6 ways your small business will definitely die ☠️ [11/12]

Australian Business Podcast episode #11 is now live on the Rask network: the 6 ways your business will definitely die ☠️.

Remember, at least 40% of Australian small businesses fail within 5 years.

So, yes, this is as scary as it sounds. Your business will definitely die if you do these 6 things. I all but guarantee it.

You: “Owen, this business thing is daunting enough as it is, why on earth are we talking about this stuff now?”

Queue a Charlie Munger quote…

It is remarkable how much long-term advantage people like us have gotten by trying to be consistently not stupid, instead of trying to be very intelligent.

Charlie Munger, billionaire investing partner of Warren Buffett

There are two reasons we should talk about business failure right now:

1. As Charlie says (above) it’s often easier to avoid doing something dumb than it is to be perfect — so let’s avoid doing something dumb before we try to be brilliant little business owners.
2. Around half of businesses started today won’t be alive in 5 years — let’s focus on surviving to the finish line. Put another way, instead of trying to finish first, let’s first finish.

My six reasons your business will die include:

1. You fail to plan 🤪 (remember to use our free business course workbook)
2. You overcapitalise 💰 (spend before you need it)
3. You take on expensive leases ✍️
4. You avoid looking at your finances 🙈
5. You fail to market… aggressively 📈
6. You burn out 🥵

At least one day per month must be spent ‘on’ your business, not ‘in’ it. This is the day you reflect on your progress, plan and prioritise for the next month. Try not to ‘do my paperwork’ or be half on and off the tools. Go for a walk with a pen and paper.

This episode of The Australian Business Podcast goes with lesson 11 of Rask’s free business course: 6 reasons your business will die.

Love the Australian Business Podcast? Let me know about it by leaving a review on Apple or Spotify. 

If you want to help me out with the course, right now the best thing you can do is subscribe and review this podcast in Apple or Spotify. Please use the “Ask a question” menu link on the Rask websites, or leave your questions in the Apple Reviews.