Many people have aspirations of running their own small business, and it certainly can bring many benefits. Running your own business allows you to pursue your passions, it can challenge you and encourage you to develop important life skills, and it puts you in complete control of your career (this can also provide greater flexibility). While there are many benefits to running your own business, it is also important that you are aware of the challenges of this as many people struggle and often the business will fold. So, if you have aspirations of running your own small business or you are in the planning stage then read on to discover what you need to know about running your own small business.
Here are the Guidelines to Follow
-
ย It is an enormous commitment to make
Starting a small business is not something that you can only semi-commit to as if you want to succeed you will need to be dedicated. This means that you should never commit to launching a small business if you are not serious or if you are unable to make a big commitment at this time in your life. Additionally, you need to understand that it will interfere with your personal life and be all-consuming during the early stages.
-
You need to have an excellent work ethic
Following this point, if you want to run a small business, then you need to have a stronger work ethic than most. It is a tremendous amount of work planning and launching a business, but the work does not stop here as you will also need to put in the work to make the business successful. You can lighten the load with staff and by outsourcing, but you will still have a lot on your plate and have to perform to a high standard each day.
-
You cannot do it alone
Leading on from this, it is also important to understand that you cannot do it all alone and it would be risky to attempt to do so. While you can learn what you need to succeed with an online MBA and research, there are so many areas that need a lot of attention, so it is best to bring in people that can lighten the load as well as add value through their expertise in certain areas. This might involve hiring staff, but you could also outsource, which is a cost-effective way to get support.
-
There is no recipe for success
It is unfortunate, but many startups fail and there is no secret recipe for success as there are so many variables that affect what the outcome will be. Qualifications like an online MBA and financial backing can help, but you also need to prepare for the worst-case scenario and make sure that you are in a stable financial position if the business does not take off – many people continue earning as they build and/or have an emergency fund that they can use to last them until they find a reliable income source.
-
You need to be smart with money
Following this, it is impossible to succeed with a small business without intelligent financial management. This means managing your business finances such as tracking expenses, keeping accurate books and finding ways to keep your costs low without negatively impacting the business, but also smart personal finance management. You need to be in a stable position financially before starting a small business and you must always make sure that you keep your business and personal finances separate. You might find it useful to hire an accountant or outsource this area but you must always still keep finance in mind when making any kind of strategic decision.
-
You should earn an online MBA
Many people think that they have what it takes to run a small business, but often this is not something that is possible without study and an online MBA is an excellent qualification to have. An online MBA will teach you about business strategy, how to see the big picture, how to communicate effectively, how to promote your business and much more. An online MBA is important for teaching you about running a business but it is also important in terms of building confidence and developing the soft skills that are just as important. Additionally, an online MBA in Ghana is a good idea because it is flexible, so you can juggle online MBA study with your current job or while you start to build the business and apply what you are learning as you go.
-
You need to have a passion and vision for the company
In addition to an online MBA, it is also important that you have a passion for the business, otherwise you may lose motivation and struggle to inspire others. This does not necessarily mean finding a way to make a business out of your passion (often this will not be profitable) but it does mean feeling passionate about the company and how you conduct yourself. Additionally, you need to have a vision for the company and look ahead to what you want to achieve in one year, 5 years, 10 years and onwards. A vision and goal setting are important for motivation and avoiding standing still for too long – this can be dangerous in the business world and see you fall behind the competition
-
You need to be an industry expert
It is often overlooked when launching a new business, but if you are able to become an industry expert, then you have a much better chance of succeeding as you will know how you can help your business to stand out. This means that you need to carry out detailed market research and have a clear understanding of the trends, developments, challenges and predictions for the market. Additionally, you need to have a strong understanding of who your competitors are along with their strengths and weaknesses and learn from the industry leaders. It will also mean having a strong understanding of your target demographic so that you can keep them in mind when making any kind of strategic decision.
