When it comes to running a small business there are some things that people just have to keep in mind. It is not as easy as it looks.
River Cohen shares three things that all small business owners need to consider before they even get started.
Overlooking Your Local Audience
In this day and age of social media, it is very easy for people to become convinced that social media is the only way that they can market to their customers. A person that owns a small business, however, is going to need local marketing platform that speaks to customers in the community.
It may be true that social media can help attract new customers, but there are still many consumers that are not plugged into the social media atmosphere. These customers May not even go online so all the advertising that is done through these channels will be futile. Small business owners cannot hide behind a website or a Facebook profile. A small business owner is going to have to actually get out into the community and advertise the business in order to attract the local crowd.
Underestimating Operating Costs
It is easy for people to underestimate the cost of running a business. New business owners are unaware of the unforeseen expenses that can arise when it comes to operating a business. There are advertising expenses and expenses associated with housing a small business. All of these are things that may have been underestimated in the original business plan. A business owner has to have enough money in place to address the situations where they may have underestimated costs.
Insufficient Staffing and Inventory
Another thing that the business owners must be aware of is the inventory. It is never good to promise more than you can actually supply. This can happen at times when small businesses get orders for big events. A small business owner may be excited about a big business contract, but they have to be mindful of the amount of inventory that they have.
At other times a business owner of may not have a physical product, but there may be a service that is being provided. In this case the business owner needs to make sure that the staff that is employed is adequate for the job that is taken. Deadlines have to be considered for the types of jobs that are being done. An employer fails to meet the requirements for a certain service may find themselves getting a bad name from the customers that they failed to service. This is the last thing that a small business owner wants to do. They never want to be in a position where their reputation becomes tainted because they could not fulfill an order.
There are many things that small business owners need to consider, but these maybe three of the most common places where business owners go wrong. Small business owners that takes heed of these things will have a better chance of thriving in business.
Thank you to River Cohen for this informative guest post. Visit his website here: http://rivercohen.com/
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