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Many sole proprietors fail because they usually fail to develop a solid set of systems that could potentially enable the business to expand. In many cases, the business owner is working "in" the business instead of working "on" the business. The business owner wears many hats, and if there is not enough cash flow or receivable coming in, they are unable to pay for quality help. To prevent failure, it is wise to have solid systems set into place that are proven to work.

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