Many professionals ambitiously begin their businesses based on their lustrous career of diverse experience. However, it is observed that only a select few actually manage to survive, sustain and grow their business successfully.
What could be the key factors of their success when they are doing business in the same market conditions? Definitely there could be some specific reasons why they are sustaining and succeeding. These reasons are often uncovered through a thorough SWOT analysis, which reveals the internal strengths and weaknesses of a business as well as external opportunities and threats in the market landscape.
Lets explore the underlying reasons that possibly contribute to small business growth.
- Clear Vision
Every entrepreneur should have a clear vision about the business is going to be done. What would be the objective of the business? To identify the goal behind doing the business. There should be a solid passion behind the business idea. Some do business to offer a solution to the needs while others offer to resolve the existing situation through their business services.
- Proper Business Planning
Once the vision is clear, the business structure needs to be written down on the paper. Including all the basic functional aspects to most mandatory documentation, all are very necessary. It should include the steps of business management with all the methods and systems that are essential to be applied.
- Adhering to the Government procedures
Taking all the mandatory licenses, permissions and legal formalities is the first and foremost step in starting of the new business. Registering the business with the registrar of companies, government institutions and business associations, is essential. With all the compliances set in place, an entrepreneur can freely apply for a loan and other required facilities.
- Setting up of Work System
Select a proper work location for the business where the business can be operated easily. Preferably nearness to the market with decent connectivity from all sides essential. Get the interiors planned and executed with good ergonomics for effective space, light and ventilation arrangements. Furniture to include smart storage with seating arrangements for proper functioning of the business activities.
IT infrastructure set up with the server system and the necessary software system for the business to be executed. Proper arrangement according to the business layout to be made for smooth and effective working of the workplace.
Designing and development of a business website is the most essential for creating and maintaining a credible business identity.
- Staff Selection and Human Resources
Planning of human resources is very important business function as it facilitates effective working of the business. Recruitment of proper qualified and suitably trained people who adorn corporate skills for the respective departments will be necessary. Moreover, a thorough process layout of the internal hierarchy with comprehensive business communication to be decided. The team should be well versed with the basic business communication skills and understanding the work process.
- Developing Effective Marketing Strategies
Communication is the most important aspect of every business. Successful businesses are those who adopt extensive activities in regular communication with prospects through numerous means. Mass media advertising in Newspapers, magazines, hoardings help to reach a larger audience in individual effort. In the new age of digital technologies, digital marketing is the important key factor for spreading awareness, encouraging customer engagement and generating sales effectively.
Social media tools of Facebook, Instagram, Twitter, YouTube and Linkedin need to be smartly used to attract the traffic towards our website. Search engine optimization of the website helps in effective customer development through improved google business ranking. Customizing the right messages with positive content effectively applying the business communication skills, takes the company ahead of the competition.
- Organizing Proper Accounting Process
All the operations need to be integrated with the computer network and mandatory software systems. Having a proper accounts department with the qualified staff required with complete knowhow of the business accounting, finance management, taxation, salaries, vendor management and audits. Budgeting is the collateral function that would be carried out with the purchase department.
- Monitoring the Daily Work
An entrepreneur should always be alert in his business operations. With the full awareness of the work process, he should be involved in all he functions to ensure his control in the process. There are challenging situations which may arise from unforeseen circumstances or unpredictable external factors. Always be ready to customize the solutions for smooth functioning of the functions.
- Purchase Process and Vendor Management
Arrangement of proper raw material and ensuring the regular flow at feasible rates is necessary to maintain the cost balance. The purchase function plays an important role in controlling the input costs, ensuring the right quality and getting the service on time of the need. It also helps in maintaining good relations with the vendors and supplier segment.
- CRM Or Customer Relationship Management
Businesses succeed those who can understand the nerve of the customer. This is the precise reason why CRM or Customer Relationship Management has become so important function in developing, retaining and growing the business. It actually complements to the business development skills to the sales department. This function ensures regular communication with the prospects to understand their requirements and customize the product offering that meets their expectations.
Satisfied customers are great reliable sources of new business that gets generated through their valuable referrals.
Moreover, CRM also helps in providing the actual product performance from the customer feedback. Companies that value customer feedbacks seriously and implement the improvements in the quality, service and user experience accordingly. It has been an effective tool in contributing to the small business growth by building a better control over the function of customer relations.
- Dynamic Sales Management
Every business offers products or services or both in its business model. It becomes essential for the entrepreneur to generate the requirements for the product offerings from the market which also can be called as sale. Generating sales is always necessary to bring in the revenue for running the business. Marketing and promotional activities need to be conducted to spread the awareness of the business in the market and generate requirements from the potential customers.
Team of Smart professionals needs to be organized for the marketing and sales functions effectively. With proper communication tools, visual aids, promotional support; the sales team effectively communicates the product offerings to the prospects to generate sales effectively. The sales team members are trained in business development skills on presentation, estimation, negotiation skills and customer experience management.
