In business there is always going to be the good and the bad on any given day, success in business is never automatic. It isn't strictly based on luck - although a little never hurts. It depends primarily on the owner's foresight and organization. Even then, of course, there are no guarantees. Starting a small business is always risky, and the chance of success is slim. According to the U.S. Small Business Administration, roughly 50% of small businesses fail within the first five years. Here are some of the most common reasons a business fails:

• Lack of working capital (money)
• Personal use of business funds
• Competition
• Location
• Lack of experience
• Low sales
• Poor inventory management
• Fixed asset expense
• Insufficient credit
• Unexpected growth