Crucial Tips On How to Run A Business
By: Lewis Mtiive
Tags: Business Development, Business Intelligence, Busineß, Business Strategy, Business

Purchase Quality Hoodies, Clothing etc @ https://bio.fm/bishmalewis

9 TIPS TO HELP YOU ON YOUR JOURNEY TOWARDS A BUSINESS….

1. Start a small business slowly….

The most important cause of failures for very small businesses is the large overhead expenses early on in the project.

In a study entitled “Portrait of the businessman as a predator”, French academics Michel Villette and Catherine Vuillermot argue that successful entrepreneurs are anything but the big risk takers that popular mythology often has us believe.

These entrepreneurs are more predatory, positioning themselves slowly and cautiously, minimizing risk and acting at the most opportune times.

For that, nothing like a good financial planning including all the figures relating to your project. This is the 1st step for a successful business : carefully compile all the financial elements that make up your project, and precisely determine your financing needs .

Be careful because in this phase, we tend to overestimate our sales and underestimate our costs! Do you have a good idea of ​​your real costs?

Having a clear vision of your financial commitments, properly assessing your costs and margins, and measuring your performance with financial indicators are all avenues for putting all the chances in your side!

Starting a small or very small business and developing your project successfully is not an easy task. Starting a business is no guarantee of success.

In fact, many small businesses do not survive their fifth anniversary.

But don’t give up hope! There are techniques to improve the chances of your business succeeding . Your accounting firm SBA Compta offers 9 ways to ensure the success of your business with practical advice for their implementation in your daily life.

2. Know your market….

Before you jump right into your business and in order to succeed in your business , it is important to know your target market and make a business plan .

That is to say, you have to study the environment of your project and plan its evolution. Be thorough, to anticipate the strengths and weaknesses and market opportunities of your future project in order to be able to rectify your offer, if necessary.

Market research allows you to collect and analyze the various information concerning your project and to put you in its context before you start.

We will discuss the different questions to ask yourself during your market research and the pitfalls that you will need to avoid in order to succeed in your business :

Know your target market:

It is important to study your market, that is to say, study your target market according to the service or product offered.

Try to imagine the different possible scenarios: the evolution of the market, expected sales, the prices that will be charged and the expected turnover, in order to target profitability as closely as possible .

Know your competitors:

Above all, remember to practice daily competitive intelligence: this is how you will be able to know the strategy of your competitors in their commercial practices.

Try to find as much information as possible on their prices, their market share as well as their marketing strategy (in particular, how they make themselves known to customers).

Thus, you will be able to rectify your offer and align yourself with a strategy that has already proven itself with customers, innovate and bring a new offer that will satisfy your customers and bring new markets.

Know your environment:

A company’s performance also comes from understanding its environment and its ability to adapt to it.

The environment is all the actors external to the company and likely to affect the way it develops its exchanges with its market.

The market environment consists of legal obligations, suppliers, competitors, customers and the administrative and banking system (micro-environment) that directly influence your project.

It is important to know the legal obligations related to your project to determine the feasibility of your project. *

You will also benefit from a good knowledge of the organization of the market and the position of the company in its economic environment.

In addition, it will be necessary to define its catchment area (that is to say the geographical area of ​​influence, from which the majority of customers come).

It will be necessary to study the profiles of the customers, their expectations and the obstacles of the market.

An in-depth market study, and concrete knowledge of the direct environment are fundamental steps before you embark on your project and guarantee the success of your business .

This study will allow you to avoid falling into certain pitfalls and to start a stable and future-oriented project .

Several studies, carried out by OSEO and FUSACQ, underline that the lack of control of the economic environment of the VSE, by the creator of the project, significantly reduces its chances of success.

3. Offer and maintain quality service….

Each company offering a quality product or service will be recognized by its customers, and “word of mouth” will have a very positive effect on the success of your business .

However, it only takes a drop in the quality of your service and there will be an immediate impact on your customers; we are very familiar with the adage that says “a satisfied customer talks to 2 people; a dissatisfied customer tells 10 people about it ”.

Even successful businesses can lose customers and profits by reducing quality in favor of quantity.

Customers who are used to a certain level of quality get used to this level. They expect to have a consistently high level of satisfaction, and will want better.

Without innovation (product — services), 30% of your “satisfied” customers will leave you each year.

