When opening the doors to a brand new small business, there are countless challenges that entrepreneurs are apt to encounter. So, what should you do when you are faced with one of these seemingly impossible challenges?
Here are 5 common small business challenges, along with potential solutions on how to successfully tackle each one:
Challenge: A lack of time to do everything each day
Solution: Don’t be afraid to ask for help. There is no individual who can fully run every tiny aspect of a small business on their own. Seek out support from contractors, employees, business service providers; virtual assistants, and the vast array of others out there who’d love to give you a hand.
Also, prioritize your tasks each day. If you’ve got an important conference call to be on with potential business partners, make a note on your smartphone’s calendar. If you’re meeting with a client at the local coffee shop, always be on time – or even early – by prioritizing such a task over something less imperative that can wait until that afternoon.
Challenge: A lack of knowledge about small business taxes/finances
Solution: Leave the frustration of small business taxes to the experts. Consider outsourcing your business accounting, bookkeeping, payroll, and other financial requirements to an expert in the field. 1-800Accountant can help you get more time to work on making money rather than trying to interpret the complicated 70,000-page IRS tax code. The firm can ensure you take advantage of all deductions and other tax-saving measures available to small business owners so that you keep more of your hard-earned income in your business rather than giving it to Uncle Sam.
Challenge: Inexperienced in customer service/business relationships
Solution: Spend time educating yourself on customer service. This could be as simple as researching how-to tips online. The key here is to spend ample time with each customer so that they are 100% satisfied with your products and/or services. Resolve any issues quickly, and get happy customers to provide testimonials about their positive experiences with your business.
In terms of building business relationships, it’s all about establishing yourself as an authority in your industry. Hand out business cards. Attend networking events. Get to know other small business owners in your community. Connect with your local chamber of commerce. In essence, take advantage of all avenues that can get your name out there.
Challenge: Effectively reaching your customer base
Solution: Conduct plenty of market research. Determine the biggest benefits of your products/services – and the pain points of your customers that you’d be helping them solve. Then explore the best forms of marketing that are most effective to reach your potential customer base. Consider launching a website, social media marketing, trade shows, radio/TV spots, and any other strategies. Be sure to spend your marketing budget wisely on the most appropriate marketing methods.
Challenge: A lack of funding
Solution: They say a lack of funding is the #1 reason why small businesses fail. Don’t become a part of this statistic.
Consider various funding options – a bank loan, crowdfunding, angel investors, or even asking family and friends for money you can pay back to them in the future. The key is to have some working capital at your disposal before formally launching your small business. But it’s also crucial to take it slow and temper your financial expectations during the startup stages of business ownership.
Kabbage is a business funding company that helps small businesses get the working capital they need to grow their ventures. Through a fully automated, online platform, businesses can link their latest business data, allowing Kabbage to review the overall health of their business – not just a credit score – to approve and provide loans of up to $100,000 in minutes. Learn more at www.kabbage.com.