Self-Rating For Business Start Up
To be successful in small business you have to be honest with yourself and understand your strengths and weaknesses. This includes analysing your personal characteristics and evaluating your general skills.
- How do you get on with other people?
- Can you handle failure?
- Can you set clear goals?
- Have you got drive and energy?
- Have you got self-confidence?
These and many other questions are very important in determining whether you have the characteristics to be successful in small business.
Knowing your strengths and weaknesses in business will help you to play on those strengths and work on your weaknesses. It will also help in such areas as hiring staff and in building client relationships. Contact your accountant to discuss behavioural profiling for business.
"What you do in your model is not nearly as important as doing what you do the same way, each and every time"
The E-Myth Revisited, Michael E. Gerber
Have You Got One? How Long Since It Was Reviewed?
If you do not have a business plan, or if yours is out of date, it may be time to consider drafting a new business plan.
Benefits of Business Planning:
- The process focuses the team on looking at future developments
- The process focuses the team on enhancing services to customers, which often results in profit improvement
- Staff involvement results in more effective implementation as they 'own the ideas' and are therefore more willing to implement the plan. Morale often lifts due to this teamwork
- The process enables clear communication of business development direction and focus
- The process makes you stop and review the whole business (the 'big picture' in its entirety), rather than a 'piece-meal' approach of decision making forced by crisis
- A plan based on who will do what and by when creates an action orientation in the business
Some Practical Suggestions regarding the preparation of a Business Plan:
- Go through the process annually
- Involve staff
- Treat yourself to somewhere special and do it away from work (the 'retreat' concept)
- Have staff and management put their thoughts down on paper before the meeting so that people are prepared
- Use a business plan questionnaire as a guide
April/May is a good time to undertake a Business Planning review.
Characteristics of a Well-Run Business
You think you can tell a well-run business when you walk in the door - the staff are cheerful, the premises are under control, and queries are answered quickly and efficiently. However, behind closed doors there may be a chaos of unpaid bills and unbilled accounts. Does this sound like your business? If you are just starting up, how can you ensure your business will be well-run?
There are many characteristics of a successful business; here we list some of them (the remainder will be covered in the next issue of Business Forward). Not all of them will be applicable to each business, but approximately 80% of them will apply to all businesses.