Failure is part of any good success story. Here are three questions to ask yourself before giving up on your business idea.
Many people take a stab at starting up a business. In fact, over 300 million startups are created annually worldwide. Yet, 90% of them fail.
Funding is a big issue, but there are many other reasons that lead to businesses shutting down: an absence of market demand, too much competition, staff issues, a lack of good managerial skills, and more.Ask yourself these three questions before giving up on your #business ideaClick To Tweet
Bad ideas are just a part of the success process. In fact, science says that it’s good to have a bunch of bad ideas that you give up on.
If you are an entrepreneur who has already launched your project but feel it may not have been the best idea, it is important to ask yourself first about the reasons that may lead you to do this.
3 Questions to ask Yourself Before Calling it Quits on Your Business:
1. Can you Keep Pushing Ahead With Your Project Idea?
Money is the first big roadblock that leads entrepreneurs to throw in the towel. If that’s the case with your own idea, think of other solutions and tactics.
Maybe you’ve been pitching the wrong people and you just need to reconfigure your pitch and business plan.
If you target the right potential investors and keep getting negative feedback, why not try launching a crowdfunding campaign to raise funds faster and at lower costs?
2. Is There Market Demand for Your Idea?
The success of your venture depends on the visibility you have on your business idea. Before you stop everything, ask yourself: What are the early reactions to your idea? Does it respond to existing customer needs?
Consider conducting or paying for a market research analysis. This will give you the maximum amount of information on your sector of business activity. This includes whether there is enough demand in the market and the project’s overall feasibility and profitability.
You should also take into account the amount of competition in your niche. If there’s early positive feedback for your products or services, that proves demand. A business niche with little to no competition is a good opportunity to capitalize on.
3. Is Quitting Your Best Option?
Business projects are complex and evolve in environments with many moving parts, and sometimes, all the signs may tell you it’s time to stop.
Or, maybe it’s just time to put the brakes on the project. Maybe it’ll get better traction at a later date, or maybe you’ll be better prepared to carry out the project. Either way, quitting doesn’t have to mean scrapping the project entirely.
If you can’t get funding, if there are no potential future clients willing to pay for your product, or there’s demand but competition is already stiff, maybe the best solution is just to nip the business project in the bud and move on to other things.
Remember that, when you stop, based on sound reasons, you have created time for yourself to try out new ideas or revisit old concepts.