Imagine an opulent office in a magnificent skyscraper, right in the heart of Manhattan, overlooking Central Park. Your executive cabin decked out with wooden floors from Bruce and Carlisle with furniture complementing the floor to perfection. Every fresh graduate out of college and with a great idea in mind looks to build a startup that can be turned into a company that drips with success.
A workspace that is hip, cool and bound to induce some office envy, is something we all dream of, right? But it takes some planning and the ability to manage your business to take it to such dizzying heights. Starting a small business isn’t the real challenge, but if you think that everything you touch will turn to gold in a matter of a few months, you will be bitterly disappointed.
In this blog, I will describe 8 tips that are related to starting and managing a business efficiently and effectively so that it can start to flourish at the pace you are looking for.
1. A Taut Business Plan to Start with
Any business idea can’t be materialized until it is backed by a detailed plan. Gone are the good old days when products turned out to be a hot commodity within months of their launch and even turn into a product niche. Examples are Surf and Jeep, but these brands also invested a lot in research from which many people shy away. Countless businesses are daily launched around the world, but only a handful survive the initial period.
Executive summary, service or product line, market analysis, sales, and financial forecast are just some of the aspects that you need to take care of to make sure you are in the driver’s seat concerning the issues you’ll face in the near and distant future.
2. Launching Your Own Business
If you have just launched your business, don’t applaud yourself just yet, as most businesses don’t see the 2nd or 3rd year of their operation. If you are unable to get the capital you need to get your business on its feet, make sure that your product hits the bull’s eye in the initial few months, otherwise your very presence in the market will be in jeopardy.
A new venture can only succeed if the management or owner has the money to spend on marketing and before that, R&D. Any outdated product launched without proper research and ignoring the target market has no chances of survival. This is why the initial few years are harder to manage than managing a company that has been in operation for 10 years.
3. Choosing Business Location, Structure and Dealing with Legal Issues
While all of the above mentioned can be a part of a business plan as well if you have asked for a comprehensive plan, most aspiring small business owners can’t afford such luxury as it can cost them an arm and a leg. So, if you think you are not capable of making the arrangements yourself, you need to show some urgency in this regard and consult a person well-drilled in this field.
There are many options for you to start your business. Examples are sole proprietorship, partnership, corporation, etc. In the start, I would recommend that you start your business as a sole proprietorship if you have enough capital to make a sound beginning. Otherwise, a partnership would be better. For the legal matters as well, you can hire a lawyer or a legal firm as most of the laws, rules, and regulations are very hard to grasp for a layman.
4. Marketing and Spreading Awareness about your Product
It is akin to a sin if you are launching your product in the market and aren’t acquainted with the ins and outs of marketing. You can still hire an agency for this purpose because putting your product in the market without much fanfare is not a good idea at all. The online presence is a must for most businesses as people love to shop online, away from the hustle and bustle, and at the time of their convenience.
The specific marketing campaign depends on your product. For instance, if you are launching a soft drink, choose the right season like summer and the target market (Teenagers and Young Adults). Having said that, a professional plan writing service can provide you expert level service in this regard. Keep in mind that you are not alone in the market and you need to beat the competition to have a chance of making it big.
5. Running and Managing your Business Smoothly
The act of running a business smoothly can be the most challenging task to contend with in your professional life. While I have discussed marketing, it is an ongoing process, and you need to pull up your socks to create an effective marketing ploy. Getting the finance aspect right and dealing with the accounts department is also a regular part of managing your business. The use of a project management software can be utilized to boost productivity.
You also need to make sure that you are handling your HR department (if any) better. Otherwise, keep an eye on your employees so that they perform to the best of their abilities. Insurance for your venture also comes into managing the business in case of any mishap. You need proper insurance coverage to have your back in the face of unforeseen dangers and disasters.
6. True Leaders for Managing a Business
For a venture to perform at its optimum level, there are many aspects that come into play, but one of the most important ones is having a person who knows how to handle any situation at your back. If you are planning for such a role in any company or looking to creaye your own, there are some aspects you need to understand and apply to your daily activities for a positive result.
To start and maintain a business, don’t thrust yourself into the business even if you are putting in all your eggs. If you don’t have managerial skills, you need to look at the situation quite closely and opt for a person who is experienced in managing small businesses. Don’t think that this person will take over your company; you will have all the rights of operating and managing it, the person will work as an employee and oversee the daily operations.
7. Operating a New Venture vs. Expanding an Existing one
There is a stark difference between operating a new venture and expanding an already established business. You need to understand that the dynamics of managing these two are quite diverse. Starting a new one has many aspects that an already established one doesn’t have to take into account. On the other hand, a new business shouldn’t be concerned with the difficulties faced by the latter.
Once you are aware of the differences, you need to be cautious while managing both types of businesses. There are scores of examples where people do not know about the difference, resulting in failing miserably at one of them or both. So, you need to understand that there is no point in declaring that you can’t run either type of business and look for a capable person or consultant to make it happen.
8. Filing your Returns and Paying the Taxes
While you can find many ways of evading full taxes and returns, it doesn’t mean you should practice them. While most of us think that doing such illegal and unethical activities for 1 or 2 times is fine as this is another type of experience for the people. But the more you will indulge in such illegal practice; you’ll surely be drawn into it and will find no way out but to continue this malicious practice.
The first step towards filing your returns and paying the taxes is obtaining your federal business tax ID and determining your tax obligations. You should also know about the start and end of the financial year that may vary from the calendar year. Please understand that you are running a full-fledged business and not pursuing a hobby, so you need to be vigilant to abide by all the rules, regulations and taxes to run the business legally and smoothly.
I think by now you have a good understanding about how to start off any venture and manage it legally and smoothly so that you don’t get into any trouble. Please free to ask any questions for more clarification or give your feedback for this blog in the comments section below.