Did you know that something like 30% of companies fail within five years, despite all of the efforts of their owners to keep them running. Canada and the US have become more and more small business-friendly, but the truth is that many small businesses are still doomed to fail from the get-go.
The reasons behind business failures can be many, such as:
o Lack of sufficient capital
o Poor business strategies
o Failure to plan for success
o and many more …
The truth is that no business is guaranteed to succeed, and it’s your job as the entrepreneur to try and determine what could cause your business to fail. If your business is failing, will you be able to see the signs? Below are a few signs that it may be time to sell or close your business.
You’re investing double the time for half the results
Once you may have sold an amazing quantity of product, but now it’s taking all your time to sell half of what you used to. If you see your company is requiring too much time and not yielding better results, it may be time to consider closing, selling, or reincarnating your company.
The team just isn’t motivated
A company that’s selling, growing, and doing well is usually filled with employees that are highly motivated. They’re part of something that’s expanding, and they know they have a part to play in that. Their motivation is a huge part of what keeps the company successful.
So what happens when that motivation dies? Often, the lack of motivation causes sales numbers to drop, which causes income to taper off, which in turn causes cutbacks, and thereby causes you to lay off people. That decreases motivation even more. If you notice that your team has no drive, it could spell the end for your company in the very near future.
You’re not newsworthy anymore
If you find your company hasn’t been in the news for several months or even years, that’s a bad sign. The media tries to cover stories that are interesting and newsworthy, so the lack of media attention could mean your company is worse than yesterday’s news.
It’s time to do something to get your company back in the public eye if you’re serious about staying afloat. Making headlines is pretty much the only way to stay competitive in a city or country with so many rivals.
You have to sell to your customers
If you’ve got a product that’s worthwhile, it will sell itself. Initially, you’ll have to invest lots of time into sales, but eventually the ball should keep rolling along on its own. A product that’s worth it for customers is often passed around via word of mouth, and that’s your best sales tactic.
If you find that you’re having to “sell” your customers on the product, however, that may be a sign that things are heading downward. Customers may be tired of your product, or have found something better.
You just can’t deliver
How many times have you used an excuse to cover for your lack of punctuality on a delivery or shipment? Too many times companies that are heading for disaster find that excuses are the only thing they can hand out promptly. The lack of professionalism is an indicator to clients that things aren’t going well.
On the brighter side, many people have been turning to Canada for investment opportunities, taking advantage of the many businesses for sale in Canada. Not a few regard these opportunities as a wise investment.
If your business is in danger of going under, now may be the time to try and find an investor that can help you turn your company around and make it profitable once again!