Starting a business is the easy part; being successful at it is the harder bit. It’s akin to the relationship mistake of thinking only of the wedding ceremony and not the marriage that comes after it! Here at Saved by the Cents, we try to think about all aspects to ensure we’re covered. Since most startups actually fail in under 2 years, it is really important that you work hard and you are aware of the advice mentioned below.
Here are 4 tips for starting a business for yourself and doing well with it.
1. Don’t Assume You Are Not Eligible for Finance
Depending on how much finance is needed, lending is often possible for small business owners.
To get financing when you’ve only got limited documentary proof, then a specialist provider like AGM Finance is required. Not only for the type of lending needed but also for country-specific lenders too.
Proof of live business registration for the past couple of years is commonly requested. But terms are available for entrepreneurs that are younger. Confirmation about what the financing is required for – truck, machinery, computer equipment – is also useful. Each lenders’ requirements are different, so don’t automatically assume that you’ll get turned down.
Even if your business is fairly new, expect to need to offer a personal guarantee or to secure the financing against other assets.
The problem is that many entrepreneurs try to secure financing whenever something goes wrong. This can easily lead to a spiral in which you keep going deeper and deeper into debt. Avoid this by always controlling your financing and being in control of everything. In order to have control over your financing, there are business credit cards Singapore that will be handy to set budget and manage your finances effectively.
2. Match Your Talents to the Business Type
The smaller the business where you’ll be more hands-on and maybe won’t have employees, the more critical it is to match the business type to your skillset. Or look at interests that overlap between personal ones and the business world.
Bear in mind that other than funding expansion, you’ll need to turn your hand to regularly producing work for the industry or type of business started. Be prepared for this because it may be a while before you can follow the cliched advice to work on your business and not in it. The latter requires considerably more money at the outset.
A very important part of business management, one you need to master as soon as possible, is delegating. If you do not delegate, it is so easy to lose efficiency. The best people in your team at a specific task need to be those that are responsible for it. This does include you since you are surely not great at everything.
3. Research What Your Competitors Are Doing
While you don’t necessarily want to emulate (read: copy) your competitors directly, it’s possible to investigate and see which ones are more successful. Even with smaller competitors, see how they’re doing things differently and finding success with positive customer reviews and expanding sales.
Rather than reinventing the wheel and having to create a new market which is an uphill battle all the way, improve upon existing products or services. Find gaps in existing markets. Piggyback off current marketing by gaining attention for better products that borrow something from a growing trend for them.
Market research is so often neglected when business owners want to launch products. Do not make such a mistake. It is very important that you know all you can about the market, your competition, and the target audience. If you cannot gather all the information you need, seriously consider hiring someone who can.
4. Create the Right Processes
Whether you’re still a one-person operation or you’re planning to expand to a sizable workforce, processes are required to help steer the way.
Create systems and procedures that provide clear guidance for all the work that must be performed. By systematizing everything, even if you’re currently working alone, you’ll be ready to begin outsourcing to freelancers or remote workers as part-time employees. Plus, perfecting the system – which is a never-ending process in itself – works best when it’s already in its advanced stage.
By following the above tips, you’ll avoid many of the mistakes that other newer entrepreneurs often make. This will allow your business to not lose its early momentum.
