Ten Basic Business Practices That Small Businesses Must Do!
As a small business owner, you have a lot on your plate to deal with because you are steering the ship alone at times. Small business owners have several responsibilities concerning the running of their business like:
- Ensuring that they have enough products in stock.
- Ensuring that they understand the needs and wants of their customers.
- Ensuring that their employees are being treated fairly and enjoy working for the company.
- Ensuring that the business is properly registered and organized.
- Have a good marketing plan in place to promote and advertise their products and services.
- Ensuring that they have a good record keeping system in place.
- Ensuring that their business finances are in order and have a good financial record keeping system.
- Have the ability to balance business life and personal life.
Being a small business owner takes a lot of work, time, and energy to be successful at it. Every entrepreneur understands the importance of writing out their goals and creating realistic plans to reach their goals for the business. Also, many business owners understand the importance of creating effective daily practices they can use to run their business in an efficient manner that will generate a continuous customer base. Plus these effective daily practices will generate a continuous revenue for the business as well.
Here are ten basic business practices that can be beneficial to any small business:
- Create a business plan: It is always good to write a plan on how you want your business to be setup, the products or services you want to sell, understand the industry of your business, understand the industry trends in your business, and how to implement the plans for your business. Also, a business plan will give you a financial projection of your business for a three year period or five period. A business owner should review their business plan on a yearly basis.
- Do Your Market Research: It is always good to do your research before deciding to go into business. You should do research on the following before starting a business:
- Ideal Customers;
- Industry Trends;
- Business Industry;
- Products or Services will offer; and
- Do a competitor analysis (find out what your competitors are doing).
- It is also good to do market research when the business wants to introduce a new product or service.
- Know your Financial Situation: An entrepreneur should have a clear understanding of their assets and liabilities before starting their business. You have to know how much startup money you will need to start your business. Also, you will need to know where you can borrow money from for your small business. Also, should ensure that you have a clear understanding of your personal finances and business finances at all times when operating your business. You need to hire a bookkeeper and accountant to assist you with maintaining the business finances.
- Build Your Dream Team: No one can run a business on their own and will need assistance with the daily operation of the business. It is always good to have the support of family and friends when running your business. You need to create your “dream team” for your business. Your “dream team” for your small business should include the following main players:
- Insurance Agent;
- Valuable Employees;
- Business coach;
- Support group; and
- Social groups.
- Incorporate Your Small Business: It is always good to incorporate your business, with your local government agency, to have it recognized as a legal entity such as LLC, Corporation, S-Corp, Partnership, LLP, etc. Incorporating your business can save you from personal liability.
- Have the Proper Insurance: It is good to buy insurance for your small business to ensure that your personal assets cannot be touched just in case you are sued by a dissatisfied customer or disgruntle employee. It is better to pay a small monthly premium for business insurance, then having to close your business due to an unforeseen tragedy or unforeseen mishap.
- Have a good Marketing Plan: It is always good to have a good marketing plan drawn out detailing how the business will promote the business, promote the products and services offered by the business, and ensure that the business image is being properly represented in the media and the public. It is always good to do a marketing plan when trying to introduce a new product or service to the public.
- Trademark, Patent, and Copyright everything: The business owner must ensure that they protect all of their business ideas, materials, products, services, and goods from infringement by other businesses. Trademarking, patenting, and copyrighting will protect all of your hard work from being ripped off by someone else.
- Ensure to hire the right employees: The business owner must ensure that they have a good hiring process, good employee relations policy, and good human resource department. This will ensure that the business hires the right employees and have a system setup to handle all employee matters from hiring to firing of employees.
- Have a good promotion or advertising plan: The business should have special funding setup for advertisement of products and services sold by the business. Also, a promotion plan will ensure that the business has the necessary techniques in place to promote the business to reach their ideal customers.
These are just a few of the business practices that I use to run my small business and some of these I have learned from other small businesses. It is good to select business practices that you feel comfortable with and know will work for your business.
Donya Zimmerman is a business consultant, mediator, and legal professional with over ten years of experience. Donya is also a public speaker and aspiring author. She has a few books in the works that will be published and released in the latter part of 2015. The books will focus on entrepreneurship, small business, and daily devotionals. She is owner of Family & Community Mediation and Business Consulting (FACMBC) based in Baltimore, Maryland and has been in business since 2013. Services provided by FACMBC: Mediation and Conflict Resolution Services; Business Registration Assistance (Limited Liability Company, Corporation, S-Corp, Limited Liability Partnership, etc.); Business Plan Drafting Assistance; Business Certification Assistance (MBE, WOSB, 8A, 501(c) (3), Hub Zone, etc.); and Business Organization Assistance. She is also a contributing writer to the Maryland Daily Examiner Newspaper. Donya Zimmerman has made article contributions to the Simply Inspirational Women in Business Journal for 2014 published by Dr. Cheryl Cottle.
If you are thinking about starting your own small business or non-profit organization do not hesitate to contact me because I can show you how to do so. Contact information: email@example.com; www.facebook.com/FACMBC; www.twitter.com/FACMBC; https://dzimmerman36.wordpress.com; http://www.linkedin.com/in/dzbusconsultantandmediator
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