Starting a small business: 4 must-know tips for small business owners

Mike Page
Authored by Mike Page
Posted Monday, March 9, 2020 - 9:40am

Running a successful business isn’t easy.

If it was, then every new start-up would succeed. Of course, that isn’t the case. In reality, around half end up failing within 5 years.

That statistic should ring loudly in the ears of any aspiring business owner.

There’s more to winning at business than many people think. Looking for ways to maximize your chances of success?

Keep reading for 4 essential tips for small business owners.

1. Focus On Problem-Solving

Successful businesses do one thing above all others:

Solve a problem.

The business owner looked around them and analyzed the environment. They identified a need and set about addressing it with a product or service.

For you to win at business, then you must do the same.

Don’t think about selling. Don’t think about making money. Don’t think about finding investment.

Start by honing in on how you can make the world better. Come up with an idea for a business that solves peoples’ problems and you’ll always have customers lining up at your door.

2. Be Financially Pessimistic

An idea will only get you so far though.

Capital is what turns it into a reality.

It’s time to get serious about developing your idea. For that, you need to know how much it’s going to cost. The trick to calculating the money you’ll need is being pessimistic.

Add up the cost of the expenses required to launch the business. Then multiply it by a factor of 3, or even 4. That’s right: triple or quadruple your expected costs.

There are unexpected costs around the corner; you need to be prepared for them. And, let’s face it, even if you over-budget, having more capital than you need is never a bad thing.

3. Focus On Brand Image

Anybody can sell a product or service.

All it takes is enough ad spend and some smooth-talking salespeople.

But that isn’t enough. To succeed long into the future you need to focus on developing a brand.

Having a quality brand image is what cultivates customer loyalty. It’s what attracts the right customers, spreads the message of your business, and sees it grow in perpetuity.

Prioritize your brand at every step of the way.

4. Don’t Aim for Perfection Off the Bat

Never try to bring a perfect product/service into the market.

Too many naïve business owners invest all their money in doing so. But it’s a recipe for disappointment.

They may have misjudged the market. There might be some fatal flaw that renders the business obsolete. Worse, having spent all their money, there’s no way to come back and start again.

A better tack is to get your idea to market ASAP. Test a beta model as you go and create numerous iterations that get better each time. That way, when you finally arrive at the end result, you know it’s going to be well-received.

Follow These Tips for Small Business Owners

Starting a business?

Hopefully, these tips for small business owners will help you succeed where others fail. Check out the ‘Business’ section of our website for related information now.

 

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