21 Tips to Ensure Small Business Success

Considering starting a  new   company  or a home based business?  Take a look at these small business  success tips  before you begin . Take them to heart and make them part of your  business  plan.

  1. An active written business plan
  2. Effective control over costs
  3. Strategic pricing of goods sold
  4. Promotion of a strategic public image
  5. Implementation of technological aids
  6. Professional advice utilized
  7. Reduction of small business taxes through  extensive tax  planning
  8. Adequate insurance
  9.  Above average   product quality
  10. A killer sales department
  11. Ongoing staff training and retention of key personnel
  12. Awareness of competition
  13. Prediction and adaptability  to  market trends
  14. Adequate working capital
  15. Accurate and timely financial  reports 
  16.  An excellent–high traffic  location
  17. Two-way communication with family members
  18.  Choice of the correct business partner 
  19. Establishment of a working relationship with a  local banking officer 
  20. Operation under the proper strategic legal form of business
  21. Learning how to learn, school is never out for the pro

 So what is the #1 reason small businesses fail? 

 According to the Department of Commerce 8 out of 10 new businesses will  close  their doors in the first 5 years of operation.  Did you  understand  what you just read? – 8 out of 10 would be ENTREPRENEURS become ENTRE-MANURE in the first 5 years.

  Holly COW!  ,. . . what an alarming statistic – that so many people in pursuing the American dream will  fail .  Why is that?

 The  most common  answers of why  companies  fail include the following:

  • Lack of a business plan
  • Not enough working capital
  • Bad Location
  • Poor Management
  • Taxes-and the failure to take advantage of small business tax deductions.

 Question:  Who started the business without proper planning?

Who started the business without enough working capital?

Who chose the terrible, stupid, bad location?

By the way, who was the poor management?

 Answer:  You, you, you, the  new small business   entrepreneur  , the would be super-star entrepreneur did all of that and made all those  bad  decisions .  It’s you, period.  What in the world were you thinking?

 Now don’t be too hard on yourself, most people are no better off than most of you when it comes to operating your own business .  This is  difficult  stuff to do.

But here is the TRUE  #1  reason why most  companies  fail.

 Most small businesses are not FEASIBLE from the get go

In other words the  company  could never  create  enough sales, to pay for the cost of sales, to pay all the operating expenses, to pay the notes and have enough green cold hard cash left over in order to pay the owner a reasonable salary. 

That’s it in a nutshell; most small  companies  just can’t  succeed  because they are not feasible to become a viable profitable operation from day one .

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