-
You need a USP
Following this, you cannot expect to succeed and hit the ground running without a USP. You need to bring something new to the table when starting a new business otherwise the consumer will always go with the more established, trusted brand. A USP will help you to attract customers to your business from day one and it is then a case of winning them over with a high-quality product/service and a smooth customer experience.
-
You need to create a memorable brand identity
If you look at all the biggest and most popular businesses from around the world, you will notice that the one similarity that they have is a memorable brand identity. Companies like Nike, Apple, Google, Coke and McDonalds all have excellent branding that sticks in the mind of the consumer. This means that you need to take your time and potentially work with experts to craft a memorable brand identity, including a company name, slogan, logo and color scheme. In addition to these aspects, a brand identity is also the personality that your company portrays and this needs to be consistent in everything that you do.
-
A strong online presence is essential
In todayโs Internet-driven age, having a strong online presence is essential no matter what industry you are operating in. People use the Internet when looking for every kind of product or service, so you need to make sure that you are easy to find online. This means having a professionally-designed website, being active on social media channels and using digital marketing to increase your visibility online. It is hard to compete with the bigger brands online but it is possible, especially through platforms like social media where you can show your expertise with high-quality content and communicate with your target customer.
-
Customer service needs to be a priority
Good customer service is always important, but as a small business this is an area that needs to be a priority. This is because as a small business you could offer superior customer service to a much larger brand, so it can be a great way to make your business more competitive and to attract people to your company. You should offer omnichannel customer service so that consumers have a few different options when they want to get in touch with your business and then always go the extra mile in supporting your customers. Small touches like thank you notes with orders can make a huge difference and keep people coming back as well as help you to develop a positive reputation.
-
Technology can be of great use
As a small business owner, you should always have a solid knowledge of the latest tech and try to stay current with developments. This is because technology can be used in so many different ways to help your company and can even be used to level the playing field, so for a small business it can be incredibly useful. Tech could be used to streamline the operation, reduce costs, improve quality, improve your marketing, boost profits and much more. The best ways to stay current with technology include reading blogs, listening to podcasts, magazines, newsletters and social media.
-
You need to be flexible
You may have an idea in your head of how you want your business to run, but it is also important that you are flexible and willing to make changes in order to succeed. Things do not always go according to plan, you might make mistakes and there could be better ways of working. A great business owner is one which will be willing to make changes and always be learning.
-
You need to be willing to take risks
Leading on from this point, as the owner of a small business, you must also always be willing to take risks. You cannot expect to compete at a higher level, move forwards and grow a business without taking a few risks along the way. These risks should always be calculated and researched with consideration given to the different potential outcomes so that you can mitigate risk, but sometimes mistakes will happen. When you do make a mistake, you cannot let it knock your confidence and instead you need to brush yourself off, see what you can learn from the mistake and try to avoid making it again.
-
You need to protect yourself and the business
There are many threats to a modern business and you need to be aware of what these are and how you can protect yourself from day one. A few of the main ways that you can protect yourself and your business include:
- Cybersecurity
- Physical security
- Contracts
- Terms and conditions
- Trademarks
- Business insurance
- Choosing the right business structure
-
It is best to keep it basic to start with
In the early stages, you should try to keep the operation as basic as possible. This is so that you do not take on too many expenses to start with, so that you do not spread yourself too thin and so that you can handle the inevitable obstacles that arise in the early stages. Once the business starts to find its feet and bring in money, you can then look to upgrade the business and reach the next level.
-
Business can be brutal
You also need to be prepared for the fact that the business world is one which can be brutal, harsh and cutthroat. It can be quite shocking when you first enter the business world discovering how it works and how competitors can act, but when you are prepared for this it will make it much easier to settle and help you to make smart decisions. While you certainly need to be firm and avoid being walked over, it is also important that you always act ethically and be a positive presence in the community and never lower yourself to dirty tactics or mistreat staff, customers, suppliers and anyone else involved with the business.
Running a small business can be incredibly rewarding with many perks, but it does also have its own challenges and the above are a few of the key points that you need to be aware of.
