| Millions of people start new small businesses in the | | | | succeed. They vote every day by where they |
| United States every day. Many fail at running a | | | | spend their money.Reflect on the following |
| small business every day. What causes one | | | | questions:- Do you know the reasons why |
| business owner to succeed where another fails? | | | | customers shop at your store? (service, |
| There are seven key areas to focus your efforts | | | | convenience, price) If not, ask!- Do you seek |
| for a successful small business. It starts with | | | | suggestions from your customers on ways you |
| knowing oneself and ends with not being afraid to | | | | can boost business?- Do you use a store or online |
| ask for help.1. Know YourselfHaving your own | | | | questionnaire to aid you in determining your |
| business is more than just creating a job for | | | | customers' needs?- Do you stay in contact with |
| yourself. To be a successful small business owner, | | | | customers on a regular basis?- Do you ever try |
| there are many personal sacrifices you will be | | | | to re-establish a relationship with lost or inactive |
| required to make. You have to be willing to make | | | | customers?A key to success lies in knowing your |
| them. By knowing yourself and what is truly | | | | customer. The other half of the equation is to |
| important to you, you will be able to make these | | | | know your industry.5. Know Your IndustryYou |
| choices far easier than if you have never | | | | can gain the greatest competitive edge if you |
| considered your priorities.Your basic roles in a | | | | intimately understand your industry. You must |
| small business are in marketing, planning, finance, | | | | know the ins and outs of your particular products |
| and administration. To get the best results, it is | | | | and industry. You should know every competitor |
| rare for one person to play all these roles equally | | | | as well as their strengths and weaknesses. It's in |
| well. You must know which parts you can handle | | | | your competitor's weaknesses where you will |
| yourself and which parts you're going to need help | | | | most frequently find your own success.Your |
| with. That's why it's so important to be objective | | | | competitors size, services, location, marketing |
| and take a close look at your overall strengths | | | | approach, type of customers, suppliers, and pricing |
| and weaknesses. Ask yourself the following | | | | strategies should be as well known to you as |
| questions:- Do you plan before you take action? | | | | your own. Your local business climate, median |
| - Are you willing to hustle for the sale? | | | | household income, level of education, ethnic |
| - How financially savvy are you? | | | | population, and the other demographics of your |
| - Do you have a well thought out plan? And, do | | | | potential customers should be second nature to |
| you work the plan? | | | | you. To prosper, you must know the game and |
| - Do you know how to make sales happen? Can | | | | the playing field intimately.Many people focus upon |
| you ask for the sale?In those areas where you | | | | these areas but still fail. Why? They focus more |
| assess yourself as weak, you can ask for help.2. | | | | upon the product than the finances of the |
| Ask For Help When You Need ItWhen you're | | | | business.6. Maintain Good Financial RecordsIf you |
| young and unseasoned, you tend to think you can | | | | don't know where your money is going, it will |
| do anything. This is a recipe for disaster for the | | | | soon be gone. The "game of business" is played |
| small businessperson. If you insist on doing | | | | with products and customers, but the score is |
| everything yourself, you will work 16 hours a day | | | | kept in dollars and cents. Good financial records |
| and not do some things well.Remember, getting | | | | are like the instrument panel on your car, they |
| results is what counts! With outside advice and | | | | keep you posted of your speed, fuel level and |
| assistance, your quest for a successful business | | | | engine condition. Without them you're flying blind |
| can be accomplished faster and with far fewer | | | | trying to pace the other cars. If you know how |
| bruises than doing it yourself. When I started my | | | | much you're spending, buying and selling, you can |
| first online business, I even created by own | | | | take control and help your business make more |
| website. In retrospect, this was a big mistake. It | | | | money.- Do you have basic accounting |
| took me far longer to create my site than having | | | | knowledge? Or, do you have someone you trust |
| a more experienced person do it. Start equating | | | | to keep the books?- Do you maintain every |
| every second of your time with money. Your | | | | receipt you obtain through the running of your |
| time isn't free. While you are trying to do | | | | business?- Have you computerized your business |
| everything, what's falling through the crack?Don't | | | | to streamline everyday tasks and business |
| be too proud to ask for help, we all need help | | | | procedures?- Do you use sales forecasts, |
| sometimes. With the Internet, the small business | | | | expense sheets, and financial statements on |
