Business Failure is a Fact of Life

This year 97% of all home based businesses will fail. That statistic may seem abnormally high but just because a business does not go bankrupt doesn’t mean it didn’t fail. Much of the home based business failure occurs simply because the owner gives up and goes inactive in their business.

The causes of business failure vary. Between family and a job, some people aren’t able to put in the necessary time. Others are impatient expecting to get rich quickly. When that doesn’t happen usually they quit one program and move onto another they think will generate the millions of dollars they seek.

However, the Main Three Reasons for Business Failure are:

1) Lack of Effective Marketing

I just can’t say it enough. Marketing is the backbone of your company and often determines whether you will experience success or business failure. An average product that is marketed effectively will always outperform a superior product marketed poorly.

Customers have changed the rules of marketing so if you are using outdated methods, such as cold calling and high pressure, then you are basically cutting yourself off at the knees. Customers don’t like to be sold. They would much rather buy and using techniques that attract customers to you will net you better results.

2) Business Failure Caused By a Bad Opportunity

Sometimes the business opportunity itself is doomed from the start. With the number of scams, frauds and fake opportunities on the market today, it is not surprising that entrepreneurs sign up for programs that end up being nothing but money pits. In which case, small business failure is inevitable.

The only way to protect yourself from getting scammed is to become educated on the difference between legit home businesses and scams. Review the compensation plan, look at the marketing plan, check out the products, read reviews of the company. Before parting ways with your money, do your homework. If you don’t like what you find move onto something else.

3) Lack of Commitment

I touched on this earlier but it bears repeating. Unfortunately, what some people are looking for is not a home based business but a get rich quick scheme. It may be that they are smothered in debt or maybe really want to get out of the nine to five grind. Whatever the case, they are setting themselves up for business failure because they are unwilling or unable to commit to doing what it takes to build a business.

Without commitment, you won’t have the fortitude necessary to overcome the obstacles you run into on your way to the top. Building a business is not all rainbows and roses. However, if you are willing to accept that and to put in the time and effort, then you will create a business that will give you the financial and personal freedom you desire.

Download my free social media checklist (sign up in sidebar) for a daily to do list of all the things you need to do to increase your following. For personalized help, contact me for a free consultation on the best way to market your business online including using Twitter and other internet business tools.

For more tips on avoiding business failure, check out the articles in my archives.

Why a Green Business?

In a previous blog post, we talked about the definition of a green business and some reasons why you would want to build a sustainable business. In addition to creating a healthier and more stable environment for current and future generations, having a green business can be very profitable. Your business overhead will be lower and you’ll be able to command higher prices for the products you sell.

How you go green depends very much on where you are in your business. People who want to start a green business will definitely have an easier time of it than people with an already established business. In either event, here are a few tips for building a sustainable business that will help you prosper in this new era of eco-responsibility.

Tips for Developing a Green Business

Start Small and Build on Success

When you want to go green, it can be tempting to make sweeping changes in order to hurry along the process of becoming more eco-friendly. But sudden changes can be difficult to maintain especially if you have employees. Instead of hitting hard and fast, go slow and steady to give everyone involved plenty of time to adjust.

Think Long Term

Get into the habit of thinking long term when making business decisions. A major aspect of a green business is the fact that the business has little to no negative impact on the environment. Therefore, whenever you make decisions about how your business is run, think about the long term consequences of your actions. What may seem inconsequential now may have a huge impact down the road.

Reduce Your Impact

If you manufacture products, work to reduce the impact your production has on the Earth. This includes reducing your consumption of resources, such as water and electricity, and reusing or recycling as much of the waste you produce as you can. Not only will you reduce your carbon footprint but you will save money in the process.

Get Employees Involved with Your Green Business

If you employ people, get them involved in the company’s quest to go green. Solicit input about ways the business could be more eco-friendly. Offer incentives for helping the company achieve its sustainable business goals. Promote the reality that being an eco-friendly company takes team work and make sure you let them know how much you value all their efforts to help the business move in the right direction.

Get with the Green Program

Connect with an environmental group and involve your company in local green programs. The program can be as basic as planting trees or as elaborate as helping to raise money for green organizations by hosting fundraising events. If you have the time, space and knowledge, you can even create your own green community program which will give you a unique edge over your competition.

Building a sustainable business is a process that may take several years to complete. Take your time and implement changes that will stick. Before you know it, you’ll have a green business that you will be proud to own. If you are an entrepreneur looking to start a green business of your own, download my free social media checklist (sign up in sidebar) for a daily to do list of all the things you need to do to increase your following. For personalized help, contact me for a free consultation on the best way to market your green business online including using Twitter and other internet business tools.

Sustainable Business Practices

With all the talk about going green, it is easy to get lost amidst all the advice offered on a daily basis that is designed to help you become more eco-friendly. One area where it can get especially confusing is when it comes to starting and running a green business. Just what exactly does “green business” mean and why, as a home based entrepreneur, should you be interested in implementing sustainable business practices in your company?

Definition of Sustainable Business

Although it would be great if green business referred to a company that was pulling in the cash hand over fist, the term green business actually refers to a company whose products, processes and manufacturing activities address the triple bottom line; the environment, people and profits. According to Wikipedia, a business can be considered green if it meets all of the following criteria:

1. It supplies eco-friendly products and services that reduce the need for similar conventional products and services.

2. Each business decision incorporates the principles of sustainable business development.

3. The business itself is more eco-friendly than its competition.

4. The business is committed to being eco-conscious in its day to day operations.

Basically, to be considered a green business a company must sell Earth-friendly products and have implemented a sustainable business strategy that focuses on running the business in a way that has little to no negative impact on the environment or society at large.

Building a Sustainable Business

Building a sustainable business is just as important as going green in other areas of your life. One simple reason is a business that works in harmony with the Earth is far more likely to survive than a business that depends on nonrenewable resources or pollutes. Just think about it. If your company depends on a nonrenewable resource, when that resource runs out where does that leave your business?

Another good reason to have a green business is it helps you do your part to be a good conservator of the planet so that future generations can also enjoy the beauty and splendor offered by the Earth. It is a sad fact that if we don’t do something now, the next generation will be the first one to have ever inherited a planet that was worse off than when the previous generation received it. You don’t want our generation to go out like that now do you?

If those two reasons don’t do it for you, then building a green business is simply better for the bottom line. Using fewer resources, such as electricity and water, saves money. Coupled with the fact that most people are willing to pay a premium for Earth friendly products and you have a recipe for profits that you’ll be able to sustain for many years to come.

In the next article, I will pass along some tips for building a green business you can be proud of. In the meantime, download my free social media checklist (sign up in sidebar) for a daily to do list of all the things you need to do to increase your following on Facebook and Twitter. For personalized help building a sustainable business, contact me for a free consultation on the best way to market your business online including using Twitter and other internet business tools.