In today's business climate, if you are not as savvy or in the know, you might as well call it quits. For your business to succeed, you must know all the key areas of your business inside out. If you don't know those areas, then you must have staff that is qualified to do the work and more.
SBA statistics show that over 90% of start up businesses fail in the first year. Why is this the case? This happens for a number of reasons. Let's look at a short list:
* Business Owner's experience
* Financial situation
* External Factors
* Internal Factors
The short list above can be broken down based on the individual business owner. Looking at the list brings to mind that there might not be enough capital to operate the business prior to profit being made, that is, after gross income minus all expenses, taxes, and other financial obligations. It also brings to mind the fact that the business owner might not have prepared for the external and internal factors that can affect a business from staffing, timing, obligations, mandatory requirements, and more.
Assessing your business model, business plan, marketing plan, human resources (internal and external), and your personal and business financial position is extremely important. You need to ascertain whether you are in the right industry for your skill set, or if you need to improve your job force. This is where a personal skills assessment would certainly come in handy. This would include your skills, strengths, weaknesses, and much more. It would help you figure out whether you are in the right business or if you should be doing something else.
Access to capital is another major contributor to start-up businesses failing so quickly. You must determine if capital resources are a positive or negative factor. Know how you will gain access to capital through a variety of methods as this will assist you in staying in business longer.
Written by: Karlene Sinclair-Robinson
Author of The Small Business Owner's Guide To Alternative Funding
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To all guest visiting this blog for the first time, I welcome you. This blog site will endeavor to post valuable and meaningful articles and information to guide you. It is my hope that you learn something of value from visiting Accessing Alternative Business Capital Blog. I look forward to reading your comments. Do not hesitate to contact me with your questions and thoughts.
"The Fear of Success is just as debilitating as the Fear of Failure. Do not let either one hold you back." ~Karlene Sinclair-Robinson
"The Fear of Success is just as debilitating as the Fear of Failure. Do not let either one hold you back." ~Karlene Sinclair-Robinson
Monday, August 16, 2010
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Spank The Bank: The Guide to Alternative Business Financing
The Small Business Owner's Guide to Alternative Funding
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