Have you ever noted that more than half of the startups collapse within their first five years of operation? It is sad to note that some of the new entrants in the market do not even take the time to analyze the trend and seal the loop holes. One of the main contributing factors for this trend is that some people get into the business world for all the wrong reasons. There are those who start a business focusing on the profits rather than evaluating how their venture will offer solutions. The following are practical tips to keep your business running and make profits.
Have a business plan
The business world is very dynamic, but you should have speculations into the foreseeable future. The biggest mistake that people make is the failure to see the big picture. Such people focus on what they want to achieve in a month’s time or in one year’s time. The business plan, on the other hand, takes into consideration both the short-term and long-term goals. The plan should state how you wish to raise funds, how the business will be administered and the marketing plans. You should also be able to evaluate how your business is performing against the speculations that you lay down. The business plan should be flexible enough to accommodate the dynamics of the business world.
Invest in assets
Leasing and hiring equipment for business use can be quite expensive. You can opt to hire some equipment when your business is still young, but as it grows, it is worth to buy. Think about the inconveniences that you are likely to experience when you depend on other people’s vehicle to deliver your wares. You have to stick to someone else’s schedule which affects your business adversely. The good thing is that you do not necessarily have to buy a new vehicle for your business. You can buy used Mini Buses and still enjoy the comfort of controlling your entire business process. The vehicle will be of great help for those who deal with physical products.
Be ready for change
Refusing to accept change is like digging an early grave for your business. A decade ago, Nokia was one of the biggest names in the mobile phone market. The management became so rigid and failed to adopt Android as their operating system, and before they knew it, they had a lost a big market share. You should be on the lookout for new trends and streamline your business to remain relevant. You can even change the line of business if you think the current one is not profitable enough. Embrace new technology that is likely to make the business process more efficient.
Invest in customer care
If you want to be a darling of people and win the hearts of many customers, ensure that you provide accurate and timely feedback to all their queries. You can use social messaging apps such as Facebook Messenger, WhatsApp, Instagram and Twitter Direct Message to communicate with your clients. If you are offline, you can leave an automated reply and respond to the queries later. You can have a FAQ section to deal with common questions or even use bots. Ensure that you respond to all emails and apologize in case you delay.
Value customer feedback
Satisfied customers can be one of the most effective marketing tools for your business. Successful businesses do not just launch products before they are sure that the products suit the target customers. You can test your products through your loyal customers and act on the feedback that they give. When a customer or client complaints about the quality of your customer service, act accordingly. The cost of recruiting a new customer is higher than retaining an existing one. Strive to have repeat customers by acting on their feedback. You can open a social media page for your business and create a community where customers can exchange ideas and let you know how you can improve service delivery.
Look for a mentor
The business world is full of obstacles and making it alone can be next to impossible. Having someone who can show you the way will make the journey worthwhile. The mentor does not necessarily have to be older than you, but he or she should be an expert in your field. You can always learn from the past mistakes that you mentor did and avoid them accordingly. You do not have to change your business entirely to suit the mentor’s description, but you should leave room for your judgment.
Starting a business may be simple but making it successful is the hard part. You always be alert on the current trends and demands that affect your business directly.