VIDEO- How to Keep Your Business From Failing
According to the US Census Bureau, 5,044,748 businesses were started in 2022, but only about 22% will make it past their first year. And 50% of those will fail within the next five years. You obviously do not want your business to fail, so why is this?
Primarily, poor management.
1. Most people who start a business do not have the necessary experience as an entrepreneur and may not have taken on enough research and market analysis beforehand.
2. They do not understand supply and demand, leading to there being too much supply for a product or service with little to no demand.
3. Lacking enough capital can be devastating as it can take years for your business to realize a profit.
4. If you are not a good leader, your business will not be able to flourish, especially if you have employees who are unmotivated.
5. A bad location for your office or shop will cause a lack of customers or clients, which will lead to poor sales and no revenue.
All of the above topics should be considered when you decide to start a business. You do not want your hard work and dedication to go to waste, so be sure to plan, strategize, and execute accordingly.
Part of planning for your business is making sure you have a reliable financial advisor. If you do not have one, we would love to help you! At XQ CPA, we are dedicated to serving and growing with your business. Give us a call today at 832-295-3353.