Succeed in Home Business the Second (or Third) Time Around

6 Tips to Succeeding after Home Business Failure

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Don't let past failure keep you from succeeding in the future!. CGinspiration | Getty Images

Failing in home business strikes a tough blow that can be difficult to recover from. Not being able to make a home-based venture work leads to low confidence and fear of trying again. However, many successful business owners failed the first time, sometimes even the second and third time out of the gate. Both R.H. Macy and Henry Ford failed in business before finding success with Macy’s and Ford Motors.

 I failed at three home businesses before finding success.

The trick to dealing with failure is not letting it make you believe you can’t be a success. Here are tips for overcoming failure and finding success in your next home business venture.

1) Make informed choices. Home business failure can occur for many reasons. A common one is jumping into it without really knowing what’s involved. Especially in home business, hype can cloud your judgment. Instead of letting excitement lead you astray, research your options, choose the best idea for you and get the nitty gritty on what it will take make it work. Once your business is up and running, you’ll need to continue to evaluate and reflect on decisions to keep the business afloat.

2) What didn’t work the last time? The best way to avoid problems in your future business is to understand what didn’t work the last time around. That requires taking a deep look at what you did and the results that came or didn’t come from your efforts.

You might even talk to your past clients and customers for feedback.

3) Own your failure. As you reflect on #2, what didn’t work, take responsibility for your part in the failure. It’s easy to say the economy was bad, your mentor didn’t help you or your family was unsupportive. But if you place your failure on external reasons, the odds of future failure are high.

There will always be obstacles in your way. So be completely honest about what led to the business failing. Did you do what you needed to do? Did you do it consistently and regularly? Did you make excuses for not doing what needed to be done?

4) Learn from mistakes. Figuring what didn’t work and taking responsibility are both designed to teach what to do differently this time around. If you chose a business you didn’t believe in the first time, you know this time you need to focus on a business you can get behind. If you didn’t do your research and make a plan, you know you need to do that this time around. If you spend money willy nilly, this time you need to make better financial investments into your business.

5) Have a plan. Failure to plan is a big reason many businesses fail. You don’t need a 100-page business plan to succeed, but you need to have the basics about your business and what you want to achieve with it. Plus you need a marketing plan so you can make it happen. Without marketing, you don’t have buyers, which means you don’t have a business.

6) Commit 110%. Ross Perot is quoted as saying, “Most people give up just when they're about to achieve success. They quit on the one yard line.

They give up at the last minute of the game one foot from a winning touchdown.” Sometimes the failure isn’t the business, it’s that you quit too early. Businesses need to be nurtured. You need to evaluate what’s working and what isn’t so you can make good decisions (#1). And you need to find a way to stay the course when obstacles and problems get in the way. Thomas Edison didn’t quit when his inventions didn’t work the first or second time. Walt Disney didn’t give up when he lost the rights to Oswald the Rabbit. If you commit and make the decision that your business will succeed no matter what, you have no choice but to make it a success.