Business success is not an event, it is a process with series of application of management skills set to achieve certain goals and objectives. To reach those goals and objective, manager makes all necessary decisions and adjustments. As a manager, you are supposed to make or purchase products, price it, advertise it and sell. You will keep records and also make analysis on the cost and profit.
For small business, the major objectives are;
Starting a business can seem to be quite easy, but sustaining it can be much more difficult. If you wish to start, or you are operating a small business, the following are the five secrets to small business success that I have found to be very beneficial. If properly implemented, I am certain that you will not only make profit, but you will reap good profit that will sustain your business and give back to the community.
Planning is one of the most significant part of starting and running a business. It is easy to start a business, but without thorough planning it will be like setting a journey to unknown destination.
Most business owners (especially if you are running business alone) dismiss the importance of planning. After all, planning can be cumbersome and also take a lot of time, and for small business operators time spent on planning is time when you are not earning. But the benefits of planning will always outweigh any loss’ of time by far.
A good business plan will.
A good business plan will not only assist you to get loan at the startup, but will also help you to manage your business. By committing your time and thoughts to paperwork you will understand your business better.
It will give you alternatives to future scenarios, set out objectives and goals of your business as well as the resources you will need to achieve those goals and objectives. Better understanding of the business and the market, coupled with planning on how you will operate within the available environment will place you better to make good profit and achieve short term and long term goals of the business.
During the course of operation, you may be faced with financial decisions. Although there are many financial institutions willing to fund your project, they will ask for latest business plan along with other important documents such as income statement. This will help lenders to know your past and your future. Advisably, keep your program simple and cost effective.
Among many other objectives of the business, ensuring sustainability is the major objective of every business. Inconsistency will not augur well, will send mixed messages and also run a risk of appearing as if the business is simply green-washing.
It is better to implement few programs that you will sustain than launch a wide range of programs that you cannot support.
A good leader should be ready to listen to his/her juniors. Avoid imposing your views and ideas on other without reasoning together. Get time to listen to your juniors, or customers, never lose your temper or openly criticize your employee. Always praise your colleagues for work well done.
If you want your employees to work better, praise them, they will flourish. Make your employees part of the business. If one of your employee is not working well, don’t blame all, or don’t throw him/her out automatically. Find if there is another job that best suit him/her.
How you price your goods or services as direct bearing on the volume of sales you make as well as profit. If you price to high, you will lose sale volume and if you price to low, you will have very high sale volume, but in all cases you don’t get significant profit.
Money is a very important tool in every business, so take care of your tool. Undoubtedly, neglecting tools of trade is one of the worst thing you can do.
But how can you take care of this important tool?
It is always wise to keep in mind that business success is a process that depends on the choices you make. If you consistently make bad and uninformed choice, you will be doing injustice to your business. But I am sure if you keep these 5 factors to be part of your business, you will prosper.