 What to do if your business suddenly fails? As a first-time startup entrepreneur, it might be a little unrealistic to expect that your first business will naturally record an incredible success because, most of the time, you still haven't learned enough. Neither have you garnered all the experiences needed to run a successful business. A good number of statistics have recorded that about 90% of small businesses fail. The thing is that you are likely to make more mistakes because it is your first time and no matter how good your idea is, your lack of experience will make you more likely to fail than your more experienced counterparts. Although, there are ways to avoid this and some entrepreneurs are successful in their first attempt. However, should you find yourself in a situation of dealing with a failed business, what can you do to maximize your chances of success in the future? In this video, I'll share with you what to do if your business suddenly fails. This I believe will help you become a successful person. If you're new here, consider subscribing so that you won't miss other interesting videos like this. 1. Figure out what the problem was and learn from it For your business to have hit the rock, a whole lot of things must have gone wrong. You need to figure them out to make progress. Roy Burnett, a Zimbabwean politician and member of the British South Africa police, said and I quote, How much you can learn when you fail determines how far you will go into achieving your goals. If you intend moving ahead and overcoming your mistake, then you can't shy away or ignore the reality of things. You need to analyze the situation with an unbiased mind and figure out what went wrong. You can ask the people who had interactions with your business for their opinions. What were you doing or what weren't you doing that might have been responsible for the failure? You need to define these things in clear terms. The motivating factors behind your business's demise will obviously be such as shortage of cash or a major client that fell through. Until you can figure it out, you may not be able to move on, which is why it is important to carry out this step. Barack Obama, an American attorney and politician who served as the 44th President of the United States, said, The real test is not whether you avoid this failure because you won't. It is whether you let it harden or shame you into inaction or whether you learn from it, whether you choose to persevere. Choose to learn from it so that you can move on. What go of the hurt that came with the struggle? 2. Decide if you are ready to go back or not Once you are done figuring things out, you need to decide what's next for you. Do you want to return to the venture or do you want to start something completely different? This decision rests solely on you to decide. Consider why you started in the first place. Was it because you felt the need to start a business and use it as an opportunity to make some more money? Or was it because it was something you're truly passionate about and you're certain is creating something valuable to people around you? If you started for the wrong reasons, you'll be able to tell. And if it is for the right reasons, you can decide if you want to continue or discontinue with that failed business. 3. Find financial stability The toughest part of dealing with a failed business is dealing with the financial instability and trauma that comes with it. Many business owners suffer huge financial losses after a failed venture. Depending on the nature of your business failure and your personal finance, it may leave you in a compromising situation. At this point, if you've had an emergency fund account, now might be a good time to tap into it. On the other hand, if you spend all your savings on the business, you have to come up with a plan to create another income stream. Find a consistent, reliable stream of income rather than jumping into a new entrepreneurial venture. If you have to, you can take an emergency loan as long as you have plans to pay back. 4. Plan Now that you've made a decision, what's next? It's time to plan. How do you intend to start this journey? With a fresh new idea, comes a fresh new plan. The good thing is that your formal business must have been quite a learning curve. So you'll be able to tell some of the loopholes that might have caused you to fail in the first place. Now, however, not only do you get a chance to plan again, but you have also become experienced and capable of taking calculated risks that can help you grow your new business or venture. Also, part of planning means getting professional help or a mentor. Doing further research, using your previous mistakes as key points or even taking one or two business classes, after which you can now return to your drawing board to set things right and put a good action plan together. 5. Start a new business or re-enter the workforce After you've found some financial stability and feel confident that you've learned some important lessons about the nature of your business failure, you'll be ready to start preparing for your next opportunity. Depending on the decision you made and the plans you've set up, you can either start a new business, this time around with more and better experience to help you, or you could re-enter the workforce. The most important thing is to move on, set goals and plans that you'll look forward to achieving once again. Johnny Cash said, you build on failure, you use it as a step in stone. Close the door on the past. You don't try to forget the mistakes, but you don't dwell on it. You don't let it have any of your energy or any of your time or any of your space. Conclusion Don't be so scared of failure that you become too scared to act, neither should you be too devastated to move on after encountering a setback in your business. Oprah Winfrey said, do the one thing you think you cannot do, fail at it. Try again, do better the second time. The only people who never tumble are those who never mount the high wire. Don't take your business failure as a personal failure and don't assume that it's going to prevent you from future success. You can be like the likes of Steve Jobs. Become successful after a failed attempt. Thank you very much for watching our videos. We'll like to give you another interesting video for you to enjoy next, but before then, our team will be very happy if you can like this video and share it with your friends on social media. If you're new here, don't forget to subscribe so that you won't miss other interesting videos like this. 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