All of us are a potential small business owner. But, the fact is, a very few of us would take the initiative to start up a small business. A harsh reality is, from those who somehow start a small business, a very few can sustain that start-up for first five years.
Research shows that only 50 percent of small business start-ups all over the world can last the first five years. In Melbourne, that figure is a lot lesser though. It is therefore paramount to get tips on how to avoid common mistakes that the majority of small business owners make so that, you can ensure your business grows in the right direction.
Some of these tips are from professional business Advisors and others are from owners of successful businesses while the rest are from owners of failed businesses. Let us look at some of these helpful tips
BE CALM AND STRATEGIC
Reports have shown that starters get overwhelmed by the idea of owning their own businesses and being their own boss. This apparent freedom of decision making tends to have a negative effect on some entrepreneurs causing them to make emotional and not necessarily rational business decisions. You need to be calm and tact as a startup.
INADEQUATE DEMAND GAUGE
Never forget that because you like your product well enough to start a business with it, does not mean that there aren’t people who would be against that product or service while some would be neutral to its existence and usefulness. Don’t just assume or estimate your demand size based on your personal experience or opinions. Always test for your demand with a wide range of people who would be brutally honest with you. They could be friends, family members or may be strangers as well. The fact is, the critical feedback you might get from them would help you heaps.
Ensure that, your product or service, however much you may think it is important, is in tandem with modern trends. For example, you may have grown up Watching DVD and VHS recorded movies. In fact, you enjoyed it so much that you are thinking of starting up a rental store for the younger generation to enjoy like you did. This business would not be in line with the modern trend where, most of the younger generation is downloading movies off the internet. Hence, it is less likely to survive.
DISTINGUISH YOUR BUSINESS AND STAND OUT
Having a special talent such as being able to sing, play a musical instrument or cook a special delicacy is a nice thing to start a business around. But before you do so, ask yourself if there isn’t anyone with the same gifts or talent as you have and In fact, is already running a business as you might be thinking of while targeting the same audients as you would.
Moreover, be cautious if a business like as mentioned before exists AND is a successful one too. But hey, what may distinguish you is the manner of delivering the service or product with a few compromises that your competition isn’t willing to make. This would make your brand stand out and your business’s reputation boosted, thereby, increasing your market share.
PROPER DELEGATION OF DUTY
If you think that you may be able to run the show by yourself then, I would strongly advise you to reconsider. It is really difficult to run the business single handed. Running a business successfully means, you have to be a multi skilled person; moreover, a speed runner as well . Quiet often, it becomes really tedious for the small business owners to gain an effective control over the business once it starts growing.
Hence, you need a very good team with each person delegated to carry out the duties he/she is best suited for. Remember to scrutinize and get reports from all team members including and most especially those you know little about in terms of performance and work ethics.
Most times small businesses need help with their taxes. Knowing just the right amount to pay, no more no less, is usually very complicated and, is certainly one of the most important duties to be delegated.
With finances, you can’t go wrong and as such, this task has to be delegated in most trusted hands. Thanks to the opulent accountants, a Business tax agent in Melbourne just for your business.
We at Opulent Accountants are a team of very intelligent, experienced and hardworking business experts who can help you out with quality accounting and tax services. Give us a go, and you’ll be delighted.