Why do so many small businesses fail within the first year of business? There are many reasons a Small Business will fail before being able to make a profit. Some of the reasons could range from lack of necessary money to operate, to lack of critical knowledge needed to be competitive. Whether large or small, a business cannot sustain itself if it's not profitable.
One major reason small business fail is the inability to compete with or better yet, out perform the competition. What are some of the ways a small business can be competitive? One way a small business can be competitive is to know all you can about your type of business, and continue to learn about new trends related your product or service.
What should a small business look for? The business must take inventory of how potential customers respond to new technology, and how the customers’ buying patterns have changed over the years. So how does a small business adapt to those changes? To be more competitive and perform at a higher level, it is mandatory that a small business stay abreast with new technological trends in the industry that can help your business.
Many of us have heard the old saying that “cash is king,” however in today’s world that can be viewed as dinosaur thinking. With all of the new technology available today, it is easy and convenient to accept credit cards, allowing your business to be more competitive. Since most people don’t carry cash anymore, “credit cards are becoming the new king.” Credit cards are accepted everywhere from fast food restaurants to vending machines, and there is no reason to carry cash.