What next after your business fails?
For every quote on resilience there is probably a failure business that motivated its birth. Chances are you will not make it big in your first venture or first try at your business. Failures are part of entrepreneurship and success stories are easier to sell, you might not hear of the failures of many people who have made it.
Successful entrepreneurs are defined by their attitude. The willingness to learn lessons from your business failure will determine your chances of being successful. 20% of new businesses fail after a year in operation with about 40% of the successful businesses closing after 5 years.
While failure in business is common, it is however not a walk in the park. A business failing can strain your finances, relationships and your confidence in yourself.
What to do after a business fails.
Analyze your failure to figure out what went wrong
You may not feel like dwelling on it, but when a business fails, it is crucial to analyze every aspect that could have led to the failure. Find out what went wrong, where, how and why. Start by looking at what you wanted to achieve when you started the business and if you were able to accomplish it. If not, why not.
Did your product or service fill a noticeable niche in the market, did it have any competitive edge and did you communicate your value proposition clearly. Did you collaborate well with partners and employees? Look for any blind spots that could have contributed to your business failure to avoid the same mistakes costing you more in future.
After pinpointing what went wrong, you will be in a better place to determine whether you can improve on your idea or get a different one and start over.
Is Entrepreneurship the right choice for you?
Businesses are not for everyone, depending on your strengths you may realize that your personality and skills might not be sufficient to run a successful business. Before starting another business that could damage your finances, consider getting a full-time job for the immediate future to get back on your feet.
Read more on if entrepreneurship is the right thing for you at http://milhanaccesscapital.com/determine-whether-entrepreneurship-is-the-right-path-for-you/
Stay Positive
Getting excited again after a business failure is not easy, staying down is not an option either. Take note of things you enjoyed doing in your business to remind yourself of your passion for starting out in the first place. Look for ways you can maximize on the returns while noting down things that strained you that you can delegate or hire someone.
Look for mentors that can guide and jumpstart your enthusiasm. Talk about what you are struggling with, your mentor can offer business tips that might steer you in the right path.
Rise above your failure
Failing means you took a risk and went for what you wanted, not everyone can do that. If anything, it should give a boost to your confidence. Embrace the lessons that your failure brings. Do an audit/SWAT analysis. Determine the mistakes that you can correct and pick yourself up.
How to be a successful entrepreneur
Your success as an entrepreneur will be determined by your mental and emotional strength. Be of strong mind, have a willingness to sacrifice, be able to commit and have unwavering determination.
Be mindful of your circle of friends and have the right mindset
Mindset changes that successful entrepreneurs make.
Complaining does you no good– Complaining is a complete waste of time, hardships and challenges will undoubtedly arise, complaining about them gets you nowhere. Have the will to pick yourself up after difficulties and learn from your mistakes.
Learn from your failures– Every failure is a learning opportunity. Do not allow your mistakes to define you. Treat failures and mistakes as learning opportunities.
Get used to being uncomfortable– Comfort zone is not even an option when it comes to entrepreneurship. Discomfort is part of running a business, you will have to push yourself outside your usual limits to stay on top of your game.
Keep an open mind- When times are good, you may be tempted to maintain the same way of doing things. It is however necessary to find keep abreast with new technology earlier on.
Take risks– Your business success and growth will be determined by your ability to take calculated risks. Challenge the status quo, have a curious mind, question everything, seek knowledge, understand why what works, works.
Believe in your idea– Your faith in yourself and your ability to execute your business idea and prevail in times of hardship is the make or break of your business. Believe in your eminent success and work diligently to make it happen.