The #1 reason most startups fail is not a lack of skill, or knowledge, or planning, or leadership…
Actually, most entrepreneurs go into the startup phase of a new business with plenty of planning and skill. So, why is the failure rate of new businesses so high?
The #1 reason why most fail is simply that they underestimate the amount of money and effort that will be needed to make it work. I’m one of those statistics. Yes, I’m on business number 8 and while most have been successful, I have my big failure story. To save you the pain of reading all the details, I underestimated how much money would be needed for marketing in the beginning. In addition, I ran into unexpected construction expenses that drained the budget dry and pushed the grand opening back several months. These are things you can’t predict, but should expect and be prepared for. I simply was too optimistic in my mid-20’s and it cost me tons of money.
These are the risks you take with a brick-and-mortar business. There are many other business options available, if you think you have the entrepreneurial bug. Talking with someone who has had successes and learned from failures may be a good idea. Contact me for some frank discussion.
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