It’s time to join the 8% club

Research shows that 92% of start-up businesses fail in the first 3 years. Only 8% make it. Why is this good news? Let’s find out.

According to research, 92% of startup businesses fail in the first 3 years. This may sound like a daunting number but this is good news.
Why?

If that many businesses fail then there is less competition for what you have to offer the world. And that can only be a good thing. And I’ve saved one other great reason that you can find at the end of this post.

So, what can we learn about why they fail?

1. THEY TRY TO GROW TOO QUICKLY

Before spending time honing their product or service they try to get too many customers. Then, if the product isn’t right the whole thing collapses. It is important to spend time on the first products, get customer feedback and grow from there.

2. THEY SPEND TOO MUCH ON ‘NICE TO HAVE’ FEATURES

I think we are all guilty of this one! We have a vision of our business and we want to include all the bells and whistles. Personalised gift boxes? Expensive business cards?

The key is to start with your MVP - minimum viable product. What is the first and least expensive version of what you have in mind for your business that you can start selling now? You can always evolve and grow as you make sales and get feedback from customers.

3. NOT ADAPTING TO CHANGES IN THE MARKET

We can get so caught up in what we have that we don’t develop the product and change it as the market changes. It is always OK to pivot and change your product/offer and how you offer it.

4. GIVING UP BEFORE GIVING IT A GO

The main one for Kansti personalities is giving up before we’ve really given it a proper go. It takes time to build momentum and the beginning of our business is the time when we are relying on our intrinsic motivation to work on our business when we may not be seeing the results yet. That can be a difficult place to be.

THE SOLUTION IS - TO KEEP GOING!

The only possible failure here is to give up and that is brilliant news because now that you know that you know that you can keep going. This is something that is completely within your control. There may be seasons for your business - a summer when you are busy and working hard, an autumn when you’re harvesting your fruits, a winter when there’s not much progress because you’re leaving the field fallow ready to plant again. That is all part of having a business and the secret is always to keep going.

REMEMBER - YOU’RE IN THE 8% CLUB NOW.

YOU DON’T NEED TO DO IT ALONE

Join the Good Girl Rebellion to get the support you need.