When you start a business venture, you dream that it will succeed and help you follow your passion and dreams. However, not every venture succeeds as some wind up after a few months of operation and others after years. On the other hand, some businesses have been in existence for years, and they continue being strong each passing day. It is not through luck that some of these businesses succeed while others fail even before they recoup their initial investment. The following are some of the indicators that your firm is headed in the wrong direction
You cannot meet your operating costs
Your business should breakeven at a certain point and start to generate profits that will cover basic costs and pay your employees. Even the big businesses make losses, but if you make them for a long time, then you have to rethink your strategy. You cannot keep pumping money from other sources to bail out your struggling business. Your financial plan should indicate when you intend to breakeven based on your estimates. There are some cases where you breakeven then start making losses after some time. Such a scenario calls for a rethinking of the strategies you use and find ways of reducing the overhead costs.
Employees are one of the best resources that you can invest in and never disappoint. When it reaches a point that such employees are complaining all the time, then you should know that something is wrong. Highly motivated employees tend to be more productive when compared to those with low energy levels. The state of your office can be one of the contributing factors to the low morale among your members of staff. Focus at designing the dream workplace as NegoSentro highlights, and the morale of your workers will improve.
The organization is losing its vision
Why did you start this venture? If it reaches a point that you do not understand the answer to this question, then you should know that you are on the wrong track. You need to have some direction and let it also be known to your members of staff. Come up with an organizational culture that will guide both existing members of staff and those who will join you in the future. Have regular meetings where you discuss the direction that your firm should take and some of the strategies that will make this a possibility.