Cash on the past failures to build businesses to success

When you are beginning a new enterprise, the last thing you wish to think about is its failure. But addressing the common traits that lead to business failure from the very beginning would avoid the situation of putting the business for sale. Here we describe one of the primary reasons which commonly force business to head towards failure and offer tips on how to avoid them.

According to survey by small business administration half of the establishments pull on for 5 years and a third of them survive for 5 years are more. This is hugely in contravention with the belief that half the businesses fall flat on their faces in the first year itself and 95 percent of them in the next five years. Success rates notwithstanding, businesses do fail in significant numbers. Some key factors if not avoided are likely to weigh heavily on the business and sink it for good.

Starting the business on the wrong perception: Most people jump into business ventures to earn money and this is not a bad idea at all. But most believe that having your own business gives you the license to spend more time with the family members. And some take up business so that they don’t need to answer to anyone. If these are the lines of though then it is better to reconsider. On the other hand if you have the passion for conducting a business or love for whatever you do, you have a better chance of surviving. Your decision to do business should be based on a extensive market study and investigation, and the commodity or service you sell is actually in demand in the market.

Physical fitness and mental toughness is attributed to the success or failure of business. if you have sound levels of both these you are sure to survive the challenge. Patience, determination, drive and positive attitudes are the strength of a businessman who will stand the challenge of time while other fall by the way side.

Failure does not mean end of the road, because you will learn from the past mistakes and correct them in your next venture. It is a continuous learning process and most successful entrepreneurs attribute their accomplishments to "building on failures" or using the failures as a learning ladder. Most startup businesses pull down the shutter at the first taste of failure and put up the business for sale board, and fail to cash on the failures instead.

Choosing a business for sale is a good proposition as it importantly eliminates the bother of starting from the foundation level.