Reasons Why 80% Of Youwin Winners May Fail!

Success in business is never automatic. It isn't strictly based on luck - although a little never hurts. It depends primarily on the owner's foresight and organization. Even then, of course, there are no guarantees.

Starting a small business is always risky, and the chance of success is slim. According to the U.S. Small Business Administration, over 50% of small businesses fail in the first year and 95% fail within the first five years.

Even with provision of the necessary things to run a business. i.e Constant electricity, good road and transportation system,available bank loans and minimal taxation.

In Nigeria, There is no constant electricity, transportation system does not work, banks won't give out loan to small businesses and small businesses are over taxed, now tell me how a small business can survive ?

Michael Ames In his book Small Business Management, gives the following reasons for small business failure:

Lack of experience

Insufficient capital (money)

Poor location

Poor inventory management

Over-investment in fixed assets

Poor credit arrangements

personal use of business funds

Unexpected growth

And I added Epileptic Power supply - This is a big challenge and a threat to Small businesses in Nigeria.

And from Gustav Berle, he added: Competition and Low Sales as one of the reasons why small business fail

I was sincere in my business plan, I requested for 4 million and Promised to Employ 5 Unemployed Nigerians but my business plan was turned down.

The reasons I guess may be due to the high capital demanded and low number of persons to employ but Considering the cost of running a business in Lagos i.e Rent,Transportion, Electricity/Generator bills, LG bills, Abero Bills, Double taxation and salaries.

If I had requested less than 4 million and promised to employ 100 unemployed Nigerians my business plan might be selected but guess what - the business will fail within a year!

In my business plan, I intended to pay the new minimum wage and was ready to increase the pay on a yearly basis just to motivate them and to make them more productive but i was turned down.

For those that were selected how many unemployed Nigerians did you promised to employ and how much will you pay your staff ?

If you promised to pay 18k and you also promised to employ let say 100 unemployed Nigerians and you were giving 2 million, Your business will fail in two months.

I'm not trying to scare you but to prepare you for the rocky path ahead. Underestimating the difficulty of starting a business is one of the biggest obstacles entrepreneurs face. However, success can be yours if you are patient, willing to work hard, and take all the necessary steps.

I wish you best of luck in your endeavor but remember its not going to be easy believe me. To be among the successful 20% you must work round the clock.

This is almost useless.

LIES.... because majority already have existing businesses and are only looking to expand. [b]Why so negative ? [/b]Why NOT spending your time hunting down corrupt politicians and leave these people alone.

@Poster, rather than speculate. Why not do some actual research, collect real data to show prove this hypothesis of yours.

The OP is right in saying that most small businesses will fail. It is really though for small businesses to remain afloat. Let us take Nairaland as an example: How many Nigerian websites that started with it in 2005 are still live and relevant today?

The mere fact a business will fail is NO reason NOT to start a business.

Actually this program is a GRANT program and NOT a loan ---

Well it depends in the kind of business in actual fact. Think of the cost of running the business alone!!

The economic environment in Nigeria is so challenging, you can check out my experience in the diary section of nairaland titled - in the cybercafe.

mercenaryx: This is almost useless.

Are you for real ?

obowunmi: LIES.... because majority already have existing businesses and are only looking to expand. [b]Why so negative ? [/b]Why NOT spending your time hunting down corrupt politicians and leave these people alone.

Did u read the whole article or you just commented on the topic ?

obowunmi: LIES.... because majority already have existing businesses and are only looking to expand. [b]Why so negative ? [/b]Why NOT spending your time hunting down corrupt politicians and leave these people alone.

lov dis quote. very funny

Kobojunkie: @Poster, rather than speculate. Why not do some actual research, collect real data to show prove this hypothesis of yours.

I doubt if you leave/grow up in Nigeria.

It took this tread 1 month and 15 days to be noticed.

obowunmi: The mere fact a business will fail is NO reason NOT to start a business.

I agree.

life_style:

Are you for real ?

Are you okay or on drugs?... How can you be so pessimistic about some people's future and you still have the audacity to spew bunkums.??

obowunmi: Actually this program is a GRANT program and NOT a loan ---

meaning ?

mercenaryx:
Are you okay or on drugs?... How can you be so pessimistic about some people's future and you still have the audacity to spew bunkums.??

otokx: The economic environment in Nigeria is so challenging, you can check out my experience in the diary section of nairaland titled - in the cybercafe.

We need constant electricity and bank loan.

Hmm.Doing the right thing is more important.

I think the poster is a bit negative and bitter at been turned down.

I run a small business myself with a board of directors of 5 and hold 65% of total shares and i know for sure that finance isn't necessarily equivalent to success. Without doubt, the YOUWIN project won't succeed because the vision behind it is limited. In developed countries there are Incubators that help nuture your idea prior to seeking further investment if viable. YOUWIN should rather focus on platforms to support and encourage the establishment of numerous Incubators across the entire country and not directly investing in ideas. By doing this, we will have numerous Incubators which breeds competition and most of all more ideas will have finance, experience, knowledge and passion invested in them.

If i may ask the board members at YOUWIN are paid salaries (national cake), people would gladly do this freely which will free up more funds to establish a system that can last centuries.

Just my thinking, feel free to criticize.

