Why are you in business? Hopefully you enjoy what you do, however is it because you want to make money so that you can have, be and do more in your life?
- Clients Come First
Your clients are your business so it is important to cultivate long lasting relationships with your clients. Happy clients are more likely to introduce you to others like them via a referral if they are happy with the service they are getting. Always keep your promises and provide exceptional customer service. Keep in regular contact particularly with your top 20% who provide most of your income. Also keep in touch with all your clients via newsletters etc and also consider small gifts on special days of celebration ie; birthday, anniversaries etc.
- Protect Yourself & Your Business
Protecting yourself and your business from risks can be a balancing act between what you need and what you can afford. Identify the types of insurances that are relevant to your business and discuss with your financial planner about customising a business package to suit your needs. Types of Insurance include the following:-
- Asset Protection
- Public Liability
- Professional Indemnity
- Product Liability
- Revenue Protection
- Key Person Insurance
- Workers Compensation
- Protect Your Intellectual Property & Files
Your IP assets are part of the resources and assets of your business. Your business plan should include the strategies you will use to benefit from your IP and how your business files are protected. Ensure that you have updated anti-virus and other types of security software such as back-ups activated. This will ensure the continuity of your business in the event of a technological failure. Also keep backup files offsite to ensure that they are able to be retrieved.
- Premises Maintenance
Managing and maintaining your premises is crucial to ensure that your business can continue to operate even with a small incident or a disaster. Things to consider are:-
- Draw up a list of items that need regular inspection and maintenance. Inspect gutters, drains, plumbing etc.
- Avoid fires from electrical faults by using only licensed electrical contractors to install new wiring or check the safety of your existing electrical systems.
- Get information on fire prevention from your local fire station. You need to consider smoke detectors, fire alarms, extinguishers and sprinklers to alert people to danger and prevent fires from spreading.
- Cashflow Management
Cashflow is important for small businesses. Why? Because it allows a small business to purchase inventory, pay employees/expenses and improve the business even with a small incident or a disaster. Keep an eye on your cashflow with these tips:-
- Spend as little as possible (this is important in the initial stages as you are developing and growing the business)
- Don’t buy what the business does not need
- Bill – bill straight away (you cannot afford to wait to bill your customer so submit your invoice and follow up appropriately
Every business needs to have a firm understanding on the concept of cash flow. Additionally keep checks and balances on your cash and profits to ensure that your hard-earned profits are not being fritted away.
This information is of a general nature only and has been provided without taking account of your objectives, financial situation or needs. Because of this, you should consider whether the information is appropriate in light of your particular objectives, financial situation and needs.