According to the Small Business Administration – The SBA – close to 66% of small businesses will survive their first 2 years. What that means is that only about one-third of total businesses will fail during the first 2 years. The SBA also tells you that about 50% of businesses fail during the first year in business. Want to know the deciding factor in which businesses flourished and which ones flopped? Coaching or some type of advisement. Lack of preparation and planning will negatively affect even the most successful business. In order to attack this issue head on, smart business people will hire someone to keep them accountable and foresee issues that could cause any type of loss. This can include funding issues, leadership failure, or even failure to innovate.
Unfortunately, entrepreneurs and small business owners have so much to worry about that they often don’t have the time to worry about where their business is going. Hiring someone to “watch your back” can really pay off if you find the right coach or consultant. Additionally, someone who is not as emotionally invested in your business can often see your business with greater objectivity. These experts can identify new markets and even turn your attention to your most profitable product or customer base, amongst other things.
The International Coach Federation (ICF), a support network for professional coaches, states that 86 percent of companies who invested in business coaching earned back at least what they put in, if not more. Additionally, 96 percent of those companies would hire a coach again. Through its research, the ICF also found that working with a business coach increases productivity.
Certainly there are businesses that fair just fine without a coach on their team. Just keep in mind that working with a business coach can get you there more quickly – and with much less stress.