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Why Small Business Fail

Written by: Glenn Ebersole

Article Overview: Michael Gerber, author of the mega-best sellers "The E-Myth" and "The E-Myth Revisited," is one of the people I admire and respect and who has had a significant impact on me and my businesses. Although I have listened many times to Gerber's audio tape about the E-Myth, I always come away learning more. In addition, I have read a booklet by Michael Gerber entitled: "Why Most Small Businesses Fail and What You Can Do About It."

Why Small Business Fail

Why Small Business Fail
By: J. Glenn Ebersole, Jr., Chief Executive of J. G. Ebersole Associates and The Renaissance Group™

Michael Gerber, author of the mega-best sellers "The E-Myth" and "The E-Myth Revisited," is one of the people I admire and respect and who has had a significant impact on me and my businesses. Although I have listened many times to Gerber's audio tape about the E-Myth, I always come away learning more. In addition, I have read a booklet by Michael Gerber entitled: "Why Most Small Businesses Fail and What You Can Do About It."

In this booklet - Gerber lists the 10 reasons why most businesses fail - and how you can avoid them. So - here they are:

1. Lack of management systems

2. Lack of vision, purpose, or principles

3. Lack of financial planning and review

4. Overdependence on specific individuals in the business

5. Poor market segmentation and/or strategy

6. Failure to establish and/or communicate company goals

7. Competition or lack of market knowledge

8. Inadequate capitalization

9. Absence of a standard-quality program

10. Owners concentrating on the technical, rather than the strategic, work at hand.

After reading this list a couple times, it became apparent that "strategic planning and strategic thinking" are absolutely vital to avoiding these reasons for failure. And that is what J. G. Ebersole Associates and The Renaissance Group™ is about. If you would like to be better prepared to have a successful business and know how you can avoid these Ten Reasons for failure, please contact Glenn Ebersole at jgeprman@aol.com

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