Two things are very certain in businesses and every business man or woman should always go with that mindset. These two things are: Profit or Loss. It is either you make profits in your business venture or you experience and record losses. There are certain things that could lead to experiencing profits or losses ranging from business negligence, lack of commitment and consistency, poor customer services, inappropriate price value, general market factor etc.
Some of these factors are controllable while some are uncontrollable. These controllable factors are however a function of the business owners; effectiveness and efficiency on their part would eventually result in profit-making but anything away from that would only lead to a loss. The uncontrollable factors on the other hand are those unforeseen circumstances like the reduction in demand, loss of value of a particular product etc.
This then brings about the concept of risk taking. Because there are certain uncontrollable factors that could bring about losses (like the current drop in the price of Bitcoin and other alt coin) in a business venture, we should not be scared to make investments. Everything is all about risk; if you don't take it, you get nothing. So, in as much as the future is uncertain, one should continue to make investments and also carefully monitor the investment.
As a business owner, experiencing a loss should not make you let go a business. You have to know that it is one of those things; it is a moment to embark on a check and balance in your business. What are those things you did not do well? Were you irrational in your investments? Did you pay careless attention to the investments? These are the things to be considered in the case of any loss in business.
Taking the Bitcoin price crumble as a case study, few months ago, bitcoin had gone over $10,000 dollars and many made serious investments but of recent, it is below $6000. One can only imagine the losses many are experiencing now with respect to bitcoin; some crypto traders have been forced to stop trading at the moment. But that would not stop them from making further investments.
No one wants to experience loss in business; profit-making is the common goal but you must always bear in mind that losses could come at one point or the other in your business venture. It is then incumbent on your to learn to manage or handle losses. More so, in order to avoid frequent or multiple losses in business, you have to be very careful in making certain business decisions and investments. On the whole, financial literacy is quite useful and needed in avoiding business losses. Invest wisely and carefully!