The failure rate of startups is pretty high, especially for entrepreneurs who are just starting out. Even if you start with an excellent idea, it takes a dedicated team to make that idea a reality. You will need a plan for most contingencies and external factors beyond your control. A lack of overall experience can also easily cause a business to collapse.
Failure is a real possibility for the vast majority of business owners. So, you must ask yourself the question, what am I going to do if I fail?
- Never Take Business Failure Personally
The success of a business isn’t easily predicted, and unexpected circumstances can take place at any time. The point is to be fluid and adaptable. The better you can accept and allow for change, the easier you can recover from a business failure or a big change that takes place.
- Get the “Why”
The root causes of your business’s failure are most likely identifiable and common. Evaluate your business’s history, even if it’s short, and see if you can pinpoint what didn’t work, and the decisions that led to those occurrences. The better you understand this, the more likely you’ll be to prevent similar outcomes moving forward.
- Work With Other Entrepreneurs
Collaborate with other entrepreneurs, whether that be by attending networking events, connecting with entrepreneurs on social media, or simply introducing yourself to more business owners. You can discuss experiences to get fresh perspectives, and make new contacts along the way. Ideally, you’ll learn new ways to handle the issues you encountered as a business owner and probably get some sympathetic support.
- Take Time for Yourself
Entrepreneurship is very demanding, Entrepreneurs commonly give themselves to 60 hours of work, or more, every week. Losing a business is quite a harsh learning opportunity! Be patient with yourself and use this time to take a step back, gather your thoughts, and de-stress. Clear your mind enough to come up with a build some new ideas, and prepare yourself to take on whatever you have planned around the corner.
- Another Business Venture?
So, you’re starting over? What is your next endeavor? It is time to think about your new business plan. If you really are cut out to be an entrepreneur, don’t ever let a single business failure prevent you from following your dreams. Begin thoroughly documenting your pending business ideas, and sketch out the promising ones with prototype business plans.