Sunday, October 26, 2008

Good Knowledge - Key to Success

It is believed that at least 90% of all small business failures can be traced to the fact that the business owners had little or no knowledge about how to run a successful business.

Obtaining this knowledge can involve you (as the business owner) taking a small business course or reading up on all the areas involved in starting, running and growing a business. One of the most important things you have to do when you are desirous of starting a business is to calculate the feasibility of your idea.

You need to do a feasibility assessment and if this shows that the business has no likelihood of making a profit, then it has to be set aside.

A small business owner can avoid many mistakes and he/she will not know about this without that knowledge. Good business knowledge plays such an important role in determining success or failure that it would be a good idea for the government to bring in a simple registration process, where no one can start a business without passing a very basic exam on how to set up and run ...

2 comments:

Gail Robertson said...

Nice post. I want to run my own business soon, so I'll remember this one. I know it'll be challenging, so I can use all the help and advice I can get. I've been thinking about buying a business lately instead of starting one from scratch. Maybe a franchise? I don't know. Do you have any suggestions or advice? Thanks!

Erin W. said...

@Gail - If you're thinking about buying a business, there are bunch of websites that offer the service. I know there's BizTrader.com, which is this online global marketplace where you can buy and sell a business. It has excellent tips and advice, and you can also use it to find a lender, broker, etc. I also highly suggest checking out any small business groups in your area. They can be very helpful, and it's always good to network. Good luck!