THE WSJ - JOURNAL REPORT: SMALL BUSINESS

Know When to Give Up It's hard to call it quits. Sometimes it's harder not to.

By ANDREW BLACKMAN Staff Reporter of THE WALL STREET JOURNAL May 9, 2005; Page R9

Never give up.

That may be a good motivational mantra, but it isn't always the best advice for a small-business owner.

In fact, sometimes the hardest part about being in business for yourself can be to admit when you are beat, that you are throwing good money after bad, that it is time to call it quits.

Maybe there's a time to admit: It wasn't such a great idea, after all. Or if it was a good idea, it isn't a good idea now.

Around half a million small businesses close up shop every year>

Once you've made the tough decision, sticking to it can be hard, too. "You get phone calls afterward from people asking, 'How come you're not in business anymore?' And one side of me wanted to say, 'OK, I'll do your basket for you,' " Ms. Martz says. "But then I had to tell myself, 'No, it's finished now.' "

Some continue to try long after the signals have all turned red.

Having exhausted all of the possibilities, they shut the site down in mid-2001 and wound up the business.

But on top of the financial considerations, what made it really impossible to continue the business was the breakdown of the friendship among the partners.

Sincerely,
Gargoyle