In business, as in life, there comes a time when you have to make a tough decision. Do you quit or do you continue? You may reach this crossroad through many means, you may have started a business and things took a wrong turn, you may have signed a contract that in the end did not benefit your interests or you may have invested in a location that did not turn a profit. For my business partner and myself, it was the latter.
Almost two years ago in January 2015 we opened our second of three restaurant locations in Brooklyn, NY. The prospects were bright and we went in with decent expectations, however, things started going downhill after the first few months. There was a drop in sales and the forecast was bleak, partly due to the fact that we opened up in an Industrial area and as if that was not enough, inside a Food Court (which means a very limited customer base). All of these elements compounded together created an atmosphere that was unprofitable, gathering debt and demotivated employees. After a thorough analysis of the situation and realizing that there was no viable way forward, we decided to cut our losses and move on. We officially closed the location in June and since then have gone on to discontinue the entire company.
The moral of this story is, as an Entrepreneur you are going to venture into many territories. Some will be prosperous and successful and others will be crippling and filled with obstacles. The ones that are filled with barriers a lot of the times do pay off, as no true success comes without a few hiccups along the way. However when the odds are stacked against you and every sign on the highway is telling you to take the next exit, sometimes you need to listen. It is not about pride and what people may think, at the end of the day you are the one who will have to live with your decision; so always try to make the right one. Know when to say enough is enough.
What are your thoughts on the subject, have you ever been in a situation like this before and what did you do? Let me know in the comments below.
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