Did you know that only 50 percent of small businesses are operating 5 years after they started? While that might seem like a grim prognosis, it is possible to be successful. But sustaining financial momentum requires streamlining expenses and generating more revenue.
Read on to find the ultimate small business guide!
Develop A Solid Business Plan
What are your business goals for the next quarter or year? These are the types of business considerations to map out in a business plan.
A small business plan should include a summary of your company’s mission and organizational structure. Disclose your financial status and projections for the next year. It’s also wise to outline urgent needs, such as equipment, and identify any loans required to make purchases.
Most importantly, you’ll want to plan on holding regular meetings with key stakeholders. This should be done at least quarterly. But as a fledgling small business, you may want to hold weekly standing meetings or monthly conference calls.
Understand The Customer Journey
The strategies you’ll use to attract working moms to your services will differ from those used to attract retirees. That’s why you need to know who your customers are — and how to attract them.
Brainstorm customer traits, such as age, gender, and region. Use these factors to design digital marketing campaigns with a more targeted audience. After a few months, review metrics to see if your audience has shifted.
On your social media pages, engage customers in posts and polls. This is a way to make your brand more personable. It’s also an informal way to test out new products, ideas, or incentives.
Develop a loyalty program, too, to help with customer retention. For instance, you could award a 20% discount on a future purchase when a customer has spent $100 on products.
A Small Business Guide Must Discuss Software
When you’re running a business, you need a way to stay organized. Relying on paper spreadsheets and filing cabinets isn’t efficient. And if there’s a fire or theft, you risk losing sensitive information, such as passwords or financial statements.
The better choice is to use a software program that integrates with email and other existing platforms. You can track expenses, invoices, and other documents.
You also gain access to an easy way to communicate across different teams or divisions. Grant access to reports to upper management. Set up chat features so newer workers can get answers instantly from more experienced people.
Streamline Business Expenses
Hoping to increase your revenue? You can make progress by determining how to cut small business expenses. When you can trim the fat from your budget, you’ll increase your profit margins.
For example, limit paper products in the office and keep marketing efforts virtual. Outsource some production so you don’t need to invest in as much equipment. And work remotely to avoid leasing expensive office space.
Grow Your Small Business
Following a small business guide can help you create a business that will thrive for years to come. Know your customer base, and make an effort to engage through social media and branding. Limit business expenses and be strategic as you diversify your product offerings.
Find more tips for running a business in our other articles!