Research has indicated that there are some common reasons for businesses failing, so it is important that you are aware of these common reasons for business failure, which primarily impacts on your cash position, so you can plan to avoid these.
These are key areas we are reviewing for our clients and discussing with them at the appropriate times.
- Not enough capital
- Growing too fast
- Hiring the wrong people
- Lack of experience
- Too few customers
- Setting prices too low
- Poor financial controls
- Bad debts
- Poor control of your overheads
- Poor communication with staff
- Bad management & Poor supervision
- Poor communication with suppliers
- Poor communication with customers?
- Poor planning