Its apparent that you(lifestyle) posted this to burn time.... Tragic.

mercenaryx: Its apparent that you(lifestyle) posted this to burn time.... Tragic.

I won't exchange words with you. You are part of them.

life_style: Reasons Why 80% Of Youwin Winners May Fail!

Success in business is never automatic. It isn't strictly based on luck - although a little never hurts. It depends primarily on the owner's foresight and organization. Even then, of course, there are no guarantees.

Starting a small business is always risky, and the chance of success is slim. According to the U.S. Small Business Administration, over 50% of small businesses fail in the first year and 95% fail within the first five years.

Even with provision of the necessary things to run a business. i.e Constant electricity, good road and transportation system,available bank loans and minimal taxation.

In Nigeria, There is no constant electricity, transportation system does not work, banks won't give out loan to small businesses and small businesses are over taxed, now tell me how a small business can survive ?

Michael Ames In his book Small Business Management, gives the following reasons for small business failure:

Lack of experience

Insufficient capital (money)

Poor location

Poor inventory management

Over-investment in fixed assets

Poor credit arrangements

personal use of business funds

Unexpected growth

And I added Epileptic Power supply - This is a big challenge and a threat to Small businesses in Nigeria.

And from Gustav Berle, he added: Competition and Low Sales as one of the reasons why small business fail

I was sincere in my business plan, I requested for 4 million and Promised to Employ 5 Unemployed Nigerians but my business plan was turned down.

The reasons I guess may be due to the high capital demanded and low number of persons to employ but Considering the cost of running a business in Lagos i.e Rent,Transportion, Electricity/Generator bills, LG bills, Abero Bills, Double taxation and salaries.

If I had requested less than 4 million and promised to employ 100 unemployed Nigerians my business plan might be selected but guess what - the business will fail within a year!

In my business plan, I intended to pay the new minimum wage and was ready to increase the pay on a yearly basis just to motivate them and to make them more productive but i was turned down.

For those that were selected how many unemployed Nigerians did you promised to employ and how much will you pay your staff ?

If you promised to pay 18k and you also promised to employ let say 100 unemployed Nigerians and you were giving 2 million, Your business will fail in two months.

I'm not trying to scare you but to prepare you for the rocky path ahead. Underestimating the difficulty of starting a business is one of the biggest obstacles entrepreneurs face. However, success can be yours if you are patient, willing to work hard, and take all the necessary steps.

I wish you best of luck in your endeavor but remember its not going to be easy believe me. To be among the successful 20% you must work round the clock.

My frend hw could u use all your time to do dis findings yet u neva tot to find out how u can assist the YOUWIN beneficiaries?

You and your negative thought will eventually ruin and run u down. And if u continue in dis form u and ur household will be pessimistic in all your endeavours. Badluck to you dude.
I wish the YOUWIN beneficiaries sucess and success will folow dem.as for u Poster,I wish u nothing but pessimism

Hodaya: I think the poster is a bit negative and bitter at been turned down.

I run a small business myself with a board of directors of 5 and hold 65% of total shares and i know for sure that finance isn't necessarily equivalent to success. Without doubt, the YOUWIN project won't succeed because the vision behind it is limited. In developed countries there are Incubators that help nuture your idea prior to seeking further investment if viable. YOUWIN should rather focus on platforms to support and encourage the establishment of numerous Incubators across the entire country and not directly investing in ideas. By doing this, we will have numerous Incubators which breeds competition and most of all more ideas will have finance, experience, knowledge and passion invested in them.

If i may ask the board members at YOUWIN are paid salaries (national cake), people would gladly do this freely which will free up more funds to establish a system that can last centuries.

Just my thinking, feel free to criticize.

You are wrong sir, Though I might be negative but i am not bittered on losing.. For your information I have moved on. and the article is just a guild to the winners.

You can contact me for your IT needs.

life_style32@yahoo.com

onyewec3:

My frend hw could u use all your time to do dis findings yet u neva tot to find out how u can assist the YOUWIN beneficiaries?

You and your negative thought will eventually ruin and run u down. And if u continue in dis form u and ur household will be pessimistic in all your endeavours. Badluck to you dude.
I wish the YOUWIN beneficiaries sucess and success will folow dem.as for u Poster,I wish u nothing but pessimism

Time will tell.

life_style:

You are wrong sir, Though I might be negative but i am not bittered on losing.. For your information I have moved on. and the article is just a guild to the winners.

You can contact me for your IT needs.

life_style32@yahoo.com

You might not be but this is a bitter post, it's all good.

What kind of IT are you into?

Apologies if I av used any vile word but this post is sure not a good one

mercenaryx: Apologies if I av used any vile word but this post is sure not a good one

Now you are talking like a mature man, the post is just to warn the winners about the dangers ahead and to make them prepare to face it.

Hodaya:

You might not be but this is a bitter post, it's all good.

What kind of IT are you into?

Computer and Network support.

www.haymostech.com www.hitk.com.ng

life_style:

Now you are talking like a mature man, the post is just to warn the winners about the dangers ahead and to make them prepare to face it.

Some folks can get discouraged by this and that can cause some damage....

Nigerians need to support Nigerian businesses. Go to www.Nigerianedp.com to find companies to support!!