5 ways to make your business flourish
Starting a business is exciting! However, most businesses face the same start-up challenges.
In one of our previous articles, Lessons We Can Learn from Warren Buffet about Investing, we spoke about the more philosophical lessons of business and investment. In this article, we will discuss 5 practical ways to build your own business.
1) CHOOSE A PRODUCT OR SERVICE THAT HAS A MARKET APPETITE
Building a business is all about providing a solution to someone’s problems or challenges. There are many problems or challenges that need to be solved, which means that there are many different businesses that you can start.
2) THINK BIG, START SMALL
It’s important that you have a big vision for your business. Start a business where the vision you have of what this business can become is so big that it scares you! Small businesses don’t last, at least not if the intention from day one is to keep it small.
However, with saying that, once you have created a big vision for your business, start small. Ask yourself everyday how you can make a R100 that day and then increase that amount as your business grows.
3) KEEP FIXED EXPENSES TO A MINIMUM
A lean and mean business is always the best approach when possible. Keep fixed expenses as low as possible. Don’t rent premises if it is not absolutely necessary. Don’t appoint staff if it is not absolutely necessary. Rent and salaries are usually your two highest fixed expenses that are the most difficult to reduce in tough times.
4) AUTOMATE AND USE TECHNOLOGY
We live in a time where you cannot afford to do something manually if you can automate it. Most software is cloud-based, which is precisely how you want to build your business. Automation software should also significantly reduce your staff overheads.
I cannot imagine running a business today without good accounting software (e.g. Xero), proper email marketing software (e.g. Mailchimp), basic design software (e.g. Canva), scheduling software (e.g. Calendly), proper cloud-based video conferencing services (e.g. Zoom) and cloud storage (e.g. Google Drive).
5) BUILD A PROFESSIONAL BRAND FROM THE START
You don’t need to spend a fortune to look like a professional, established business. Start with the basics. Ensure your business has a brand corporate identity that includes a logo, email domain, professional email signature, basic website, office number, an office address and business cards.
Remember that structuring is just as important for business as it is for property investment. Read one of our previous articles, Not Having A Trust Is The Biggest Mistake You Can Make, for more information.