6 Things You Need To Know About Starting A Business (Part 1)
For the last ten years I have run a fairly successful business. At the height of the business I had four employee's and brought in $200,00 a year. I have since scaled back but continue to generate decent income from this business. When I started out I didn't have a mentor to guide me through some of the basic's of starting a business, nor did I do the proper research.
Many businesses are started because of amazing idea's that have the potential to change the world, the only problem is, the idea is not enough. You can have the best idea, the best "looking" business and without proper management or attention to some basic principles, that business could end up going bankrupt.
This better not be you!
How many times have we read stories of businesses that were mismanaged? How many times have we witnessed this personal with some business in our immediate circle?
If you're starting a business, if you have just started a business, or if you are thinking about starting a business, here are the first three of six basic things that I think you should be aware of (I wish I was):
Do all of the research! I had a former friend who had a great idea for a business, he also had a partner to help him with the financial aspects. They were opening a funnel cake business in Chicago, in a popular mall, they had a solid plan. They rented the place, put in the manual labor to get the place ready, and hired some people to help them remodel. They got pretty far into the process when they were told that they needed a few permits. They looked into what it would take for those permits and after dealing with a lot of wrangling and hassle, they ran out of money and lost everything they put into the business. If you're starting a business, you better be able to tell me every aspect of that business. Do the research and find out what permits you need, how much equipment will cost, how much you'll make, you get the point. Starting a business is important and you need to treat it that way by knowing everything there is to know before you start. Don't rush into things, take your time and do the research, a little patience goes a long way!
"The customer is always right" You have heard this many times before and it's true. If you want a business that not only survives but thrives, you better have the best customer service in the world! The best way to grow any business is word of mouth and if you want people talking about your business, it starts with excellent customer service. You have to go over the top, bending over backwards for your customers, they will talk about you to everyone they know about this kind of service. Think of how quickly and how many people you tell to avoid a business with bad customer service? Also, you can advertise all you want about your business, saying how great it is, a recommendation from a friend to a friend will be far more effective than your advertising. Have you bought something because a friend told you how good it was? YES.
Stay organized. One of my biggest problems when I started my business was the lack of organization. When I needed to find a specific document, it was liking trying to win a gold medal at the olympics. This really hurt me and turned potential customers off when considering hiring me, one potential customer told me as much. Keep all your paperwork in separate folders in a separate filling cabinet, you don't want your important business documents getting mixed up with your diaper coupons! Not only your paperwork but stay organized in every aspect of your business. I've been very impressed walking into a restaurant that opened by our home. Normally one of the things you always ask for in a restaurant is napkins, they had a whole area that had napkins, silverware, extra condiments, extra take home boxes and bags. It was very impressive and I bragged about the organization to a lot of my friends, they ended up checking it out as well. You see how this helped this business grow? Having things set up this way helped the staff to not be tied down fetching these items for customers, they are now able to use that time to focus on other things that help them grow their business, like making sure the bathrooms were clean (also very important in a restaurant).
This is the first part of some helpful tips in starting a business, come back on Friday to see the conclusion. I hope these first three can be a help to you or someone you know in staring a business or a beginner business.
I don't know about you but I'm tired of hearing stories of businesses that don't make it, let's do everything we can to help business survive and thrive!
Are you starting a business or have a new business? Have any stories to tell us? You have your chance by leaving a comment:
