No one ever said that starting a small business would be easy, but then again, very few things in life worth doing are easy. The challenges that face the entrepreneur when starting a small business would seem daunting to most people, but many entrepreneurs live for this kind of excitement and cannot stand the boredom of a 9-5, steady job, week-in, week-out.
With that said, first time entrepreneurs can easily find themselves in over their heads if they jump in without first doing their market research, consulting some experienced colleagues, and doing a lot of reading. While there's no one stop shop for learning how to successfully launch your first small business, here's some well-known traits of successful small businesses that you should strive for in your own startup.
- Small Markets, Not Small Profits
While many bemoan the construction of another big box store moving into town as the death of all of the mom and pops, the fact remains that a large chain simply cannot meat the needs of everyone. As an avid photographer, I know that i can get a good price on a new camera if I head to Best Buy, but there are a few local, independently owned shops in town that carry all of the obscure parts and the higher end cameras that professionals and semi-pros need. They also service cameras and lenses in the store, whereas a camera bought at Best Buy will either be swapped out for a return (if you're within 30 days) or you're left to fend for yourself, dealing with the manufacturer for a warranty repair.
- Treat Your Customers Right
Despite the rampant growth of national chains, there is currently a resurgence (particularly in larger cities) of smaller stores with knowledgable salesmen cropping up more and more. What gives these small businesses and edge, and keeps them in the black, is often the dissatisfaction that many customers have found at the bigger chains, so they'll turn to the smaller alternative. If you start a hardware store, for example, you'll never be able to beat Home Depot on pricing, but what you can beat them on is service, knowledgeability and going above and beyond with your customers to make sure they leave satisfied and come back your way the next time.
- Don't Be Afraid To Branch Out
While you'll mostly be focusing on a niche (or narrow) market with your small business, a great way to grow your small business is to add on with similar niche markets, ideally in the same vein. Take our camera store example, the one i have in mind in Seattle, opened up a second store by the same name across the street, but instead of camera equipment, it's lighting, camera support and film. While this isn't a big departure from their initial business, it opens them up to more customers and gives more people who live in the neighborhood less of a reason to go to the big box stores.
- Do What You Do Best
I used to frequent a restaurant that served one thing and one thing only, vietnamese Pho soup. They then expanded their menu to include teriyaki and slough of other japanese, chinese and other asian cuisines. Perhaps surprisingly their business started to plummet. Their new cuisine choices were not very good (since it was outside of their expertise) and so they lost many of the old customers by over-expanding the menu, and couldn't attract many new customers since only one or two things on the menu were worth ordering. It may be tempting to expand your business to various niche markets, thinking that you can quickly increase your profits, but keep in mind that the reason you're successful in your niche market is due in part to your expertise.
- The Best-Laid Plans Of Mice And Men
Despite doing everything right, some businesses still fail. There are some entrepreneurs who don't believe this because they've never failed (I call them lucky) and some who don't believe it because they see the things that they could have done to prevent the failure (I call this hindsight). The fact is that no matter how well you prepare for your business, how meticulously you run it and how perfect your execution is, planning, launching and running a successful business will always require a certain amount of luck.
This is why starting a small business isn't for the weak-of-stomach, it's for the poker players. It's for those of us who get dealt pocket kings and go all in, and every once in a while you might bust, but you do it for the thrill and not necessarily for the end result. While many businesses take a much more practical approach, serial entrepreneurs know the thrill of trying something that has a great shot, but is still a risk and that risk is what keeps many entrepreneurs launching startups long after they have no real financial reason to do so.
Mon, 04/2/2012 - 01:56 AM | viewed 421 times
In February, 2012, Facebook held its 'fMC Conference' which introduced upcoming features and changes to the site, including Timeline for Pages. All of these changes impact the way an entrepreneur or smb can best utilize their Facebook presence to increase traffic, interact with fans, and ultimately, convert these fans into customers. Here we'll take a closer look at the changes to Facebook, how you can use the new features to your advantage as part of your business plan, and some helpful tips on creating a successful Facebook promotion.
Sat, 03/10/2012 - 05:35 PM | viewed 491 times
In the initial stages of a business startup, most entrepreneurs recognize that they'll need the expertise of an accountant at various times, but few realize that they'll no doubt need the help of another professional, an attorney. Their logic would be that they don't plan on breaking the law or getting sued, so legal services aren't necessary. The truth is quite the contrary, however.
Sun, 03/4/2012 - 01:54 PM | viewed 530 times
Now that you've developed a great startup concept, and you're in the business plan development stage, the time has arrived to come up with the right name for your new endeavor. There are a number of differing theories on what makes a great business name, but one thing is certain, choosing the right name can play a big part in how your business is perceived by your customers, and it can make or break your image.
Sat, 03/3/2012 - 12:55 PM | viewed 410 times
On average, roughly 600,000 Americans start new businesses each year. If you're one of the millions more contemplating taking that giant step into business ownership, don't let fear of the unknown stop you. Some of the stumbling blocks for would-be entrepreneurs include indecision about the right kind of business, a fear of putting their money and time into a business that fails, or they may simply have no idea where to start. Generating an idea for a small business isn't always easy, but with some good advice and common sense, you can learn how to choose a viable concept.
Thu, 03/1/2012 - 12:16 PM | viewed 616 times
If you're a small business owner or an entrepreneur involved in your first startup, you're well aware of the impact that successful Facebook marketing can have on your bottom line. Finding your way through the maze of available apps and tools is time-consuming, tedious work. If you're on the hunt for the latest and greatest ways to reach a larger audience and build your business, check out our recommended Facebook tools and apps that are specifically geared toward taking full advantage of your fan page.
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