Starting a new business and surviving the first year is becoming pretty rare, with many small businesses shutting the doors after a short time trading. Is it poor planning, the wrong location, not enough market research, the competitive landscape?
Here’s a great article from The Huffington Post Australia that helps explain why small businesses are closing up shop at such alarming rates …
It’s an extremely sad sign of the times when you’re confronted with a myriad of ‘for lease’ signs in shop windows along major shopping hubs.
While the vast majority of businesses in Australia are small — accounting for 97 percent of all businesses — they’re shutting their doors in alarmingly high numbers.
According to the Australian Bureau of Statistics, more than 60 percent of small businesses cease operating within the first three years of starting. It’s an incredibly daunting figure and it’s something that’s thrown at many an enthusiastic business person who announces to the world that he/she is about to start a new venture.
But what exactly is going wrong?
Read the full article here