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4 Small Business Pitfalls and How to Correct Them

The U.S. SBA (Small Business Administration) estimates that 50%+ of small businesses will fail during their first year of business.

Although the statistics may be against you, keeping a brand new business thriving is not impossible. By avoiding common small business pitfalls, you can tip the scales in your favor.

1. Lack of Commitment. Make certain you and your business partners can and will follow through. Unfortunately, some individuals might be so excited with starting a new business that they fail to take time to really think about everything that is involved with it. The founders of a business build the foundation, and with a shaky foundation any business is sure to falter.

Everyone should understand that starting and running a small business takes a lot of time, dedication, and money.

2. Poor Planning. Every business should have direction with a good plan. A good business plan will not only show strategy, but it should show financial projections and other vital details. Take time to develop a solid business plan, it will also help you in the long run. You will also need a business plan if you expect to receive any kind of serious financing.

Every good business has a plan. Take the time to write this plan down on paper.

3. Little Marketing. Sadly, many business owners don't put enough planning or money into their marketing efforts. When you're marketing your business, set a time limit and have goals. If your businesses' lifeblood is new customers, your marketing efforts will be your life line to more profits.

Don't neglect your marketing efforts. If you build it, they won't necessarily come. Develop a marketing plan, then get the word out as best you can.

4. Lack of Funding. Before you start your business make sure you correctly calculate just how much everything is going to cost. Every business needs a steady flow of capital to stay afloat, make sure you can meet this demand.

Have enough capital to start and keep your small business going. If you don't have enough, think about taking in partners or getting some form of financing.

About the Author: Published by Visit us for all of your Home Based Business Article needs.

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