#120: The 10 True Reasons Businesses Fail [Podcast]

Most small businesses will fail. According to StatisticBrain.com, 25% of businesses will fail in year one, by year five the failure rate is 55%, by year ten it's 71%. Why does this happen? There are many explanations being offered, from industry changes to economic environment. My strong belief is that most of these so-called reasons are excuses. And when we get right down to the real reasons most businesses fail, it turns out the top 10 reasons are all within your control. In this episode I will explain what the 10 true reasons are, and how to control them and increase your odds of success. Announcements: If you enjoy the podcast, I would consider it a great favor if you subscribe (and leave a review) in iTunes. This helps new people discover the show. A big thanks to Phil Conrad, Chris Michalowski, Kent Julian, for giving us a review on iTunes in the last last week. I'm speaking at the Platform Conference in November. Register using this link, and as you check out enter the promo code RAY to save $100 on your ticket. Tip Of The Week  Did  you ever sit squirming in the movie theater, because you needed to run to the restroom but didn't want to miss an important scene? Now there's an app to help you out. It's called RunPee! RunPee lets you call up the movie you're watching and the app will tell you when is a good time to go to the restroom, how long you have, and even tell you what happens while you're gone. It has silent alarms you can set up, letting you know when it's safe to go to the bathroom, so you don't have to take out your phone in the dark theater. The best part is… it's free! Click here to get the RunPee app.   Spiritual Foundations Following Jesus can be confusing sometimes. First of all, Jesus himself said some of the most puzzling things. And now, 2,000 years after he rose from the dead, there are many conflicting opinions about what he said and did. How do you know who is telling the truth? Who really represents the Spirit of god, and who is a false teacher or false prophet? I think there are 5 distinguishing characteristics that should be warning signals of false teachers or doctrines. (For further reading, see 1 John.) Claims to be the "one true way". Promotes an "us against them" mindset. Sets up one person as the "ultimate authority" who must be blindly obeyed. Over-emphasizes one doctrine or scripture in a weird way. Uses fear and manipulation to control followers. Remember what Jesus himself said: "By this all people will know that you are my disciples, if you have love for one another." (John 13:35) Feature Segment: The 10 True Real Reasons Your Business Will Probably Fail Most businesses do not close because of competition, the economy, regulation, or any of the other excuses businesses owners use to explain their failure. Most businesses that fail do so because of preventable mistakes on the part of the business owner. The most common reasons are: Mediocre product, customer service. No employee training system. No marketing system. No investment in business/staff improvement. No clear objectives. No testing and tracking. Inefficiency. Laziness. No advisors. No cash. In the audio, I explore each of these in depth, and provide solutions to each of these problems. What To Do Now Steps you can take to put this week's episode content to work for you: Get your business or web site promoted on my show by givings us a review in iTunes! Review the list of the 10 reasons businesses fail and ask yourself: could I improve in any of these areas? Do what it takes to correct any of the mistakes you or your company might be making right now. Get The Transcript Click here to get the transcript. Transcripts provided by SuccessTranscripts – a great solution if you need your podcast, sermon, speech, or other audio transcribed. Question: What action will you take this week to strengthen your own business? Click here to leave your comments.