Setting out to be your own boss and realize your business dreams can be a scary prospect. The fact is, many startup companies simply aren’t capable of going the distance. However, there are ways to boost your chances of success. Here are five practical tips that all budding entrepreneurs should know.
1) There’s no substitute for a suitable workspace
An appropriate base is a must for all businesses. Exactly what this is will depend on the setup of your company. If it’s just you and you spend your days at a computer, this could be as simple as a well-equipped home office. Alternatively, if you have staff members, you might need a larger commercial workspace. When choosing a premises, make sure it’s in a suitable location and it falls within your budget. It must be well equipped too. As Calibre point out comfortable and practical office furniture is essential, and you’ll need plenty of storage. The easiest way to stock up on these resources is to shop for them online. However, if you want to be completely sure that your furnishings are up to scratch, it helps to test them out in person before you purchase them. As well as good quality chairs, desks and storage solutions, your office should have reliable phone and internet connections.
2) Your business must address a real need
Your business idea doesn’t have to be mind-blowing in its originality, but it does have to address a real consumer need. According to CB Insights, a lack of market need is one of the common reasons for startup failures. So, at the very outset of your business, it’s important to do plenty of research to see whether your products or services will be in demand.
3) You’ll have to keep an eye on cash flow
Be sure to keep a constant eye on cash flow. Highlighting the importance of this issue, a study conducted by Dunn & Bradstreet suggested that 90 per cent of small business failures are caused by poor cash flow. To minimize the risk of this scuppering your startup, you should set cash flow targets, agree clear payment terms with customers and send your invoices out quickly.
4) Micromanaging can boost your stress and harm your success
Another tip is to avoid the temptation to micromanage every aspect of your company. If everything has to go through you, bottlenecks could build up, slowing your processes down. Also, you might fail to make full use of your personnel. Ultimately, trying to oversee all decisions, even the small ones, will cause your stress levels to soar and it could harm your company’s success.
5) It pays to listen to the experts
On a related point, it’s wise to tap into the expertise of others. Bear in mind that as well as being able to talk, you must be able to listen if you’re to fulfil your potential in business. Everything from reading advice online to seeking help from business mentors can help to boost your business’ prospects.