| owner has a wealth of experience available to | | | | regular basis to assess the progress or your |
| them. Why not take advantage of the many | | | | business?- Do you evaluate your operating |
| resources, paid and otherwise, available to you? | | | | expenses and make necessary changes on a |
| Join a small business forum, like the Small Business | | | | regular basis?Many people erroneously believe |
| Forum ( where you can exchange knowledge with | | | | good record keeping is for the government and |
| other small business owners. Access the millions | | | | those financial obligations. They are wrong! Good |
| of online articles on every business subject you | | | | financial record keeping can help your business |
| can think of at Qualified sources are also available | | | | succeed. Use the financial information available to |
| from your local government offices and other | | | | make improvements to the operation of the |
| professional services. It is important to recognize | | | | business and improve profits. Remember through |
| -- what you don't know can end up costing you | | | | it all, the old adage "cash is king" is true.7. Manage |
| money and greatly reduce the chance of | | | | Your CashIt doesn't matter how unique your |
| achieving your business goals.With all that | | | | store is, your business can't survive without good |
| knowledge, you need a plan of action.3. Action | | | | cash flow. Cash is the lifeblood of your business. |
| PlanningI like to call it "action planning" rather than | | | | The money coming into or out of your store is |
| "planning". Action is the only element which turns a | | | | the vital component that keeps your business |
| plan into reality. Many people are great at planning | | | | financially healthy. For profitability, more cash must |
| but they suffer when it comes to follow-through. | | | | come into the business every day than goes out |
| Successful small business owners are action | | | | of the business. You can have the greatest sales |
| oriented. But that action starts with a | | | | in the world, but if it's all in receivables, how will |
| plan.According to leading authorities, the main | | | | you pay your bills?A monthly Cash Flow |
| reason 80% of all new businesses fail within the | | | | Statement is a critical business tool. It shows the |
| first five years is not money, but the lack of | | | | amount of money at the start of a period and |
| planning. If you want to succeed, the trick is to | | | | how much cash was received during the period. It |
| know how to make right the decisions by | | | | identifies the various sources of incoming cash |
| implementing an effective business plan. | | | | and the reasons for outgoing cash. Budget wisely. |
| Remember, if you fail to plan, you might as well | | | | Know the sources of your monthly income and |
| plan to fail.A business plan should include how you | | | | expenses. Then, you won't have to worry about |
| will finance the business, who will perform certain | | | | running out of money. And that is a good |
| critical business functions, the license and permits | | | | thing.Like any game, the game of business has |
| required, accounting method, as well as what you | | | | rules and tools. Those who excel at the game, |
| know about your prospects and customers.4. | | | | play it better than their competitors. Keep |
| "Mind Meld" Your CustomerJust knowing your | | | | focused upon these seven critical areas and you |
| customer isn't enough for long-term success in | | | | will succeed. Remember, Albert Einstein once |
| your small business. In Star Trek, the Vulcan race | | | | defined "insanity" as doing the same thing over |
| had the ability to perform a mind meld. At the | | | | and over again and expecting a different result. |
| time of the mind meld, they could see, think, and | | | | Isn't it time you changed the things you are doing |
| feel everything their partner was seeing, thinking, | | | | so you can succeed? I think the time is |
| and feeling. This is how close you must come to | | | | now!Michele Schermerhorn calls herself a |
| understanding your customer. The closer you get, | | | | "Corporate Freedom Fighter" dedicated to freeing |
| the more successful you will become.Are you | | | | cubicle prisoners to experience their own |
| listing to your customers? Make it your business | | | | successful online business. She has over 30 years |
| to give your customers what they want and they | | | | experience in the business world and over 12 |
| will buy from you. They are the reason you are in | | | | years running her own successful online |
| business, and your future depends on them. The | | | | businesses. She is President of Online Business |
| products and services you provide should be a | | | | Institute Inc. ( authors a sassy marketing blog ( |
| direct reflection of their needs. Think in your | | | | and regularly conducts free online seminars. Online |
| customers' terms; buy, show, sell, and say things | | | | Business Institute Inc. exists to "Create Successful |
| that interest them, not you. Don't forget, it is the | | | | Online Business Owners One Person At A Time". |
| customer that determines whether or not you | | | | |