When starting out as a business, have a plan. It might be thoughts in your head, or it could be a well-documented printed report, but you should have a plan.
What are you looking to achieve? Is this a hobby, something you believe will provide you with a living income, or are you ready to take over the business world? Whatever size the business is and whatever your aspirations, a structure will help you reach and achieve those goals. Naturally, the larger the business, the more detailed your plans will have to be.
As the business grows and develops, it’s important that you reassess where you want the business to go and what you are looking to achieve. With this you can plan on the right areas for investment, but keep it simple, over planning or being too regimented can limit spur of the moment opportunities which can dampen creativity.
Identify where the business is now, where you want to be and what needs to be done to get you there.
Opportunities For Investment
Improving your equipment might seem like an obvious thing to do, but picking the right time to improve, is just as important. Equipment that’s ‘ok’ won’t seem like much of a problem and there’s no doubt it will keep the business ticking over nicely. But if there is faster, more efficient kit out there, how much could it save you in the long run? The most important thing is staying up to date with what’s out there. Do you have the best you can afford at the moment? If a piece of equipment can help speed up the processing time of your business, it could help increase the output of the business.
Replacing equipment normally comes at a large premium. However, the cost that comes with not replacing things could, in the long term, be more detrimental to the business.
Employees are arguably the most important aspect of any business. Regardless of whether you are a large business with multiple employees, or a sole trader working on your own, without a workforce functioning there would be no business. When it comes to improving how a business works, staff are a fundamental part of that.
Try incentivizing your staff with bonuses or rewards to make them feel as though their work is appreciated. What’s important is finding a way to effectively measure staff output, with some jobs it’s harder to track performance. When incentivizing staff, find a suitable way of rewarding staff for greater productivity and output. It should constantly keep your workforce motivated and always looking to better themselves.
Improving your employee knowledge of how the business works and giving them further opportunities to get job training, will only enhance productivity. The more efficiently staff can complete their work, the more comfortable they will feel and the more likely it is that they will stay with the company. This effectively increases the value of your employees
If the workforce feels more involved with the business and are on board with what everyone is trying to achieve, every employee effectively turns into an ambassador for the business.
The base of operations is a hugely important factor in the success of a business. Getting the right setup or finding the most appropriate place to conduct business can have a huge impact on success. For some businesses, improving premises doesn’t necessarily mean a better office. Some businesses require mobility to survive, so for a mobile hairdresser, freelance gardener or a builder, investing in a better premise, might mean an improved vehicle which they operate out of on a day to day basis.
For other businesses, it might be preparing for the future or enhancing what is already there. That could mean expanding, so there is more space for employees or stock, even redesigning where you operate so that it’s more in trend with the current market.
Marketing The Business
Marketing can be a fantastic way to invest profits back into the business. If done effectively, it can help push the business to the next level. The important thing is making sure that the business is adapting its strategies, so it can to stay up to date with the most effective methods of communicating to potential clients.
When thinking about market research it’s key to consider these points:
- What do you want to achieve?
- What works in your industry?
- What are your competitors doing?
Stay in touch with your competition and make sure that you are marketing the business on any platform competitors are. Not being ambitious, or having that competition, might mean you run the risk of missing out on potential marketing platforms which other businesses in the market already use, effectively leaving you behind.
Investing in marketing early, usually sees a business get stronger. A lot of start-ups don’t go down this route, but it can be hugely beneficial to have a strong platform to build on. The more the business can get done early, the more customers you could have when you begin trading.
Social media can be an excellent platform for a business to put money into. As a form of digital marketing, it can be incredibly cost-effective if managed correctly. There doesn’t need to be huge expenditure as what social media should do is show your human side. Engage with your market sector and build up a community of people based around your business.
After considering the best way to move forward you need to:
- Plan your campaign
- Implement the campaign
- Measure results
Improving Business Operations
A business should be constantly monitoring its progress and examining where it can improve. This could mean taking a step back and looking to see if you are on track to meet your aims. Are your current business processes and systems the most efficient? Where can you improve to make a completing a process quicker or better, with no additional cost added?
Staying positive and being open to new suggestions is likely to lead you down a more productive path. In business, it’s important to be constantly adapting with the market so that you don’t get left behind. Although improving in what you already have may not seem as though it can offer the same ROI as increasing the size of your business, it can offer a good return, whilst more importantly giving you a stronger base to continue working.
About the Author:
Edward is a journalism graduate and writer for Wilson Field. He has a focus on financial solutions and advise for SMEs.