Friday, July 23, 2010

Houston Estate Tax Lawyer Discusses Why So Many Businesses Fail

From the Desk of Kim Hegwood, Houston Estate Tax Lawyer

You know that the failure rate in small business in this country is very high. At least 85% and maybe as high as 98% of new small businesses fail before they hit the five year mark and the statisticians and the accountants will tell you that they believe that the reason for that failure is under-capitalization and poor fiscal management.

I can point you to small businesses that have failed with enough money to do everything they needed to do ten times over. And some management consultant will tell you it is poor management ability. I suggest to you what it is in most cases is that the small business owner decided that once he or she was in business they didn't have to sell.

Many people in many types of small businesses believe they do not have to sell. For example, doctors believe that they don't have to sell. There are a lot of restaurant owners who believe that. Many retail store owners believe that "we open the doors and the customers come to us and we don't have to sell anyone."

You obviously have some method you use to promote what it is that you do or you would not even be in existence. But you may only have one method or two methods or three methods that you use. The more methods, the more business. Diversity is the creative opposite of laziness.

So may I humbly suggest that you need to think: "How can I use more methods to attract people to do business with me than any other competitor will use?" Again, the more methods the more business. Hopefully that thinking process has begun to take place for you today.