|Improve Your Small Business|
Always know that you are in a competition. Every second you are sitting, relaxing and feeling that you have achieved it all, somebody else is trying create a new product or service to attract the attention of your customers. Improvements in your business on daily basis can help you stay ahead. A small business needs continuous improvement because that is the only way it will turn into a big business one day. Create the systems, processes and tools to provide the products and services to you customers on a consistent and cost-effective manner. So get serious and ready to make improvements in your small business to secure your future.
Check on Cash Flow
A small business should be concerned about every cent that is getting spent and is earned. Due to lack of financial management skills, owners sometimes are not able to keep proper financial records and organized track of the cash flow of the business. If you are one of those business owners, then it is time that you hire a financial accountant for yourself who would be able to prepare a Statement of Cash Flow for you on the continuous basis. This will provide you with a clear and definite idea of how much cash is getting in and how much is getting out. It will also allow you to manage your expenses in such a way that your revenue always exceeds your expenses.
Always stay connected with you customers and industry. Analyze every change occurring on a local, as well as on the international level to see whether it has an impact on your business or not. If you think that a trend or issue in the country or world could impact your business then start planning on how to counter it. You need to be proactive. Prepare a contingency and risk plan for it, so that when the effects start to appear, you are ready with a strategy to respond. Moreover, always keep an eagle eye on your competitors and never underestimate them. Always try to find out what they are up to. Make strategies and take calculated decisions, so that you will stay ahead of the game.
Motivate Your Staff
It is a well-known fact that motivated staff plays a vital role in the success of a company. But it is you, whose behavior will either demoralize them or motivate them to move mountains for you. Introduce handsome commission plans for them based on performance, so that they will be motivated to achieve their targets for additional cash or non-monetary incentives. Consistently appreciate and acknowledge their good work. Be nice to them and respect their feelings. This will result in a great team effort which will ensure the success of your business.
In some situations, you will sell a product or service by taking payment through another method other than cash on completion. Sometimes you have to sell by credit as well. You need to devise a plan about debt recovery so that it will not affect the financial position of your company. Use statistical and financial data to analyze how long it takes on average for you to collect payment from a debtor. Try to decrease this time period by ten to fifteen days. Develop strategies and process for payment to ensure quick processing and follow-up. A well-defined payment and debt collection process will provide clear expectations for your customers.
Don't Reinvent the Wheel
As an owner of a small business, you should evaluate what options and tools there are already available in the market to support your business. This will prevent wasting valuable time, money and energy. This will allow you to adopt the best practices available to you. If you feel the need to re-invent the wheel, thoroughly evaluate the time and costs involved. Small businesses are typically more agile and flexible to pursue new opportunities. Everybody wants to provide something that separates them from all other competitors but there may be other alternatives to achieve it. Only be creative when you can afford to be creative.
One of the things that actually make a business stand out is its customer support. If you don't have it already, then plan to introduce customer support for your business. Mention it frequently and to use as a selling point. Having a customer support system and process in your business increases the trust and confidence of a customer in you. If you could offer 24/7 customer support for your business, that would give you an incredible edge over others. It may happen that after purchasing a product or service from your company, a customer might not face a problem for the next ten years. However, ensure that his call will be answered whenever he would have a problem. This will be a key feature for a customer to choose your company over others.
If you are one of those people who are not able to find an important file that they put somewhere ten minutes ago, then either you need to eat almonds daily to improve your memory or you need to get organized. Always think that the most important client of your life is going to walk into your office the next minute. What sort of impression do you want to give him? Everything should be in an order and you will feel that you have improved your performance by saving valuable time. So always stay organized and manage everything brilliantly.