Increase the chance at success of your small business start-up
90% of start-ups fail within the first three years. That's a sobering fact. If you have been in business for more than three years - give yourself a pat on the back! You've earned it. If you are planning to start a business please be mindful that you have only about a 10% chance of success. I'm not going to sugarcoat this. You will have sleepless nights and stressful family situations. You may also be jeopardizing your life savings.
So what can you do to increase your odds for success?
There are three excellent preliminary things to do:
Study your competition. Learn from their strengths and especially from their weaknesses. Find out their pricing and how it compares to what you thought you can charge for your goods or services. No matter how much time you've put into studying your competition, I assure you that it's not enough. This is the single best source of knowledge before opening your new business.
Read books that can guide you in starting a business. There are a number of good new books on the market by successful entrepreneurs. I particularly like those that talk about the many failures experienced before success was achieved. Every entrepreneur will tell you that mistakes and failures are the best preparation for success.
Write a business plan. A good business plan is ever evolving and serves as a true 'road map' for your business. It gives you a goal and objectives to achieve and let's you compare the reality with your expectations and aspirations down the road. If you need help assembling a plan, there are free resources and counseling available that are supported by the Small Business Administration (SBA): the Small Business Development Centers (SBDC) and Service Corps of Retired Executives (SCORE)
Despite the daunting prospects, many people feel the desire and indeed the need to be in business for themselves. If you are one of them - do your homework. It may make all the difference!