What you achieve from a business failure.
A failed business is a learning opportunity you should never miss!
Throughout this website, tips, suggestions, and guidelines made out to single moms are not much different from those that would apply to other persons.
That’s not because I fail to see the unique challenges experienced by single moms, but because we live in a world that is not designed to especially cater to those challenges. One such challenge is that of business failure, and no business will give you a soft landing just because you’re a single mom.
It is, however, worthwhile to start and fail at a business. While experiencing business failure can be financially debilitating and depressing, it is also one of the most rewarding life training modules you could undergo as you navigate the course of entrepreneurship.
When you fail a module, you shouldn’t give up the entire course.
Entrepreneurship comes with its principles that apply to everyone who embarks on it and single moms facing a setback must follow the same principles. Here are 3 ways to apply the principles and get back on the road to business recovery:
- Don’t Give Up: As supermoms, we live by this principle. You understand that a business failure is part of a learning curve, so rather than stop at the loss or failure, proceed to assess what went wrong.
This is where team, client and investor feedback come to play. Go back to the drawing board to re-evaluate what your product or service was missing and identify what you need to do to improve.
It could involve being more present and respectful – hence an introspective assessment. Or it could involve more business-related measures such as modernising your processes, improving your product, revamping your business model or even legal considerations where the business failure involved legal complexities.
In The Intelligent Entrepreneur, Bill Murphy argues that it is better to find the right opportunity instead of chasing the latest trending business ideas.
Use this period of failure to prepare for that opportunity, so that when it comes you are ready with a well-researched, planned, and prepared model to execute.
His advice is to lay the foundations for your business to either capitalise on an opportunity or innovate by developing an idea that creates its own opportunity, carving out its own market.
This could involve looking for alternative career paths or business opportunities that align with your skills and interests.
Consider retraining, acquiring new skills, or exploring different industries. Sometimes it is more about you developing the skillset required of an entrepreneur.
- Revisit your networks and keep learning: In your business, you may have met and collaborated with financial advisors, business consultants, or mentors. These prove to be a vital network of professional experts because they provide insights from an objective position. They help you identify areas where your skillset is lagging.
This network can help you with financial planning and debt management. Financial planning involves creating a realistic budget that separates both personal and business expenses.
Debt management requires prioritizing essential needs and cutting unnecessary costs. This will help you pen down a method to manage any outstanding debts from the business.
Your network can also help you understand financial implications and open your eyes to the need to start within reasonable proportions, explore recovery options, and develop a realistic time and financial budget for moving forward.
Leverage this professional network for business and job opportunities, advice, or potential partnerships. Networking can open doors to new possibilities and help you rebuild your professional connections.
- Be realistic. You may have to consider employment. If starting another business immediately isn’t feasible, think about getting employment to stabilize your financial situation. This can provide a steady income while you regroup and plan for future endeavours.
Establish realistic short and long-term goals. Break them down into manageable steps. Celebrate small achievements along the way to build confidence and momentum.
Remember, recovery is a process, and it’s important to be patient with yourself. Failure need not be an obstacle.
Throughout your recovery process, prioritize self-care. Managing stress, maintaining a healthy work-life balance, and taking care of your physical and mental health are essential during challenging times.
Utilize the experience as a stepping stone for personal and professional growth.
Reshaping your attitude to clients, investors and your team, revamping your product or service and seeking guidance from professionals by networking can contribute significantly to your business recovery.
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