How to know when a business is doomed

05/17/2009 | CNNMoney/Fortune Small Business

Jay Goltz, author of "The Street-Smart Entrepreneur," uses the example of a Kansas City home-furnishings boutique to show why business models often set up small firms for failure. Because entrepreneurs focus on what they love doing, they often fail at the financial side of planning to make a profit, he says. In this particular case, he recommends that the business raise its prices because it has a niche market and loyal customers.

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CNNMoney/Fortune Small Business

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