You’ve probably heard the saying, “if at first, you don’t succeed, try, try, try again.”While the saying looks great on paper, when you’re actually experiencing a setback or are in the midst of having what looked like a fail-proof idea fail, it can be tougher to put into practice.
The thing to remember about business setbacks is that while they are challenging and frustrating, they don’t have to be the end of your company. Whether you’re dealing with a failed product launch, the loss of a major client or a superstar hire who turned out not to be so great, here’s what you can do to get your company back on its feet.
Acknowledge the Issue
The first thing to do when you’re experiencing a setback is to look at the issue head-on. You might want to pretend that nothing happened or try to move on quickly. But being able to define the problem is the first step toward figuring out what to do next. One thing that’s important to remember when you acknowledge the setback back is that it’s not worth it to try and assign blame for the issue. Everyone makes mistakes and if a setback didn’t happen today, it was likely to happen at some point in the future.
Examine the Issue
Once you’ve acknowledged the problem, the next thing to do is to examine and assess it. What does the setback mean for your company? For example, if you recently lost a big client, how will that affect your ability to pay your employees or vendors? Do you have a waiting list of clients that you can turn to or will you be able to quickly find a new client to make up for some of the lost income? If the setback occurred because of a new product that didn’t catch on, what was it about the product that didn’t appeal to people? After examining the issue, it’s time to figure out what you can do to keep your business moving forward. How will you reach out to new potential clients or what can you do to transform a failed product into something appealing?
Talk to Someone About the Setback
Pretty much every company will experience a setback or two during the course of their existence. That means that you’re in good company when it comes to failure or things not going as planned. It can be helpful to discuss the problem with others and to get their insight and advice on what you can do in response and what you can do in the future to keep a similar issue from happening. A VirtualCFO can help you make sense of any financial issues that might have resulted from the setback or help you get a better grasp of your finances so that you can avoid a similar problem going forward. Your part-time CFO can also help you make a plan for the future that accounts for any potential issues or problems. It can also be a good idea to talk about the setback with a mentor or advisor or even with a group of business peers. Your mentor might have experienced something similar at some point in their career and might be able to give you particularly valuable feedback. No matter who you decide to talk to, they might be able to help you feel more confident about the future and about your business’ ability to recover.
Make a Plan to Move Forward
After you’ve examined, analyzed and talked out the setback, it’s time to plan for the future. How can you turn the problem into a positive? Losing acustomer can be the wake-up call you need to pay closer attention to your existing clients, for example. You might decide to check in with them and find out how your company is meeting their needs and what you can do to improve their experience. Having a major hire not work out can mean that you re-evaluate your screening and hiring process. Setbacks happen. Recognizing that and having a plan to bounce back and emerge from a setback stronger than before can help your business continue to thrive and grow.
The team at New Direction Capital wants to see your business succeed. Hire your Virtual CFO today and get ready to see your company grow.