- Description
- Specifications
People wanting to be their own boss often move into small business with many unreal aspirations. You often hear of a person committing themselves to the absolute hilt to buy a business, although they know little about management, bookkeeping or accountancy and even less about the trade or business in question. To obtain the necessary capital, they drew their savings out of a bank or take out a personal loan from a finance company, secured by a second mortgage against their home.
They often do this without seeking any advice from a Professional Accountant, Solicitor or Bank Manager.
By doing this they start out on a difficult and competitive task with inadequate security or advice, lack of forward planning and a very high probability that they will become one of the small business failure statistics. You also hear the stories of people who started out with very little and are now operating multi-million dollar businesses. These people are "winners" in the true sense of the word. However for every winner, there are unfortunately lots of loosers.
Challenges, hard work, anxiety, mistakes, problems, long hours and more problems are much more likely to be the story of the average small person, then a lightning path to fame and fortune. This is not to say that you will not end up a multi-millionaire from starting out in your own small business. It is up to you how you manage the "business of the business".
This paper examines the pitfalls of starting a business in an honest and realistic way. The paper is presented under the headings:
- Starting Out
- You Can Improve Your Chances Of Success
- Major Reasons For Failure
- Successful Business Is Based On ....
- Professional Advice Is Important
- You Have To Be Realistic About
- To Avoid The Pitfalls