The Top 10 Keys to Building a Successful Business

Building a business is both challenging and rewarding. It takes great ideas, resources, technical expertise and a lot of hard work to create a thriving enterprise. You can increase your chances for success by taking 10 key steps.

1. Honestly assess your strengths and weaknesses. Your first step in building a successful business is to take a look at yourself. Are you cut out to be an entrepreneur? Many of us are attracted to the glamorous aspects of business ownership, but it is very hard work. Successful entrepreneurs are resourceful, committed, objective and dependable. They also have a positive attitude, excellent communication skills and the requisite technical knowledge to succeed in their chosen field. Most significantly, successful entrepreneurs persevere during times of great difficulty.

2. Develop a comprehensive business plan. A business plan is your road map to profitability and success. One of the primary reasons for new business failure is inadequate planning. A well-conceived business plan describes the vision you have for your business, and the path you will take to achieve that vision.

3. Create an effective marketing strategy. Perhaps the single most important step you can take as an entrepreneur is to effectively market your goods and services. You can have the best products in the world, but if no one knows about them, your business will fail!

4. Develop a strong image package. Your image package is the physical manifestation of your brand and includes three elements: business name, tagline (your business motto or catchphrase) and logo. Your image package speaks to the vision you are trying to create for your business.

5. Select an appropriate business structure. A business can be operated through a variety of legal structures. A specific structure is generally chosen for liability and tax reasons. The most common types are sole proprietorships, partnerships and corporations. Each has inherent strengths and weaknesses, and you must determine which structure will work best for your business.

6. Begin with adequate working capital. The single biggest reason for new business failure is undercapitalization. Many entrepreneurs have failed with potentially successful businesses because of a lack of capital. Smart entrepreneurs make sure they have cash reserves to dip into for unique opportunities or for a rainy day.

7. Learn to network effectively. Networking is the proactive process of developing mutually beneficial professional relationships designed to increase each person’s circle of associates. Effective networking will increase your customer base, communicate your brand and demonstrate your expertise to potential customers. It can also help you identify leads and improve your reputation. Because of its simplicity and ease of application, networking is one of the most cost-effective forms of marketing for your business.

8. Provide quality goods and services that meet customer’s needs. Simply stated, if you provide a high quality product that helps customers achieve their goals, you are much more likely to develop a successful business.

9. Develop a winning team. It is very hard to build a successful business on your own. You are going to need help. Two of the most important sources for this help should come from an accountant and an attorney. You may also want to create an advisory board to assist you with the decision-making process.

10. Use technology wisely. As an aspiring entrepreneur, you need to think about how you can use technology to increase sales, decrease costs and better communicate with customers. Some examples of technology that can result in improved quality and productivity include application software (e.g., accounting, data management), videoconferencing (e.g., virtual meetings, webinars and teleseminars) and internet marketing (e.g., e-mail marketing, social media marketing).

How To Start And Grow A Successful Business – Turn Your Passion Into Profits

More than 60 percent of businesses close doors within the first year of starting operations because of a number of constraints. For you to start a business and succeed, you need to have a lot of determination, resilience, self-discipline and focus. Businesses such as Apple were able to succeed because their founders had adequate focus and inner drive to take the business to the next level.

Here are eight key things you should know to start and grow a successful business:

1. Follow Your Inner Passion

As a matter of fact, achieving success in life is not a prerequisite for those who want to be happy. However, happiness is mandatory if success is to be achieved. Success is achieved by those who love what they are doing. It is advisable for anyone who wants to start a business to select something that he or she loves the most, but this should be something that has a market. If you choose something that can’t sell, there is high probability that your efforts will never pay off.

2. Work on Your Commercial Enterprise

There is an old saying that says that you drive your business or it will drive thee. This is a popular saying by Benjamin Franklin who achieved success as an investor and writer. Start by finding your passion and there after developing a clear and well-detailed business plan. Also, a well-developed strategy is a key recipe for success in every business.

You don’t have to do things your own way. Well, this may bring you success, but it’s not always the case. You can learn a few methods of running a business from successful entrepreneurs, especially those who are famed for developing efficient business systems.

3. Define Your Business Goals And Objectives

The life of a man will only have meaning when he or she is striving for his goals and reaching out. When you have goals, you will know where you are coming from and where to go. It is good to know that any entrepreneur will achieve his or her goals when there is persistence, proper resource allocation and focus. Clarity is power and when used in defining your business goals, success is inevitable. Whenever something comes your way, you will still be able to stand strong and focus on achieving the goals that you have set. You will never be swayed aside when you have clearly defined goals and objectives.

