How to recover after a failure of work
says Mark Coppersmith, co-author of The Other ‘F’Word: How Smart Leaders, Teams, and business men Put the failure to work “and a faculty member at UC Berkeley’s Haas School of Business.” Failure happens a lot.”
What can set you apart is how you respond to failure in the moment, and what you learn from it when you look back.
Close down properly
Before you leave your job,
Make a list of everything you need to do to shut down properly. A lawyer or financial advisor can help with this process.
“If you’re in dire straits, sometimes people do stupid things,” says Manny Henson, certified financial planner and founder and president of Maryland-based Gamma Wealth Management. ”
Talk to your advisors to make sure you understand what you need to do. ”
This process includes paying your taxes, paying your employees, and properly closing your books. If you miss any of these steps, you could face fines and put your reputation at risk.
“It’s a small world nowadays, and you have to treat people well,” Henson says. your memories work failed It will fade, but “the way you handle and respond to this situation will affect you for longer.”
Take care of yourself
Once the store is closed, make time to take care of yourself.
Benny Pompey, who coaches small business owners in Palm Beach, Florida, and is a SCORE certified mentor, says a business failure can feel like the death of a friend. It’s okay to grieve the loss.
“Stop and breathe,” Pompey says before investigating what happened. “You just have to be able to decompress and give yourself permission and time to grieve.”
If others ask why your business has fallen apart, there is no need to give an answer right away.
“Don’t even try to go there, because your first inclinations are to blame,” Pompey says. “You really don’t know yet what happened.”
Find out what went wrong
Once you’re ready to take a look at your work, Coopersmith recommends bringing together trusted stakeholders—such as clients, partners, key employees, investors, or financiers—for a postmortem autopsy.
To get started, ask: “What risks did we miss?”
As an investor or when presenting a business plan, he focuses on mitigating the risks businesses face in five areas:
* Make sure you get a product that customers actually want.
* Creating a high quality product.
Having the right team members who can do well.
* Design the right business model and secure the right funding.
* Overcoming legal and regulatory obstacles.
This framework is a “really good way of looking at and saying, ‘Where do we think we’ve failed?'” Coopersmith says. Was there a single slanted domino? Or was it all of them? ”
External forces play a role. Sometimes a disaster happens suddenly, like the COVID-19 pandemic. Sometimes the timing is wrong.
But you can still learn a lot by looking back.
“The ultimate failure is if you fail and you don’t walk away with an insight saying, ‘This is what I can do,'” Coppersmith says.
Do things differently next time
Pompey says that many entrepreneurs who experience business failure will try again.
Before you start a new venture, she says, make sure your business plan includes an exit plan that outlines what will lead to closing or selling the business so that you protect your personal money.
“It could be time-related, it could be money-related, it could be age-related,” Pompey says. “It’s just an important piece of the puzzle.”
Make sure you and your family are emotionally, physically and financially ready to try entrepreneurship againCoopersmith says. If you are, he recommends finding a group of peers who can share challenges, resources, and tips along the way.
Think critically about your last team and ask the people you’d like to work with again. And when you get started, be honest with your colleagues, employees, and investors about the challenges you face, because they are there to help you get through them.
Finally, don’t be afraid of failure – it’s part of every business in some way, even the ones that don’t fail.
Respect the fact that (failure) happens all the timeCoppersmith says. “Keep it up, then manage risk throughout the process.”
(This article was published by AP from The Conversation)