Tips to Create a Successful Small Business
Small businesses are the heart of every nation. In the USA alone, small businesses account for about 50% employment of the working class. Small businesses are important, and for anyone willing to take a bold step to establish a small business, the rewards are endless.
It is imperative to learn how to create a business, especially a small business since research has shown that about 50% of businesses may survive four to five years. And as the years go by, a number of businesses still fail.
This statistic although alarming, can be a useful information to the smart and wise entrepreneur. The timid and mediocre will shy away at this, but the daring and courageous entrepreneur will study more on why small businesses fail and then learn from their mistakes.
Building a successful business is no joke, it involves a lot of sacrifice and hardwork and it is very painful when they fail. A lot of factors account for the failure of small businesses, from unrealistic expectations to poor prioritization among others. But success is possible for anyone willing to go beyond the status quo.
All through history, the people who have achieved great financial successes have been people who have had dreams and worked hard to make their dreams a reality. They were and are individuals with big dreams of conquering the world and effecting change in their lives and in the lives of others.
They faced difficult moments and challenges, some failed and rose up while others made great sacrifices to get to where they are. The principles haven’t changed, but the strategies have changed, obviously. For anyone willing to combine innovation with technology and marry them with hardwork, success is surely possible.
In this article, I am going to talk about some tips to help you build a small business that actually survives from a perspective which when merged with other technical perspectives will deliver great success.
What is a small business?
A small business is a business that employs less than 500 people. It is a great opportunity for any individual willing to put their creativity, leadership, and business skills to work. It is not a venture for the feeble mind nor the pessimistic fellow, but an opportunity for great minds to work out solutions to society’s problems.
A successful small business does not only make an entrepreneur rich, but opens opportunities and doors for others within a community to enhance the quality of life and promote economic growth.
Like any successful venture, an entrepreneur who wants to start a small business must have the classic qualities of resilience, adaptability, fortitude, vision, integrity, team building, and of course leadership.
These qualities are what makes or unmake the business, and the ability of the entrepreneur to exhibit these qualities will determine whether the business will survive or fail.
5 tips to build a successful small business
1. Create goods and services that people want
The hallmark of every successful venture is one that solves problems, which meets a need, which provides an answer, and acts as a solution. Look around you today and there are several problems and challenges that surround you.
One way to identify problems is to sit down and analyze your life, list the things that you think can make your life, business, career, education, or social life easier and note them.
If they are genuine needs then other people probably have similar needs. Find the solution to those problems and start doing business. That’s how entrepreneurship starts, solving a problem.
For any idea you have to pursue, you must make sure it is meeting a real need before developing that idea. If you start a business and you provide a product or service no one wants, then no one is going to pay for it and that means the business will fail eventually.
Sometimes business ideas could also be about filling a need an already established business is overlooking. It could be that you have found better ways of doing something that already exists, for example, you have more trendy and cost-efficient designs of clothing or footwear. It could also be to buy an idea that has failed and start it all over again.
2. Write a business plan
“If you fail to plan you are planning to fail”- Benjamin Franklin
For anyone who wants to create a successful small business, a business that will outlive the founder and provide solutions to people, you must plan, if not like Benjamin Franklin said in the quote above, you are planning to fail.
A business plan gives you details and understanding about the idea, your customers, and your competitors. It helps you to analyze your market, risks, and the resources available for the business. A business plan helps you the entrepreneur to analyze the cost involved in starting the business and identify or form a team to start the business.
Once you have a plan detailing all the essentials you will need for the business, then as Napoleon Hill said, “Plan your work and work your plan”.
If you desire to start a business that will make impact and achieve great rewards, you can’t afford to not plan, it is too costly.
3. Be flexible and allow change
I read an interesting story of the life of one of the greatest inventors in the world, Henry Ford. Ford Motor Co., in 1912 had a production manager called Knudsen who saw the need to update the company’s Model T, a beautiful car at that time and very dear to Henry Ford. But Ford resisted the change.
He loved his Model T so much that he wanted it to remain just as it was. One day he traveled and came back and saw a newer model of the car made by Knudsen, and he ripped the entire car apart. He resisted the change so much that soon the company started suffering from his resistance to change. It cost him a lot by the time he caught up.
As an entrepreneur, you should be creative enough to respond to change and solve the problems that the company will encounter. This means keeping an open eye on technology and ways to advance and promote your business.
You should be able to leverage social media and the internet to promote your business. Furthermore, you could also start a small business online or use both.
As time goes on you should be able to change or modify products and services to suit the needs of consumers.
4. Develop and train leaders within your business
As your business grows and expands, you hire new employees. You appoint managers and designate roles and higher responsibilities to individuals.
This is usually the stage where most businesses fail, because the wrong individuals are chosen for the roles or vice versa. If you are a good entrepreneur then you should train your employees to demonstrate the same kind of leadership and even better in order to move the business along the preferred direction.
Train, empower, and develop employees to ensure that they are the best of themselves so that they can give their best to the company. Let leadership be a hallmark for your company in order to create a community of employees with a strong culture of leadership skills, problem solving capacities, and the ability to navigate and create positive changes in the business.
5. Analyze ad track growth
As the business starts operation, you should be able to track results and see what’s working and what is not. You should have systems and analytics to help you monitor your progress. This will help you know what you are doing well as a business and then help you work better to achieve your goals.
Starting a business involves a lot of hustles and hurdles. The only thing that will keep you going is your relentlessness and the incessant desire to achieve your goal. The future is bright for anyone willing to achieve their goals and dreams.
This content is accurate and true to the best of the author’s knowledge and is not meant to substitute for formal and individualized advice from a qualified professional.
© 2019 Mercy Berchie