A lot of really solid businesses fail to take flight or are prematurely shot down for simple lack of foresight. The hardest part of a business should not be getting over the more simple hurdles. Combine a good business idea with good business sense and you will have lasting growth and long term success - but miss out on the basic business practices and your company may just fold.
What are these simple practices that are generic to any successful business? Well firstly there is your basic financial planning. Before you made that terrifying step into the world of business you must have engaged in some sort of first stage plan. This will have been necessary to access your initial start up capital via a loan of some sort. The problem is that many people, even the smartest of us, get engrossed in the business and think that sales is all that matters. When the money comes in, it is easy to think the business is doing fantastically, no problems on the horizon! But the sad truth is, if you do not budget and monitor cash flows, that horizon will soon fill up with some very nasty storm clouds.
The best and most successful businesses have solid financial planning to ensure when that tax bill comes in, there is plenty of ready cash to pay it, without raiding funds earmarked elsewhere. There are plenty of workbooks and other simple models to help you achieve this at a low cost and without paying over the odds for a financial expert.
Secondly a business needs to be known. If prospective customers do not know of your existence they are going to utilise someone else's services. You need to be very thorough in your advertising; it is not enough to go on your reputation alone even when your business is established. If you want to continue to grow then you must actively seek fresh custom. Some of these potential new clients are only replacing old one that have themselves fallen foul of one of these basic business tenets. You can't rely on newspapers and circulars and TV advertising is for super rich companies; use an internet service to reach lots of potential customers in one hit at the most appropriate sites. Web based CRM software can help with this process.
Thirdly don't fall asleep because everything is swell. Like a good boxer, a good business keeps on its toes. Keep abreast of changes whether they are legal, financial or customer requirements based. If nothing else, keep adding new lines and refreshing the stale.
Fourthly, a business is only as good as its customers think it is, so keep them happy. Find out whether your product or service is meeting their needs. Offer tailored services for a moderate extra fee and thank your customers. At Christmas or your own business' anniversary, include them in the celebration - after all, your customers are your business family.
Finally and of equal importance to any successful business is its employees. The people that work for you should never be underestimated and never forgotten. Listen to them, offer training to hone their skills and above all, make sure they are happy working for you.
It is strongly advisable that when running a business you invest in your own knowledge either through reading, being mentored, or through other forms of education such as management training.
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