It is of great importance to know what you want to achieve after a day, week or a month. After you’ve drafted your goals, you should monitor your results.

4. Don’t Give Up

Every business has challenges that are unique to it. You should learn from past business trends and put in place the right measures that would enable you take your business to the next level.

Challenges will only be overcome when they are precisely known. Know about the possible source of the hurdle your business is going through and find a perfect solution. Know that most of the challenges faced by commercial entities can be overcome by not quitting.

Know where your business is and where it is going. You should never give up regardless of the circumstances you are facing.

5. Take Action

Taking action is one of the keys to success in business. However, you should always know that action might at times bring painful results. Action combined with good business strategies often yield great results. Steve Jobs once said that we tend to attract different types of people and there is not a need for a person to wait for up to ten years for someone else to take a huge risk on her or him.

6. Focus

Your capital, thoughts and energies should be focused on growing the business. You can get the money you badly need when you focus your money and time on your business.

7. Review Your Budget Regularly

You will need to know if you are moving towards the right direction or not through comparing your actual results with the planned ones. You can put in place the right strategies to reverse unfavorable variants while adding more resources to help increase favorable variants in the revenue centers. This is a sure method of moving your business to the next level.

8. Business is a Life long Learning Process

Apply the lessons that you have learned in the process. Let there be gradual improvement and within no time, your commercial enterprise will be running efficiently.

10 Extremely Important Tips for a Successful Business Launch

What’s Your Passion? If you are thinking about starting a business, it should be something you enjoy. Since a lot of time and energy goes into running a business, it is smart to look at your hobby or professional experience as a potential business idea. For example, if you are good at sewing, consider a tailoring shop; or an accountant could look at bookkeeping or tax service. Now, imagine what your life would be like if you spent the majority of your day actually doing what you love. Do you have what it takes to be an entrepreneur? To improve your chances, here are 10 Extremely Important Tips for a Successful Business Launch.

Tip 1: The Name Game

Now that you’ve narrowed it down to ONE ‘business idea,’ you’ve got to figure out a name. A major challenge in starting a business is the process of searching and choosing the right business name. Choosing the right business name can mean success while a poorly thought out name could doom your business from the start. Three smart business name tips:

  1. A smart business name must be unforgettable. It is imperative that potential clients be able to remember your business name. I’m sure most people have heard of Nike, Walmart, Target, Home Depot and McDonalds. Like these household names, your name should be easy to pronounce and memorable.
  2. A smart business name must describe what your business does. When you create your business name, potential clients should be able to understand what products or services your company offers. For example in ‘ Browder Consulting Group,’ the word “Consulting’ is a clue that I provide specialized advice; or as in Lynn’s Styles & Cuts,’ the words ‘Styles & Cuts is a clue that this is a beauty salon.
  3. A smart business name should be as short and sweet as possible. As you advertise your business, it is important that your name display well on your marketing material, such as business cards, ad campaigns, domain name and email. As potential clients search for you on the internet, you want it to be an easy spelled and searchable name.

Tip 2: On a Mission

A mission statement is an important tool that tells others who you are, what you do, how you do it and why you are superior than your competition.

  • It identifies and clarifies the business’ vision, purpose and direction.
  • It provides the path and focus needed for making and implementing decisions.
  • It helps define to your future employees what they are doing, why they are doing it and where they are going.

Tip 3: Make it Legal

Be diligent in choosing the best Legal Form for your business. This is one of the first important decisions that you will have to make. This decision can have long-term implications, so here are a few things to consider when deciding which business structure is best for your business:

  • Scope of business you plan to attain
  • Size of your business
  • Business’s vulnerability to lawsuits
  • Tax implications based on the different ownership structures
  • Level of control do you wish to have
  • Expected profit/loss of the business

Tip 4: Surround yourself with a Progressive Team

Who do you need to know or collaborate with as a part of your external team? Having the right people on your team will allow you to focus on your business and help you to avoid costly mistakes. For example, you might need the following:

  • Certified Public Accountant: best form of ownership, establish bookkeeping, record keeping procedures and tax planning, etc.
  • Business Attorney: reviewing lease contracts, determining the right business structure, etc.
  • Computer Information Technician: set up systems, repair issues, etc.
  • Human Resource Management Consultant: assess your current HR processes for compliance, navigate through delicate labor issues, set up hiring processes, compensation and benefits and create employee manuals, job description and Standard Operation Procedural manuals.

