10 Telling Signs You Should Close Down Your Business. There are somethings in life that are not meant to last. Sadly it can be something as sentimental as your business. As much as saying goodbye to a business can be an emotional and conflicting journey, sometimes it is the only option.
1. It’s Too Much To Handle
When a business is failing you are bound to be subjected to stress and pressure. This can be very hard on people who have no prior experience in handling pressure or are inexperienced in damage control. Also, for a business to strive you need day to day planning and also strategy that caters to the present and future markets.
2. Financial Burden
If your company has been up and running for years but you don’t have positive cash flow or your business doesn’t have enough savings to survive longer than three months, you’re in trouble. Ideally, every company should have at least six months of money saved, but the number lower when you are running a considerably new venture.
3. Health Reasons
Even with a stable infrastructure and capable employees, sustaining a business when its owner falls ill is not always possible. Your business might have to close due to your health reasons. If you face significant health issues or have reached an advanced age and no longer has the energy or motivation to continue, then close down.
4. The Thrill Is Gone
It’s thrilling to say that you own a business, to hand out your cards and to find your website in a Google search. The reason to do a business is because you’re insanely passionate about it. That’s the only way you’re going to win. If your passion runs out then it’s time to bow out.
5. Your Key Employees Are Leaving
The saying, “You’re always the last one to know” is especially true when the expert team you built starts to leave. If this is happening to you, you must ask yourself: Is there something they know that I don’t? Have my employees tried to tell me something, and I simply didn’t listen?
6. People Don’t Feel Your Services/Products
Is your business providing a solution that customers are actually looking for? Or is your company centered on something you care about and really, really want others to care about, too? If it’s the latter and you’re not seeing positive feedback through dollar signs, it might be time to shut it down.
7. Sleep Mode Cannot Be Considered
Sleep mode is a dormant state in every business or start-up, in which the business becomes inactive for a while and takes time after which it becomes active again the next season. When it is time to stop the business, sleep mode won’t do any good since the damage has already been done. When you see this happening, it’s better to stop the business than get yourself involve in huge debts and loss
8. Competitors Take You Out Of Business
Competition is good as it keeps you on your toes. Sometimes though, your competitors might take you out of business. An inventor in the same business might develop something new that makes the business’ service or product obsolete.
9. You Don’t Recognize Yourself Anymore
As a business owner, you want to be a better version of yourself. You may be a little different, but not completely unrecognizable. If your business strip you off your personality, values and what you stand for, then it is time to look for other business ventures that represent you.
10. Unforeseen Events
You might have an excellent business plan, ample capital, great management skills and be in perfect health, yet an unforeseen, totally unexpected event might force you to close your business. A tornado might drop down in your town, demolishing your business location. Your main supplier might unexpectedly go out of business, making it difficult to meet production.