what is the reason small business does not grow

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Anonymous User asked 25-Aug-2020 in Business & Finance by Anonymous User

what is the reason small business does not grow

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Adriana Michele answered 27-Aug-2020 by Adriana Michele

what is the reason small business does not grow

We start a new business but it did not run properly and we had to close it in a few days. What happens in our mind when we went to the interview and we have not passed it? We sit in one place and think that oh man!  I failed.

To maintain the level of success in a business venture, it is important that you do not have a strong desire to succeed or passion for what you are doing that will lead to failure. What happens to us? When we hear from new business about how Hearing his success such as his earnings, his profit, etc., then we also feel that by starting this business, we too will get success in a short time. But that cannot happen here. For that you will have to do good planning, you should have a little knowledge about the business only then you will get success in that business. No business should start us in excitement. 
In most cases the main reason people start their own small business is that they want to make money as soon as possible. If you too have such a mindset, you can set yourself up to fail. After starting a small business, we have to take some time for it, we have to work very hard towards that business, then we can get some of that business.
 Before starting any business, you should do some research on that business. With research, you can take your business into the competition and can overcome it. Also, keep in mind what production and service demand you will provide in your business. All these things will come to you very important at the time of the initial startup.
If you are also the owner of a small business, then you should know at least this much how much money you need for this business. For that, you have to prepare your budget in advance. If you do not do this, you will be forced to close your shop before your business reaches its full goal.

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9series answered 09-Dec-2020 by 9series

Their are many reason that are responsible for slow growth and sometimes closing small business. These factors are also may be external and internal as well, and it vary from company to company.  Lets discuss the factors that commonly we see.

1. Lack of Vision: The small scale business are usually start with a motive to earn profit not growth. In other terms the medium and large scale company invest some portion of their profits in growth like in infrastructure, resource and marketing.  The grow a company vision is necessary.

2. Lack of investment: To grow a company investment is necessary, not only for growth but also during expansion. Lack of investment leads to discontinue in business up gradation.

3. Lack of Technology: Many business don`t use the proper technology within their premises, These technologies used to monitor their employee task and analysis. Example many companies use mean stack for web app development because this technology is widely used and simple for developer. 

4. Lack of Resource: Small scale company don`t are failed to invest in skilled resources due to low cost budget. This makes lot of time in completion of work. Take an example of a developer, a fresher can complete a task in 4 hours, and experienced developer can complete the same task in 1 or 2 hours. That save companies lot of time.