Content

• To step
• Method 1 of 4: Create a useful business plan
• Method 2 of 4: Have your tax affairs in order
• Method 3 of 4: Running your business
• Method 4 of 4: Building a customer base

As a small business owner you run into challenges that are specific to the size and function of the company. The small business owner must be able to meet all the challenges associated with selling, delivering, financing, managing, and expanding the business with little or no staff, and making it a success. Most important of all is to hold the interest of all stakeholders such as customers, salespeople and team to build momentum in a short amount of time. Running a small business can be hugely rewarding both personally and financially.

To step

Method 1 of 4: Create a useful business plan

1. Put your idea in writing. It is important to go through the ideas in your head and put them on paper. Most successful companies offer a new product or service or fill an existing niche in the market. Whatever your reasons for starting a small business, make sure you put them down clearly and concisely in writing.
   • It is good to make many concepts or constantly newer versions of your business plan.
   • Include as many details as possible in your business plan. Overthinking details is never as harmful as ignoring details.
   • It can also be good to include questions in the concepts of your business plan. Identifying what you don't know is just as helpful as listing things you are sure of. You don't want to present a business plan with unanswered questions to potential investors, but drafting relevant questions in your initial drafts will help you identify questions that need to be answered in your final business plan.
2. Seek advice from relevant advisory organizations. They can help you create a great business plan for a lender, and their advice is often free.
3. Identify your customer base. In the business plan you must indicate who you think will buy your product or service. Why would these people need or want your product or service? The answer to these questions should help determine all other aspects of your company's operations.
   • Here it is good to ask questions about your service or product. For example, you can ask questions such as: does my product / service appeal to younger or older people? Is my product / service affordable for lower-income consumers or is it a high-end purchase? Does my product / service appeal to people in specific environments? You won't be selling many winter tires in the Sahara or bath towels in the Arctic, so be realistic about the appeal of your product.
4. List your finances. In the business plan you should address the most important questions about financial confidence in your company.
   • How does your product or service generate money? How much money will it generate? How much does it cost to produce your product or service? How do you plan to pay for operating costs and employees? These and others are critical questions to answer as you plan the financial future of your small business.
5. Grow your business. All successful small businesses must expand their customer base and production capabilities in the first few years of operation. Make sure you know how your company can and will respond to potential growth.
   • Be realistic about growth. Keep in mind that the growth of your business also requires an increase in investment capital.Forecasting too much growth in too short a time frame can quickly deter potential investors.

Method 2 of 4: Have your tax affairs in order

1. Let your bank work for you. Run your business financially efficiently by researching all the options that banks offer small business owners and choosing the right bank for your company's financial plan. Many financial institutions offer low cost accounts, discounted loans, or free direct deposit programs for small business account holders. Banking at the institution that offers you the best offer helps you get the most out of every euro.
   • Compare banking options to get the largest capital and the lowest interest rates. For example, if a bank offers you a $ 10,000 loan at an interest rate of 4%, you might be able to take that offer to a competing bank to see if they can offer more capital at the start or a lower interest rate.
2. Arrange a loan or some other type of investment. Successful companies need capital to get started. Make sure you have arranged and committed enough tax aid to cover all operating, production and marketing costs of your business until it is able to generate and operate its own profit.
   • Make sure you have researched the different interest rates that apply to small business loans.
3. Make sure that the collection is arranged. Make sure you have arranged how your company will collect the bills and outstanding debts owed to your company. A successful business needs constant cash flow. If you can't accept payments from customers or have to wait for those who owe you money, you're doing your own business short.
   • You must decide whether to accept cash, credit cards, checks, or a combination of these from your customers.
   • Cash transactions are the easiest to handle on a daily basis, but are often difficult to track over longer periods of time. Handling cash also makes securing your company's incoming cash flow more difficult, because in a company that works with cash, it is easier for employees to steal money.
   • While accepting checks can help prevent theft within the company, checks can be rejected again, so you will have to settle the outstanding amounts with the bank.
   • Credit cards are generally the safest form of payment, but if you accept them, you will have to pay additional fees to the various credit card companies that, depending on the size and complexity of your business, may not pay off.
4. Consider using a credit card app. These are apps that help small businesses improve their cash flow by better managing daily cash collections and handling customer credit. This allows you to take on new customers or follow up existing customers with an invoice or to deal with the collection of money safely. There are several software vendors that can help you with this, such as iKMC, which you can also get a free trial of.
5. Manage your stock efficiently. Inventory management can make or break a small retail business, so go with it carefully to make sure you maximize every dollar spent. Invest in small stock quantities first and constantly monitor the size of your stock so you know what is being sold and what is not. Rotate stock regularly to remove slow copper items and replace with new ones.
   • Inventory management is often determined by the "shelf life" of the product you are selling. For example, if you are dealing with perishable items, it is critical to remove the oldest products from your inventory first to maximize the profit of your business.
6. Consider hiring a finance professional. It may be fiscally worthwhile to hire a dedicated staff member who can oversee the financial affairs of your small business. Accountants and bookkeepers can help you identify areas of your business that are not operating efficiently from a tax perspective, so you can maximize profits.
   • You don't necessarily need a full-time employee to handle financial matters. For example, if you have a good grip on your inventory flow and cash flow management, you may only need an accountant or bookkeeper when it's time for taxes.

