Giving up on a business can sometimes be the right thing to do. But just how do you know it’s time to throw in the towel? What if there’s still a chance to turn things around?
Below are a few common reasons as to why people quit their business – and how to know it’s time to quit.
Your business is failing
Is your company losing money faster than it can earn it? Are you progressively getting into deeper debt? This is usually a clear sign that a business is failing. If you can’t find a way to cut back on expenses or increase revenue, it could be sensible to get out now before the debts rise any further.
Of course, there may be an easy fix to your problems in some cases. This post The Help Your Business Needs To Thrive points out a few areas worth looking at before you take the decision to quit. If you’re a recently-launched startup, you should definitely think twice before quitting – there could still be plenty of time to tweak your business model. Ultimately it comes down to how passionate you are as to whether you’re willing to make the changes that are necessary, which leads onto the next good reason for quitting…
You have no passion left to give
Have you lost all passion for your business? Perhaps you’ve got your eyes on a new business idea? Perhaps you’re simply ready to retire? Whatever the case, loss of passion can be a good reason to give up on a business. Calling it quits can be particularly worthwhile if you’ve grown to hate your business – if you cannot stand the duties, don’t like the customers and have no interest in furthering your knowledge in your field, you should quit for the sake of your mental health.
Of course, you may just need to rediscover the passion you once had for your business. It could be healthy to take a break or to spend more time on the frontline if you’ve found yourself trapped behind a desk. Alternatively, it may be time to give your business a fresh start – this could include closing temporarily and carrying out a rebrand and relaunch in order to get back the excitement for your business. Check out this post The Ultimate Guide To Successfully Rebranding in 2021 for advice on how to rebrand.
Your body is telling you to quit
If your business requires you to do a lot of physically demanding work (such as farming or removals) and this is causing you a lot of pain, it could be time to give up. You should also consider quitting your business if you’ve been worn down by stress. This stress could end up killing you if you’re not careful.
Of course, your body may not be telling you to quit – it could just be telling you to take a break in order to heal and recharge. You may also be able to reduce pain and stress by handing over responsibility of certain tasks to an employee or business partner. Now could be the time to take a backseat.
Quit or sell up?
If you do decide to give up on your business, weigh up whether you should close your business or sell it. You may struggle to sell a failing business, but if it’s profitable you may find that there’s an eager buyer out there who can give you money for it. It’s better to get money for your business than nothing at all. This guide Taking Steps To Sell Your Business offers advice on selling a business.