Starting your own business with your investment? That’s a fantastic idea but did you know the things involve in business is not just starting the business. More than 67% of the firm fail due to improper planning, and there are other things which are included in it.

There might be experienced people out in the crowd who has done the same business with a partner it might have worked under the individual who has worked on the same project in the past. It is vital for every business person to understand how a business should be started and here is how I will show you how you can identify that your investment is just a disaster.

5 Signs That Your Start-Up Will Be In Loss

5. Copying The Concept

The World has seen many small people in business copy the business of the other and tries to start their own business from that business model without analyzing internally. It might seem a little silly, but it is also a truth which has to be noted. Almost 60% of the business models fail because of the lack of knowledge and copying the concept from another company.

4. Lack Of Interest & Funds

When one is starting a company, it is important to have enough cash to support the business for at least one year or so which is currently not happening in the firm. Many businesses fail before they even learn, improvising and implementing on it.

True Story: A few years ago a friend of mine started a business, who was expecting to make 10,000 in three months and after the company started the company barely made $1000, but the expenses were so high he has to close down the company within three months. Lack of funds and Interest resulted in failure.

3. Business Model

The concept of any business model is the vital point of any business. If the business model does not work, then there is no point in investing into it. If you are a potential investor who is investing into his own business, then you must learn and get some physical proof that the business model works and become an angel investor.

2. Analyze The Business & Investment

Many businesses don’t even calculate on the evaluation, and they end up in bad investments. Business is all about numbers, which you should be good at if you are good at calculating, balancing, and understand how much a company needs to invest and secure the future.

You must be good at analyzing the business, expenses, investment, revenue and more. Business is actual a numbers game which will decide the term of your business.

  1. Passion & Making Money

Now, one of the primary ingredients of the firm is passion. If someone who is starting a business if he or she doesn’t have a passion for what you are planning to then you will be a disadvantage.

Making money is not a crime, but if you are working on start-up just to make get rich quick, then you are already down.


All of the suggestions which are here are coming from the people who faced failure then succeeded after learning it the hard way.

Topics #Business #Investment #Loss #Start-Up