11 Necessities to Grow a Successful Business

11 Necessities TO l GROW A SUCCESSFUL SMALL BUSINESS Business Owner & Top Management Many successful strategies have been built around one person or team. Success is often a result of the Expert Intuition or "CEO gut" is at play in 80% of brand and market management decisions by successful organizations. intangibles: * desire * spirit * courage * pride * honor * loyalty Every small business needs the creative influence of an entrepreneur, PLUS the steady hand of a manager. Some managers don't have a creative bone in their bodies. Some entrepreneurs are not good managers. Experience trumps education. When it comes to running a small business, 25 years of industry experience is better than an industry Ph.D. First time entrepreneurs While entrepreneurs who previously failed have a 20% chance at success. have less than 10% chance at success. VS 2 Employees A small business spends about: 40 hrs Find people who share your passion and vision for what you want to accomplish with the business. Look for people who are ready to fully commit themselves to your business. training a new employee Challenges Human Resources face: Finding the right 22% employee with the skills required for the business. Keep balance in mind 19% Providing competitive salaries. Some business failures Finding employees with good work ethics. are due to inappropriate 19% manpower planning. Don't hire more than you can afford but be sure to have enough to keep up with the workload and service clients effectively. 18% Providing competitive health care and retirement benefits. Providing the extra perks of larger companies such as bonus, flexible hours, child care. 12% Products 3 Connections Or Services Connect with other business owners Develop new products while maintaining the high quality of existing products. including those who are running the same type of business as yours. Ask for customer feedback Learn from others experience. through surveys or direct interaction with them to find out what are the items that they need and expect from your business. Customer Contracts Customer Servcie Find and retain Create and maintain the highest level of customer satisfaction. high-value customers. The 80-20 rule: 80 percent of your business will come from 20 percent of your customers. Satisfied customers are more likely to come back to you. Keep in mind Accepting too many new clients when you can't handle the workload will likely disappoint existing clients. Go the extra mile by providing additional services, including free delivery or offering extended hours. Word Of Mouth Marketing 8 Focus Happy customers are your best marketing tools. Aim to please your customers, and they will willingly spread the word about your business. Entrepreneurial ventures may significantly change focus from the initial concept through a continuous response to the market and the desire to optimize profitability. Word of mouth marketing is Credible, Trusted, Personalized, Objective. Regardless of business type, there needs to be Three-Strategy Principle: 1 The current strategy The one you're in the marketplace with right now. 83% of online consumers are interested in sharing information about 2 The next strategy purchases with people they know The R&D is done and it's on the shelf ready to deploy when the current strategy plays out. 90% of online consumers trust recommendations 3 The quantum leap strategy The one you're investing in today so it's ready to follow #2. from people they know 9 Finding A Business Opportunity 10 Use Technology Use advanced technology to stay competitive. Business owners that are passionate about their business are likely to succeed Some basic technological tools to utilize for small businesses include the Find out if the industry you are considering has high potential or low potential following: Accounting software High Potential industry Is one that's emerging, or at least hasn't spent too much time on the maturity Planning software Time tracking software Email management continuum. Much of the Mobile internet access technology industry would fit this profile. Low Potential Is one that has already seen its best days (e.g. 56K modems at the turn of the 21st century) 11 Marketing Maximize your online presence A growing number of customers discover a business through an online search engine. Amount of Customers Gained Through Online or Social Media Channels (Website, Facebook, Linkedin, Online Forums, etc.) 5% 13% 18% 42% 22% All Three Half A quarter None quarters Don't assume your product is so great that you don't need marketing. Get word out on your business, even on small budget. http://www.squidoo.com/starup_failures http://www.sba.gov/content/do-your-market-research http://www.sba.gov/content/tips-choosing-business-location http://www.sba.gov/content/using-technology-stay-competitive MERCHANT RESOURCES INTERNATIONAL, INC. http://microbusiness.vistaprint.com/2011/05/16/micro-businesses-are-very-happy/ http://alltopstartups.com/2012/11/06/infographic-why-your-business-is-still-failing/ http://www.smallbusinessadvocate.com/small-business-articles/small-business-success-factors-152 http://www.powerhomebiz.com/vol95/key.htm http://www.onlinemba.com/blog/startup-success/ https://www.amexforbusiness.ca/en/big-ideas-for-small-business/managing/failure-factors http://www.slideshare.net/gisanders/word-of-mouth-marketing-past-present-and-future-smb-dallas-053112