There are many reasons why new businesses fail. Business in the world is very competitive. New businesses can get on their feet, they can start with a startup, after that it is important how long they can continue, do they see just one step ahead or do they work with longer steps, predictions and plans? This part is important. These are all long processes, it is very difficult to find sufficient financing, you need to have unique ideas and a functioning business to convince the financing.
Initiation of business that will remains successful needs a skills about that business and before starting a business make a longer and clear research about the business as it will increase your knowledge and you will have control on it. Those who have skills are originating new ways for attraction of costumers therefore they don't have any fear about business declining.
For business an owner should hire those individuals for their business who know all necessary things and have skills to show the products in well manner to satisfy the customers. Setting a business is easy if you are financially stable but knowledge is needed to make it successful therefore if you don't have any idea of business then your finance will be at risk.