Which Ensures Business Survival

An analysis of the reasons for business failure suggests that over 60% of all business failure is due to poor management practices.

Learning Management Skills: There are two very good ways for small business owners to learn management skills.

One is to find out what the “high-fliers” in your industry do, and do the same! Perhaps then you will become a “high-flier” too!

Another is to study the mistakes of others.

 

The following are the 8 traps, which cause business failures:

  • Trap 1 – Discounting the need for experience

     

  • Trap 2 – Sloppy Bookkeeping

     

  • Trap 3 – Spending more than you receive

     

Often a shortage of cash is a symptom of other problems with the business, so your first move should be to your accountant.

If you don’t PLAN training for employees
you are wasting time and money.
Ensure training provides return on investment

Employee Training Session

  • Trap 4 – Failing to Plan

     

  • Trap 5 – ‘Dilly Dallying’

A trap for the unwary is to allow the business to run the proprietor instead of the proprietor running the business. Sometimes this a symptom of poor planning, but often owners fritter away their time on trivial matters doing insignificant tasks which staff should do while vital jobs are left undone.

  • Trap 6 – Poor Marketing
  • Trap 7 – Poor Employee Management
  • Trap 8 – Assuming the proper role as an owner
Make Your Strategic Plan A Living Dynamic Document. Get it out of the drawer.

Making Strategic Planning Work teaches you how to make sure your strategic plan doesn’t end up as a forgotten document buried in the back of desk drawers. You invested the time. Now, make sure the plan guides managers and employees every day of the year.

Business strategy organizational charts and graphs


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