Solution for Business Failure
If you are setting up your own business, then you should know how to deal with the failure and problems that come in front of your business. Most businesses fail due to they do not have the strategy after failing in the result. Perhaps, this is the main reason that a number of small businesses fail in one or two years of starting up. So here are some tips of solution for business failure.
I am sharing some tips here that show you how to deal with failure in the business. Here are 5 solution for business failure.
Statically, out of 10 businesses, 80 percent of businesses pass the first year rank; although the rate of the business failure is increasing continuously. In the 2 year of business only two third of businesses survive. In the fifth year half will survive and in the 10 years only 30% will survive. As a result we can say that 10 out of 7 businesses fail in their first 10 years only 3 survive because of strategy.
Although, No businessman wants to come in this pandemic situation, make sure you are fully prepared for the upcoming failure.
Here are some solution for business failure, which helps to grow your Business from failure.
Table of Contents
1. Managing cash flow in correct way
Basically. Cash flow is a fund which goes in and out from your business. If you want to achieve more in your business you have to track your cash flow approx 4 times in a month. These tracking on your cash flow tell you how much profit and loss you earn in a month.
When it comes to the financial management of any business, we can say cash is king.
There are two types of cash flow, first is negative cash flow, second is positive cash flow. Positive cash flow does not come by chance; you have to work on it. You need to look at the report of your cash flow where you spend a lot and where you earn a profit.
How to improve the cash flow?
- Securing loans
- Pricing discounts
- Increasing sales
- Tightening credit requirements
- Collecting receivables
2. Believe in yourself and your ideas
Some people say successful businesses run because of luck, connection and background. Perhaps I think the most successful thing which makes you successful is self belief. Believe in yourself and your ideas make you succeed, don’t look for the result just make believe in yourself .
“The biggest difference I’ve noticed between successful people and unsuccessful people isn’t intelligence or opportunity or resources. It’s the belief that they can make their goals happen.”
If you have a belief in yourself and your ideas within a business. I will make sure you will achieve success.
Through this you are one step closer to achieve success, if you have a belief in yourself. At last, belief in you is the name of the game.
3. Start deep analysis of your business
Taking a proper and good look at your business can make you your business on another peak. You can do a sort of adjustment for upcoming difficulties. Make some solution for business failure it helps to regain the business.
Basically business analysis is terms in which you find problems related to the business failure. It also includes some software- system development components.
Why use business analysis?
- It helps you to determine the structure and problems of your business.
- Business analysis helps you to focus on the current problem in the target zone.
- It helps you to improve your basic and some pro strategy for your business.
One simple way to manage the business analysis by (SWOT technique)
S- Strength W- Weakness O- Opportunities T- Threats
4. Start thinking towards the future
Now, you faced failure over with it’s time to think about the future don’t cry like a baby after failure. It’s time to prepare for a bright and thrilling future.
That’s the time to spend on the new business plan. If you are a serious entrepreneur and businessman, no failure or disturbance can pull you. You have to just believe in yourself and go ahead.
Start keeping track what’s going wrong in your life and your business and correct them. At the end, come back with full potential and make the business on top.
One important step to take is rebuilding your vision and adjusting it to make up for the recent failures
“Inaction breeds doubt and fear. Action breeds confidence and courage. If you want to conquer fear, don’t sit at home and think about it. Go out and get busy.” – Dale Carnegie
5. Be prepared to fail
You will fail, it is unavoidable. So you might be prepared for it. Acknowledge the failure and put it in perspective you cannot come back from the mistake after knowing you done this you have to accept the mistake for the upcoming future. Look for cause not blame if you have a cause in your business you have to find this cause. Apart from, blaming on others. You Take control from this type by finding cause other than blaming others.
Failing is the truth to become success. Moreover, you going to fail more time than success. But the truth is how you come back from this failure is real success. Be Prepared for this.
Go through the article 5 year business goal