Common reason of business failure

[Philip Omotayo]

One of the common reasons for business failure is lack of adequate information and knowledge about the business. You can't just jump into a business you barely know. One need to trained and retrained so as to become expert in the field. More so, most people when they lack patronage at first, they lose hope and they give up on the business.

 

[Ridorz]

Reason for business failure are many it may be lack of proper management,it can also be lack of business idea,some are failures because of the low capacity when their is no money to finance the business it can go down, also the business failure occurs because of inability to manage business from the manager

Yes, you are right. That are the major things that usually make a business faild. If there is no accurate knowledge/idea about a business, or there is no capacity of business financial. Then lack of well management can easily make business failed.

 

[Tariq Nazir]

There are several reasons for business failure one of the most common reason is money mismanagement if you are not able to manage your money properly your business is definitely bound to fail. Lack of proper management practices, frivolously spending money meant for business and a lot of other factors

 

[Sehrish]

Common Reasons Why Businesses Fail​

1. Starting With Too Much Debt
2. No Business Plan
3. Mismanaged Cash Flow
4. Ineffective Leadership
5. Failure to Adapt

Every neighborhood has one: a storefront that changes into a new business every six months. Maybe it started as a breakfast café, then it was a karaoke bar, then a nail salon. These new small businesses set up and shut down almost before anyone can even notice.

These ever-changing storefronts can be a scary reminder that small businesses can come and go in no time at all. Twenty percent of small businesses fail in their first year. That number rises to 50 percent by their fifth year. While those stats might be disheartening, they don’t portray the whole story. Many small businesses fail because of a few finite mistakes. But the great news is that you can avoid these reasons why businesses fail but understanding, recognizing, and solving these top mistakes

 

[Hybeegold]

Many business fail because of no better planning on how the business will grow. A business needs a total concentration and total commitment to enable long lasting impression.

 

[Prettyjanie]

When is comes to business, it requires a lot. A lot of people think it's is just to start a business because other people are doing it, without undergoing the necessary training, research, and all that is required to start a business.

 

[Chibson]

I have commented before but let me add you say again. There was a man who was doing very well in his business. His shop is a provision store shop. This man was doing very well in in his business on the he got married to his wife. When the wife came, this man's business started to fall. I begin to ask myself, what has the wife broughybin his life that made his business to fall like this.

 

[EVA34]

Poorly planned or executed marketing campaigns, or a lack of adequate marketing and publicity, are among the other issues that can make businesses fail.

 

[Rainlover207]

You are right, entrepreneurship is something you have to fully concentrate upon, failure in business may not be intentional but it is very easy to achieve, when the business plan is not strictly followed or when the business spends beyond its limit due to unnecessary expenses or when there is a bad customer service and irresponsible employees and many more.

 

[Victor001]

In business when you fail to plan you plan to fail, the inability to seprate capital and spendings have closed most business, adaptation is also important to aid business diversification to meet certain needs.

 

[Ezzyoj]

Many businesses failed for different reasons, Some of the common reasons why businesses fails are lack of packaging, lack of experience, lack of capital, lack of customer service relationships, lack of promotions and some times it failed when expenses are bigger than income
[automerge]1612631820[/automerge]
Many businesses failed for different reasons, Some of the common reasons why businesses fails are lack of packaging, lack of experience, lack of capital, lack of customer service relationships, lack of promotions and some times it failed when expenses are bigger than income

 

[jay]

Business failure is as a result proper management. When a business lacks proper management it has lost it basics. You can't clearly state the inflow and outflow of income nor state the inflow of commodities.

 

[Oliver 20]

The most well-known reasons for business come up short incorporate an absence of capital or financing, holding a deficient supervisory crew, a defective foundation or plan of action, and ineffective advertising activities, even poor managerial skills

 

[Psalmsavatar]

In my country, Nigeria,the leading causes of business failure may include not knowing how to provide leadership for human and material resources, poor marketing skills, lack of business capital, starting a business 'to make a lot of money' kind of mindset, choosing the wrong location, among many other limiting factors.

 

[Ogbest]

There are several factors that causes a business to fail:
1. No or insufficient business plan
2. No efficiency during business activities
3. A negative results of feasibility study and one still starts the business anyways.many things can make a business t

There are as many things as possible that can make a business to fail. If the business in a bad location, it can affect the business negatively, seasonal, poor planning and management is another major thing that can make a business to fold. So one needs to be careful when starting up a business.

 

[Kingsley]

Common reasons for business failure might look very insignificant but indeed they could be very disastrous, first we will look at customer relations or I would say customer relationship, How we relate with our customer can determine if they will return back to purchase from us. We need a very sound customer relations to succeed in business, then consistency matters a whole lot.

 

[Defaith]

Most reasons for business failure is sometimes bad business plan, when you are planning a business, you have to be careful especially location aspect, good location is really important when planning a business and also lack of capital also leads to business failure. Business requires sufficient capital to continue

 

[zahidhussain]

Running a business is not for the faint of heart; entrepreneurship is inherently risky. Successful business onwers must possess the ability to mitigate company-specific risks while simultaneously bringing a product service to market at a price point that meets consumer demand levels.

Running a business is not for the faint of heart; entrepreneurship is inherently risky. Successful business onwers must possess the ability to mitigate company-specific risks while simultaneously bringing a product service to market at a price point that meets consumer demand levels.

Running a business is not for the faint of heart; entrepreneurship is inherently risky. Successful business onwers must possess the ability to mitigate company-specific risks while simultaneously bringing a product service to market at a price point that meets consumer demand levels.

the most and common failures of the business is the lack of experience and no information and planning about that work which can start a business man can start. A new

Running a business is not for the faint of heart; entrepreneurship is inherently risky. Successful business onwers must possess the ability to mitigate company-specific risks while simultaneously bringing a product service to market at a price point that meets consumer demand levels.

the most and common failure to start a business is to that lacks of experience and no information about that work.no planning is also a big problem which cause a business failure. A new and fresh young man who start there business should have better management and also have minimum 1year experience about the related business

 

[Ottoman]

Leadership Failure. ...
Lacking Uniqueness and Value. ...
Not in Touch with Customer Needs. ...
Unprofitable Business Model. ...
Poor Financial Management. ...
Rapid Growth and Over-expansion.

 

[Luckboy]

common reason small businesses fail is a lack of business acumen on the part of the management team or business owner. In some instances, a business owner is the only senior-level person within a company, especially when a business is in its first year or two of operation.

While the owner may have the skills necessary to create and sell a viable product or service, they often lack the attributes of a strong manager and don't have the time to successfully oversee other employees.