To cut your losses is to stop before a bad situation gets worse. Cut your losses and walk away.
It is hard advice because it means writing off what has already gone. Economists call the trap behind it the sunk cost fallacy, which is why people find it so difficult to cut your losses at the right time.
1phrasecut your lossesTo stop before a bad situation gets worse.
“Cut your losses and sell the second shop before the winter.”
cut your losses is a phrase.
Practised in Idioms