I asked my colleagues on Linkedin yesterday the most important question any small business owner should be asking…
“Why do most small businesses fail?”
There were many comments on this question.
One stands out in my mind because it simply doesn’t get to the bottom of the issue.
This is what Peter D. Morris says and I quote…
Our take is slightly different though all the answers above are valid. Most small businesses are started by technicians – people who are highly skilled in the area of the work production. Stylists open salons; dentists – practices and mechanics open repair shops.
Therefore they lack the encompassing knowledge of business which includes getting enough capital, creating a marketing plan, over-estimating their market potential, and all the other reasons people will post here.
We help SMB with the lifeblood of their business by giving them the tools to attract more customers, keep customers and increase sales.
This answer is based on Michael E. Gerber’s “E-Myth” ( a must read) but it only tells part of the story.
You see the answer is deeper than that.
Is it true that most small business owners believe they can “do it all”?
In my experience this is not the case. Most realize at some point that they can’t do it all. That’s why so many consultants are full to the brim with work.
Having spoken to thousands of small business owners and entrepreneurs, it is clear that the vast majority realize their marketing weakness which is preventing them from achieving their true potential.
So why then don’t they succeed.
The answer is because they don’t know where to turn; most believe that the real people that can help them are going to be beyond their economic reach to employ (and in most cases this happens to be true).
Others have been burned by “consultants” that have great ideas but no practical experience in how to make them happen.
No wonder the average Joe is stuck and often sinks without trace.
Now, I agree with Peter that most small businesses are doing marketing functions they would be better off outsourcing.
I also agree with him that most are great at the work they do but are poor at the marketing elements associated with building a real business.
I simply beg to differ on the reasons why they end up marketing their businesses so inefficiently.
People have asked me repeatedly, why did I spend so much time to bring together top marketing minds and small business success stories for the SuccessBug program?
I think you know see the reason. This is an opportunity for regular small business owners and entrepreneurs to meet and discuss with marketing legends their real issues and problems and to discover strategies they can implement themselves into their businesses to attract more business and make more money.
The 1st strategy is available 2 days after you sign up for SuccessBug, by filling out the simple form below.
Barry Plaskow
{ 1 comment… read it below or add one }
Barry and I really are on the same page. In Gerber’s book he talks about working “IN” the business rather than “ON” the business. In 30 years of working with hundreds of SMBs around the world I find that, on average, that marketing and sales development eventually becomes an issue. And the owner doesn’t know where to turn for assistance . They may turn to advertising reps believing they know the answer, then they may turn to their business neighbor and then they may turn to outside help. However, how does one select the ‘right’ service for their need?
At the end of the day it is best for a small business to learn the marketing and sales skills required.