Owning your own business requires a special kind of person who possesses a strong knack for calculated risk. Someone who is tenacious, thick-skinned, and brave is likely to experience success in the entrepreneurial world, but unfortunately those characteristics are not always enough to warrant success. So, what can you do to safeguard your business from failure?
Per a report from the Bureau of Labor Statistics, only 50 percent of new businesses make it to their five-year anniversary; the rest fail. Look at these four practices you can adopt to increase your chances of making it to that half-decade milestone.
Change your attitude
Per the New Thought philosophy, the law of attraction deems that your positive or negative thoughts will attract positive or negative experiences. In the realm of small business, this belief rings especially true. Your attitude matters, so strive to make it a positive one. Be mindful of negative thoughts entering your space – don’t let fear, frustration, and annoyance hold you back. Change your mindset by staying on task and organized, reading motivational quotes, and surrounding yourself with positive people -- good vibes are contagious. Stay determined and focused on your objectives through positivity and your business will flourish as a result.
Be vigilant over your competition
Like when you play cards, there are ways you can beat the odds in the business world and succeed. Keep an eye on your competition and use your knowledge to stay one step ahead of them is one way. Monitor their activity through social media and online reviews to see what may or may not be working for them. Local businesses can act as great regional guinea pigs, but make sure to also broaden your scope. Make sure you can capture what industry-wide competition looks like as well. The best business ideas will come when you take a step back and see how your peers are handling similar situations and changes in trends and follow suit.
Watch your money
What good is making money if you're just as good at wasting it? Adopt some good financial sense early in the game so you won't be paying the consequences later. Design a budget and stick to it, save reserves for seasonal dips, and hire an accountant or bookkeeper to guide you with some of the more daunting financial planning tasks.
Create a strong following
Creating a loyal customer base can take some time to develop but when you hit the holy grail, it can be lucrative. Start with your company mission statement and build marketing and public relations elements around it. This includes your logo, website, local ambiance, and even customer service protocol. It starts with brand awareness, continues with brand recognition, and is all reciprocated with some solid brand loyalty.
Business ownership comes with a lot of different challenges you must overcome if you want your venture to succeed. Though there is no magic formula to completely ensure the success of a business in this unpredictable business world, these ideas can help you prepare for eventuality and reach your full potential.