DEALING WITH BUSINESS FAILURE.

Andrew Robinson - Kit Group CEO The failure rate for small businesses is very high. I’m told that 80% of start-ups fold within 18 months. I don’t know if this true for South Africa, but it sounds about right. The popular narrative is that this is a fundamental reality of capitalism and that, therefore, if you fail, it’s not your fault. We’ve all failed and there are indeed times when this was out of your control, but for the most part, as comforting as this is, absolving yourself of blame for your business’s failure unfortunately is simply a sop.You will be told to follow your passion and that this will be the elixir of success. But you can’t pay suppliers, lenders and employees with passion. That takes cash and cash comes from one of two places: customers who want what you’re selling or investors who think that customers are one day going to want what you’re selling.