- Know Your Business Inside and Out.
The first key to your success lies in your knowledge about your
business, whether it's selling insurance, writing books,
teaching Yoga, or running a bakery. You've got to know:
- What is your
product or service? How does it work? How will your customers
benefit from using it? Why is it better than the other
products/services out there?
- Who are your
customers? What is it about them that makes them want your
product or service? Do they all have common characteristics
that make them more likely to buy from you? This is your
target market, and if you want to attract customers and expand
your client base, you need to market to them, and only them.
Scattering your efforts is costly and unproductive.
- How will you
sell your products to them? Will they be coming to your store?
Buying from a catalog? Purchasing online? Your marketing
efforts need to be directed toward reaching people in the
places they go to find your product or service. Putting your
business in front of them increases your visibility in the
marketplace.
In order to know your business intimately, you
need to study your industry, understand how it works, and apply
what you know. Sometimes this means getting work experience in
your chosen field, or getting a mentor, or attending workshops
that tell you specifically how to do or manage something. Learn
everything you can so you're not running your business by
trial-and-error (unless you have unlimited time and money to do
it that way).
- Get A Good Accountant.
Keeping track of your money is what will make or break your
business. If you're not an accountant or bookkeeper, get one.
Fast. You've got to know exactly where your business stands
financially so you can make the wisest decisions on where and
how your money should be spent. Learn to read financial
statements and balance sheets, and ask lots of questions. You
need to have a professional on your side who knows how to deal
with tax issues and payroll, etc., because your business can go
bankrupt in the blink of an eye if something major goes wrong
with your finances.
To find a good accountant, ask your friends
and colleagues and business association members to recommend
one. Don't be afraid to interview several until you find one
you're comfortable with.
- Get A Good Lawyer.
You don't have to hire some $450 an hour Madison Avenue law firm
to represent you, but you do need to find an attorney who
specializes in business and can draw up contracts and agreements
to protect your business interests. Some examples of things you
MUST get in writing are: partnership agreements, contracts for
services, corporate documents, etc.
To find a good lawyer, do the same as you did
with finding your accountant--ask around and interview several
til you find one you're comfortable with, and (hopefully) can
trust.
- Keep Learning.
Take
classes, attend workshops, read trade magazines and books about
your business, anything that will help you keep your finger on
the pulse of your industry. Sometimes things change overnight,
and if you want to stay competitive, it's vital that you stay on
top of what's happening in not only your type of business, but
in the marketplace that your business serves as well.
- Save For Retirement.
When you're self-employed, your future is totally in your own
hands. This means you've got to make financial plans to sustain
you in your twilight years, as well as to build generational
wealth and secure the future for your children and their
children. Even if you only put a few dollars a week in savings,
make sure you do it, and do it consistently. Leaving a lasting
legacy means putting financial mechanisms into place now.