Method 3 of 4: Running your business

1. Make sure to register. Don't forget to register and arrange your small business enrollment for your specific industry. This step is important to ensure you can run your business legally and according to industry regulations. Make sure to apply for permits for certain services you offer that may require registration and certification, such as home repair or tax return. You cannot hire employees if your company does not operate with the correct licenses and permits.
   • Not all companies require licenses. Make sure to check with your local small business administration to see what your business needs.
2. Certify employees. Use certified personnel in your business, such as a certified accountant or electrical repair technician. Certification of all employees ensures that your employees are competent at the highest level and increase the confidence of your customers in your company.
3. Make sure you are well organized. Organizing your time, employees, finances and inventory is vital to running a small business successfully. Create a spreadsheet that will help you keep track of all the important details so you don't have to keep them in your head, and allow time - at least once a week - to check everything.
   • Organizing weekly, biweekly or monthly meetings with your staff will keep everyone on the same page and avoid wasting time or overlapping different responsibilities of your team members. Meetings also help you analyze who is adequately performing the tasks assigned to them and who is not.
4. Delegate responsibilities. You can't do everything yourself, so delegate the various tasks and responsibilities to qualified employees. Small businesses often require employees to also assume duties and responsibilities that may not be within their field.
   • It is often useful to divide your company's activities into specific functions and delegate these functions to different employees or members of your team.
   • When delegating responsibilities, also make sure that you assign supervision of a specific position to a qualified person. For example, you do not want an accountant to represent you in a legal matter or for a lawyer to take care of your finances. If you look at your business functions like this, you can identify what your needs are when hiring employees.
5. Be involved. Once you have decided on the division of labor within your company, you must remain involved to ensure that all of your employees are performing the tasks assigned to them. You also have to respond to the needs of your customers. Make sure you are aware of customer needs and feedback and don't shy away from interacting with your customers, even if the job is assigned to an employee.
   • From time to time you will have to hire or fire an employee. Make sure you are aware of all laws and regulations related to employee equality and anti-discrimination laws, as these all affect hiring, firing, correcting and treating employees.
   • Leaving customer feedback as a responsibility of your employees is a dangerous tactic. Employees can benefit from presenting you inaccurate information about customer satisfaction or product usability, which in turn can lead you to make wrong management decisions for the company as a whole. Therefore, do not just accept what your employees tell you about your company. It's your business and you are the one in a risk position, so be proactive about monitoring the business results.

Method 4 of 4: Building a customer base

1. Use targeted promotional and marketing campaigns. It is important to disclose your business. By conducting demographic research, make sure that the money you put aside for marketing is well spent. This helps you tailor your marketing plan and be as effective as possible.
   • It is useful to think of offers and marketing that are proportional to the capacity of your company. Paying for a commercial on national TV makes little sense if your business only works locally.
   • Think about who is likely to buy your product and why. For example, if you sell dentures, it makes little sense to include younger people in your marketing considerations.
2. Network as much as possible. Seek support from other local small businesses by networking with other owners. Join business associations and participate in community events to increase awareness of your business and let potential customers know what services you offer.
3. Know your industry. Keep up to date with what's new or trendy in your industry so your business can compete in the industry. Subscribe to magazines or online newsletters to stay up to date with current industry events. By staying at the forefront of your industry, you take customers away from competing companies.
4. Offers references. Compile a list of satisfied customers who are willing to serve as references to potential customers. This gives prospective customers the opportunity to verify your work and customer service.
5. Be accessible. Make sure prospects and customers can contact you and your business at any time. The best way to grow your reputation as a respectable company is to respond to the needs of your customers.
   • Large companies can afford not to respond and lose a handful of customers from time to time. Small businesses cannot. As a small business owner, it's up to you to make yourself and your business accessible to potential customers. To do this, while trying to grow your business, you may need to disclose your personal cell phone number or email address to customers.
6. Do what you promise. Your small business will need to offer a particular product or service to be successful. But if you want to grow your business by building your customer base, you need to give people not only what they want, but also what you've promised them. If your product or service doesn't match what you keep advertising, you will have major problems expanding your customer base.
   • Keeping your promise starts with the way you organize the sale. If you or your sales team offer or promise too much, your customers will understandably be disappointed when they receive or use your product or service, which in turn leads to negative reviews and word of mouth about your business. Remember, good sales tactics are about identifying and understanding your customer's needs and demonstrating the benefits of your product, and not lying to your customers about what your product can do.