Tip 5: Research Licenses & Permits Needed for Your Industry

As you can see, there are many steps involved in starting a business. With the daunting task of figuring it all out, it’s easy to overlook the important legal requirements associated with permits, licenses and registrations. Here’s a list that your business might need:

  • State Requirements: Business licensing requirements may vary from state to state.
  • Business Licenses: Depending on your state, county and city, a business license may be required for tax purposes and to conduct other basic business functions.
  • Occupations and Professions: Depending on your profession, state licenses may be required for occupations such as, appraisers, accountants, barbers, building contractors, cosmetologists, funeral directors, physicians, private investigators, private security guards and real estate agents.
  • Tax Registration: Some states carry a state income tax. If you establish your business in a state that does, you’ll have to register and obtain an employer identification number. If your business engages in retail sales, you will need to obtain a sales tax license.
  • Trade Name Registration: If you plan to run your business in your local community only, registering with the state may be adequate.
  • Employer Registrations: Are you planning to hire employees? If so, you’ll probably be required to make unemployment insurance contributions.

Tip 6: Know Your Clients

A common mistake that I encounter with new business owners is that they don’t know who their customer is… possessing a poorly defined target market. Most want to sell their products or services to ‘everybody’ instead of narrowing their targeted customer base to a manageable size. You must do your homework… i.e., market research. I’ve created a business resource guide to assist you, Resource Guide for Women.

Tip 7: Got Marketing?

In business, marketing plays a key role in getting the word out to your prospective clients. You must create an image and be consistent! It’s important to mold and hone your business image to successfully appeal to your prospects and customers. By choosing a relevant company name, answering your phone professionally, creating a professional and clear elevator pitch, investing in professional business cards, logos and brochures, etc… all are key in marketing your business.

Tip 8: Don’t forget Uncle Sam

Understanding tax obligations is one of the most important issues facing small businesses. The local, county, state and federal agencies does not care that you didn’t know or you forgot to pay your taxes. You will be subject to penalties for not paying on time. Here are some resources to assist you:

  • For a list of state agencies: business.gov/states/
  • For a SBA resource guide by state: smallbusiness3.com/magazine
  • For IRS business information: irs.gov/businesses/index.html

Tip 9: Don’t forget the ‘B’ Word… Budget!

Create a start up budget. Because businesses are different, each will have its own specific cash needs at various stages of development, so estimating your start-up costs may vary. Some businesses can be started on a shoestring budget, while others may require considerable investment in inventory or equipment. It is imperative to know that you will have enough money to launch your business venture.

A few ways to prepare:

  • Create a list of anticipated expenses for your first three years
  • Projections are fine, be realistic

Have a tracking system

QuickBooks, Quicken, Ledger, Excel spreadsheets, I don’t care which you use…. It’s important to put a system in place that works for you. Personally, I use QuickBooks. I can send files to my CPA, easy to work with. In addition, as the treasurer on the board of a non-profit organization, I also use Quick books to reconcile the organization’s bank statements and to bill our member’s annual dues.

Open a business checking account. The worst thing you can do is run your business from your personal account… it is an accountants nightmare. Open up a business account so that you can separate the two… plus it tells others that you are serious and professional.

Tip 10: Put it all together… in a plan!

Last but not least, you must write your business plan. By failing to plan, you are planning to fail. If you can’t take the time needed to plan for the success of your business, then don’t waste your time starting one. Statistics show that 8 out of 10 businesses fail within the first three years. This is staggering but true! Invest your time in researching and writing a business plan. Many prospective entrepreneurs think that a business plan is very hard and tedious. The truth is it’s a powerful tool that can help you plan and achieve business success.

So, what is this thing called a business plan? Well, a business plan is your blue print or what I tell many of my clients, it’s your bible! A business plan defines your business, identifies your goals, and serves as your company’s resume. It will help you arrange strategic alliances, obtain financing and attract key personnel. By planning for success, you will be able to overcome many hurdles that may arise.

A closer look at why a business plan is important:

  • To secure funding, your lender will request your business plan with completed financials. DO NOT approach a lender without having a completed business plan. In his/her eyes, you will look unprepared and too risky. By being prepared, you will have a better chance at securing funding for operations or expansion of your business.
  • It is a great way to test the feasibility of your business idea. By the time you complete your market or competitive analysis, you will have a clear picture of the viability of your idea.

As you can see, there is a lot of work involved before starting a business. To ensure success, it is important to research thoroughly, take advantage of the resources available to you and learn as much as you can. Preparation is key to a successful start!

Sylvia Browder is Founder of National Association Women on the Rise, a virtual membership community for aspiring and established women entrepreneurs. For more about NAWR or resources and information for women entrepreneurs, visit us at http://www.nawomenrise.com.

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