Welcome to the How of Business with your host, Henry Lopez, the podcast that helps you start,

run, and grow your small business. And now, here is your host. Welcome to this episode of the

How a Business podcast. This is Henry Lopez. And this episode is about the five reasons your small

business will fail. If you're thinking about starting a small

business or are already running a small business, this episode is going to walk you through

five common reasons that small businesses fail. And it's based on what I've seen over the years

of coaching small business owners and my own experiences as a small business owner. More importantly,

I'll share how to avoid these mistakes and give your

business the best chance to succeed. You can find all the Howa Business resources, including the

show notes page for this episode, and learn more about my one-on-one and group coaching programs at

the howab business.com. I also invite you to consider supporting this podcast on Patreon,

and please subscribe wherever

you might be listening so you don't miss any new episodes.

Here are the five reasons your small business will fail.

These are not in any particular order, although I think number one is probably most critical.

And that is a lack of a clear business model.

Many founders confuse a good idea or something they're

passionate about with a business model. And so they have the tendency to jump in without knowing

if it'll make any consistent money. So the mistake is skipping the process of defining exactly

how you will create, deliver, and capture value. So to have a chance to be successful,

a business model must allow for sufficient profitability and it must be scalable. So that lack of a

clear and to some extent proven business model is one of the primary reasons your small

...