Home » Blog » Infographic: What you can learn from small business failure

Infographic: What you can learn from small business failure

Small business failure: What you can learn from the statistics | Prospa

A new small business is created in Australia every 100 seconds. Unfortunately, not all will be successful. In fact, more than 60% of Australia’s small businesses shut up shop before reaching year three.

But don’t let the statistics crush your small business spirit. There are some common causes of small business failure, from cash flow issues to a basic lack of business acumen. And the more you understand why others have fallen before you, the better chance you’ll have of not repeating the same mistakes.

Here’s what you can learn from the common causes of small business failure:

Why small businesses fail infographic

What’s the lesson to learn here? If you are a small business owner, it’s critical to take a step back to give yourself the time and mental space to consider how best to ensure your business is sustainable in the short, medium and long-term.

If you need funding to manage cash flow challenges or seize an exciting new opportunity to grow, Prospa might be able to help. Talk to our small business lending specialists to find out more.

Primary CTA illustration
2021 is yours for the taking with a Prospa Small Business Loan, with funding possible in 24 hours. You've got this!
Apply now
Primary CTA icon
2021 is yours for the taking with a Prospa Small Business Loan, with funding possible in 24 hours. You've got this!

The information in this post is provided for general information only and does not take into account your personal situation. Nothing contained in this post constitutes advice or an endorsement or recommendation of any kind by Prospa. Any links to third party websites are strictly for informational purposes only. You should consider whether the information is appropriate to your needs, and where appropriate, seek professional advice from financial, legal and taxation advisors. Although every effort has been made to verify the accuracy of the information as at the date of publication, Prospa, its officers, employees and agents disclaim all liability (except for any liability which by law cannot be excluded), for any error, inaccuracy, or omission from the information for any reason, including due to the passage of time, or any loss or damage suffered by any person directly or indirectly through relying on this information.

Keep reading

New year, new you: Set your business up for financial success in 2021

16 December 2020 | 5 min read

New year, new you! Now is the time to wipe the slate clean and get on top of your business finances so you can charge into 2021 full steam ahead.

View more

Stocked up: A small business inventory management guide

25 November 2020 | 3 min read

Inventory management can feel mind boggling, but it doesn't have to be. Here is an expert’s advice on looking after your stock and planning for the future.

View more

Creative ways to chase unpaid invoices

23 November 2020 | 4 min read

Chasing up unpaid invoices while also maintaining good client relationships can be tricky. Four small business owners share the nifty tricks they use to do just that.

View more

Subscribe to the Prospa Blog

Be inspired! Sign up to Prospa’s newsletter to receive tips, tools and small business success stories straight to your inbox.