Top 5 Reasons Small Businesses Fail
The main causes of small business failure is the inability to connect. It is through communication with the business, the public and partnerships that any business succeeds. Learning how to sell is a fine art that few take the time to indulge properly. Below are some sales technique issues that small business owners often tend to ignore.
1. Not understanding how to manage time. The cliche that “time is money” is true. That’s why, as a commodity, it needs to be spent well. Every top sales person has mastered how to use their time properly. Your primary asset is time. It is all that you have in order to sell. How you use that time will determine everything, from work success to standard of living. Therefore, learn to use your time to the greatest advantage.
One of the most common causes of small business failure is lack of planning. Start every day with a list that was prepared the night before. Use an agenda to write down everything that needs to be done the following day. Include all tasks and fixed appointments. Make a separate list for ongoing projects that can be used when there is downtime.
2. Failing to adopt and change sales strategies. One of the main causes of small business failure is when an owner does not understand that every role is involved in sales. Savvy companies understand this, which is why CEOs, managers and other executives are always keenly aware of what the sales department is doing. This is why small business owners and entrepreneurs should be constantly seeking ways to improve their own sales skills.
3. Not recognizing your own strengths. Understanding basic Sales 101 is great, however, when it comes to the real world, using cardboard sales structures becomes one of the causes of small business failure.
Your own strengths should be what you build upon for sales success.
For example, if you tend to be introverted, don’t attempt to become an over-enthusiastic type. It will not work, because, more often that not, people see through that and will not respond favorably. Confidence comes from within and is not necessarily visible at all times. In fact, in today’s world, it is subtlety that rules.
4. Neglecting to understand the target market is another of the main causes of small business failure. Today’s business world is challenging. Consumers have access to information as never before. Therefore, they have more choices in the marketplace which makes getting their attention more important. Figuring out new ways to connect with prospects is key to growing any business. Social networking is one of the best ways to accomplish this.
5. Ignoring connections. It is easy to get trapped in a bubble when you are running a small business, thus it is one of the causes of small business failure. Every successful person has a story to tell about a mentor of some kind. It is those key partnerships that will truly make success a possibility.
Partnerships can be formed anywhere from the golf course to a business networking event. The best way to form good business relationships is by engaging within the industry of your products and services. From local events to the Chamber of Commerce, there are more networking opportunities available than most people ever realize.
All of the above causes of small business failure can be easily avoided by following a few simple rules. Above all, understand that selling is not really about selling. It is about communication. When small businesses fully comprehend what their purpose is and stay fully connected in the marketplace and beyond, only then can they truly succeed.
If you want to learn the most advanced selling techniques that will build your success with a solid foundation and help you grow your business, register for the most advanced sales training today!