4. Listen to your customers….

Listening to your customers and the market is what allows you to be innovative, allows you to retain your customers and succeed in your business . You should not take your customers for granted and tell yourself that you have found the right service or product and no longer innovate.

Customers are the players who can guide you towards their expectations and it is by being as close as possible to your market that you will be able to offer the best service offer which will be the solution most popular with the market.

98% of dissatisfied customers who leave you never share their dissatisfaction. So try to do a customer satisfaction study or ask their opinion following a purchase (a small customer questionnaire on paper will do the trick).

5. Define the strategic objectives of your company…..

The objectives are the basis of the commercial approach, they make it possible to anticipate, to take decisions, to manage the activity as well as possible and to succeed in one’s business .

A company’s business strategy is primarily based on specific, achievable and time-bound objectives. These must be set according to the priorities. They must take the environment into account, be anticipated and planned over the long, medium and short terms.

The current crisis has shifted targets, for some small businesses, to monthly or even weekly planning. But it is important to stay on an annual strategic plan, to highlight the peaks of activity and to forecast your stocks accordingly.

But what kinds of goals can be set ?

To determine them, a first phase consists in mapping your situation: what are my strengths? What are my weak points? How can I remedy these?

So you can:

- Identify your areas for improvement

- Make an action plan with clear and achievable objectives

- Provide a predefined schedule in order to act to remedy them

For example: Following your analysis, you can see that customer satisfaction is a priority axis of progress that will bring gains for your company. Clear objectives will therefore have to be set in order to remedy this.

Or, it could be to gain 5% of market share by a certain deadline, to conquer a new market, or to achieve a given turnover on a specific date.

6. Plan and control your stocks…..

It is hardly possible to run a business well and succeed in your business without setting a guideline, that is to say a strategy. It is time to move away from your activity, but to plan and manage it optimally. Managing your inventory is part of this strategy.

Poor management of your stocks would lead to delivery delays and therefore penalize you.

Orders from your customers that are not respected and not delivered on time would jeopardize your reputation and your business.

It is important to buy inventory management software for those who can invest, or to create on an Excel file a summary table of your stocks, with each entry and exit, and establish an alert stock (minimum level of stocks to trigger an order for replenishment).

7. Publicize your activity…….

The strategic location of your business is one of the keys to your success . Being visible and easily accessible to your customers is a real asset.

Another way to be seen, but in a more modern way, is visibility on the web. Communicating at a lower cost and making yourself known also involves a presence on the internet.

Facebook ads and pages are a great way to reach more people online.

The social networks are, according to some studies, the second most influential advertising lever youth. 18% of them have already made a purchase by seeing the product on social networks (study conducted by CCM Benchmark Institute).

Sites and online sales are also a good solution to reach the maximum number of potential customers for a successful business .

The Internet is really a complement to the consumer’s buying process. So having a multi-channel strategy can make this process easier and even increase your sales.

According to CCM Benchmark Institute, 67% of Internet users often do their research on the Internet before buying in a store. This purchasing method particularly affects young people, since 74% of 18–35 year olds take this step.

E-mailing is also a very good technique to differentiate yourself from competitors, reach your targets more easily and cheaply and succeed in your business .

Internet users believe that e-mail is the most effective advertising lever: 33% of them declare that they have bought a product after seeing it in an email sent by the brand.

Adapt to the audience you are targeting: for those under 55, special attention will be paid in the evening and during the week.

Pay extra attention to seniors in the morning, regardless of the day of the week.

8. Focus on your core business…….

The small businesses that have best succeeded are those that focused on an activity and were not scattered across different activities that bring no added value. It is better to offer a single quality service than several failures.

You will then have to develop the “core business” or “core business” activity by focusing on your key skills and differentiating yourself from your competitors to succeed in your business .

VSE / SME managers have a great need for tax and financial advice. It is in your best interest to call on a specialist service provider to start off on a good basis.

Accounting, taxation, treasury, dashboards… SBA Compta, your online accountant , offers its clients all the know-how of management experts, in order to boost their overall performance and economic profitability.

Do you want to focus entirely on your business project?

9. Watch your cash flow…….

It is well known that any business must have sufficient resources in order to meet its financial commitments and be successful in business . Without this, it would be declared in default or even in liquidation.

The cash flow of a company is defined as all the cash available in cash or in the bank. The cash flow of your company must be managed on a daily basis and is part of a real strategy.