Location: Sometimes it is not just about having the right idea – it is having the right idea in the right place. A bad location can mean disaster to even the best-managed business. Some factors to consider when deciding on location include where your potential customers are, how accessible your location is, where your competitors are located and what sort of space you can rent for your business to operate from.
Expanding too quickly: Many businesses fail when they try to grow or expand too quickly. If you want to grow your business, it is important to have a plan to manage this process. Make sure the business can keep up with the demand from the growing number of customers. It is also likely that you might not be able to do everything yourself as the business grows, and therefore you will need to think about hiring and training staff to support the business.
Lack of support or mentoring: Many new entrepreneurs would benefit from mentoring or ongoing support from existing business people or project staff with skills in this area.
Knowing and being able to reduce some of these potential challenges will make your business more likely to succeed – but of course, there is no guarantee! However, if you do fail, it can be a great opportunity to learn from your mistakes and to use these lessons to succeed next time. Studies of successful business owners have shown they attributed much of their success to building on earlier failures. Before his eventual success, Thomas Edison, who invented the lightbulb, said, ‘I have not failed. I’ve just found 10,000 ways that won’t work.’
This article is adapted from Footsteps Magazine 103, which explores the theme of entrepreneurship and is packed with more practical advice on how to run a successful business.