How To Increase Your Small Business’s Odds of Success

Starting your own business and building it from scratch will prove to be the best and worst decision of your life. It’s the best because it enables you to pursue ever loftier prizes, but it’s also the worst, because the stakes have never been higher. All of this is compounded at this moment in history by the presence of an ongoing global pandemic. However, there are things you can do to even the playing field, and these tips will help you build the foundation you’ll need to make a company that’s built to last.

Marketing

If there’s one thing you can do to help your business survive and expand, it’s investing in marketing. Marketing entails a series of different tools and techniques that all revolve around increasing the public’s awareness and fondness of your company and its products. Your marketing budget should be as much as 5% of your net revenue. However, this can be problematic for smaller businesses who may not be able to afford to hire a marketing agency quite so easily. Make room for it in your budget if you possibly can, because there’s almost no comparison between low budget marketing and the professional counterpart. The former is often lauded as a laughable mistake, while the latter propels businesses to widespread brand recognition and loyalty. It’s also worth noting that brand loyalty is the one thing that most supports a business in the long run. Occasional customers can help, but your ride or die customers will be your lifeblood, and marketing is truly the most effective way to endear that kind of loyalty.

Accounting

In addition to budgeting for marketing, you also need to budget for lower overhead expenses, more total revenue, and, as a result, a higher profit margin. This means that you’ll need to first understand your current finances in order to make the necessary changes to shift them into your favor. For that reason, you should ideally hire an accountant. Getting the most accurate, most up to date records of your finances is important not only for budgeting, but also for complying with IRS regulations. Failing to provide accurate earnings reports or tax returns can be interpreted as evidence of fraud or even embezzlement, either of which can result in some hefty fines, if not worse. It’s also important for you to get to know the basics of these requirements for yourself in order to effectively oversee your accountant and double check their work for mistakes.

Technology

Technology has always been associated with solving problems big and small, and that applies more and more each day that this pandemic draws on. Of the various responses to this crisis, one in particular has been a blessing in disguise, and that is the playbook of how technology can allow for a variety of different approaches to life and commerce. Remote employment is at an all time high, something that is so beneficial for so many reasons that it’s likely a trend that will continue even after the immediate need is long gone. Likewise, the prominence of e commerce will only increase, because it enables businesses to reach a larger audience, especially when aided by competent social media marketing campaigns. Adopting cutting edge technology is one of the best ways to improve any business, provided that you know what to look for. Organizational software can be incredibly potent when it comes to increasing efficiency by reducing redundancies in your workflow and by automating as much of the process as possible.

Building your own company from the ground up isn’t easy, nor should it be. The first year for any small business is a test, and these tips can help you pass that test. By investing in marketing, taking care of your budgeting and account, and adapting to the current landscape of business tech, you can strengthen the foundation upon which you can then build a successful and long lasting company.

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