Finding Success in Failure
In 2002, Marty Metro had a great idea for a business that focused on recycling a commonly thrown away item. He quit his job, opened a location in Los Angeles, and watched customers pour in the door. However, he had one key problem: a lack of profit.
Metro’s original idea was to sell used moving boxes. These are a common item, and most are still in useable condition after one move. Because they can be so easily reused, many customers were eager to buy gently used boxes and make this one little change for the good of the planet. Customer traffic wasn’t the issue. When looking at the process, the owner immediately saw that acquiring, cataloging, storing, and selling the boxes was a complicated process that ate up any income. After three years, the business folded, leaving Metro with six figures of debt. 
However, Metro didn’t give up. He had already experienced the brutal learning process of being an entrepreneur and was willing to give small business a second try. This time, he had knowledge and contacts that would give him a better chance. He raised the money to give his business a second life, this time as the web-based UsedCardboardBoxes.
Contacts are certainly one of the key benefits of being a second time business owner. Metro knew how and where to find investors, who could supply his company, and even which graphic designer to use. He may not have left his first business with a tidy profit, but he didn’t exactly leave empty handed.
While many small business owners see a failed business as an embarrassment, the business community is not so harsh. If you make efforts to run your business in a reputable way and close it in a similar manner, many people and entities will be happy to support a second attempt. Your personal brand reigns supreme here; if you are seen as honest and capable, people will be more than happy to give you a second chance.
In Metro’s case, he had run his first small business with integrity, and this helped him get investors for the second go-round. Several former employees came back to work for him as well. He also used his experience to give his new business a better chance. This time, Metro knew that moving boxes are heavy and large, making for storage and shipping difficulties. He was able to streamline processes and work out kinks before the company launched, keeping these factors from sabotaging his latest project. He began focusing on local business, moving boxes short distances that didn’t eliminate his profit.
Another key advantage of being a second time business owner was that Metro knew he wasn’t good at everything. He focused his time on his areas of expertise while delegating other tasks to employees and consultants.
Most successful business owners experience failures both before and after their successes. The secret is to view each experience as an opportunity to learn and then move on. Marty Metro is not the only example of this kind of small business success; rather, this story is almost the norm.
