Problem: You have decided to start a new sporting goods business! You will begin a partnership with one other business associate that you trust and have known for several years. You plan to hire three managers and another twenty employees.
Discuss a plan of action that you and your partner would personally implement to avoid the four main failure mechanisms of small business:
- managerial incompetence or inexperience
- neglect
- weak control systems
- insufficient capital
Identify what steps you and your partner will take to address each of the four failure mechanisms.