What I Learned from Business Failure — Daniel Roberts

The most useful lessons from failure are specific enough to change behaviour. These are the ones I carry into my work now.

Do not confuse activity with resilience

A busy pipeline can hide concentration, weak margins and future cash pressure.

Bad news becomes more expensive when delayed

Problems that require legal, insolvency, tax or other specialist advice should be escalated early.

One relationship should not carry the whole system

Banking, customers, suppliers, key people and capital all deserve contingency.

Document the decision

When the stakes are high, write down the facts, assumptions, alternatives and reasons for the decision.

Reputation is built after the crisis

The most useful response to a damaged reputation is not argument. It is accurate information, consistent work and patience.