About 20% of the total small business startups tend to fail in the first year while 50% succumb to failure within the first five years. Notably, only about 30% tend to survive by the tenth year. If these numbers are surprising, you must know the reason behind the failure of such businesses. When starting a new business or buying an existing business, it is essential to build a strong foundation to achieve success. Only when there is a strong foundation, the business will succeed otherwise it will end up in chaos. No matter the type or size of the business, if it is built on sand, it will not survive. Let us take a look at the important tips to lay a solid business foundation.
- Have an effective plan that allows for adjustments
Work on listening instead of what you already know or have done in the past. The skills and previous experience will come into use only after you learn, listen, and then evaluate. Do not try to use the same skills or techniques you used in the past because the industry might have changed and they may no longer be useful today.
- Have a client-focused strategy
If you want to run a successful business, you must know and understand the client base. This is where you will have to focus your efforts. You can build a client focused strategy by taking employee feedback, since the employees will be more likely to be privy to client concerns and issues like payment, service, product development, etc. However, you should never overlook the importance of a market research survey since it will allow you to understand the client’s wants and needs. You can also gather information from client surveys to know what the clients are looking for and understand their needs.
- Build a user-friendly website
It is important to have a solid online presence even if you have a physical location for your business. Create a website that is easy to navigate and has condensed, clear information in addition to photos and videos. Once you have the website ready, work on search engine optimization and remember to evaluate it from time to time. You will have to find the right keywords, create unique content and build links to the site. Remember to publish high-quality content regularly.
- Automate tasks
The experts at District CPA, a firm specializing in outsourced accounting in Washington DC state, “With the use of technology, it has become possible to automate tasks so that you can focus on other essential tasks. As a business owner, it is important to leave a few things on the system to handle”. If you are using social media for your business, you can schedule the posts a week in advance. Use the right software for document management, data analysis and internal communication. This will allow you to focus on more important day-to-day tasks.
- Use employee satisfaction surveys
This is one thing that is non-negotiable when it comes to building a business foundation. Your employees will have a direct impact on the clients and you must get feedback from them in terms of the company culture and find out what values are important to them. Speak to them about the areas in your company that need improvement and talk to them about the strengths of the department they work in. Use this information when you create a business plan.
- Place people in the right roles
When you hire new employees, you need to have a role in mind for them. If you think they are better suited to a different role, you can transition them. It doesn’t matter what role you have hired them for, if their forte lies in a different department, you can go ahead with it. Whenever you move an employee into a role that is better suited to their abilities and skills, they will shine. It will cause a positive ripple effect in the organization. It also shows that you truly care for the happiness and job satisfaction of your employees. This leads to high productivity and employee retention.
- Know the value of your product or service
A lot of people question the pricing of your products or services and there are times when you will wonder if you have priced too high or too low. After you have done the market research, you need to be confident when you talk about pricing with the clients and the employees. A lot of people will be willing to pay more when they can see value in the product. If you can manage client expectations, you will see your referral business growing.
Just like the foundation in your home, you need to have a strong business foundation to ensure that its structure is right. This will ensure business success and stability.