LACK OF FINANCIAL AND LOCATION PLANNING CAUSES SMALL BUSINESS BANKRUPTCY

"When an entrepreneur begins planning how to finance his or her new business one thing that is important to keep in mind is that money isn't everything. For a new business to succeed it must do many things right, but it must raise capital."(6) This research surveyed 531 businesses that went bankrupt during the calendar year 1998 and received 189 returns for response rate of 36%. After analyzing the primary reasons for these businesses failing, two things became evident: one, inadequate financial planning (especially operating capital for the early months of the operation); two, inadequate location knowledge by the small business owner. Although most small business owners seem satisfied with their company's location, it appears that the owners were largely unaware of the benefits or drawbacks of location analysis