Successful Business Owner

Being a successful business owner is certainly not everybody’s cup of tea, there are definite qualities that he/she must possess that will ensure that the venture grows exponentially. These include apart from basic business skills a commitment and vision to succeed and most importantly a tenacity to overcome all odds. Further, a successful business owner must have the foresight to design and implement strategies that will take business to the next level quickly and effectively.

If you want to become a successful business owner, here are a few things that should be focussed on.

  • Have a written plan – This need not be a big cumbersome document, a few pages will serve the purpose. But if you do not have a set of fixed goals and objectives in writing, you will be groping around in the dark. Have a clear cut business plan that lays down marketing strategies, financial requirements and pricing policy as well as new product launches over say 3 years. Get a professional business consultant prepare it for you. However, it should be taken as a guideline only and may be adjusted and changed as per operational requirements.
  • Delegate effectively – A successful business owner is one who can get the best out of employees by delegating important roles to them and avoiding micromanaging their activities. Allocating specific responsibilities is a sure way to make individual qualities and capabilities work for you to the benefit of your organisation. To ensure that your staff are fully conversant with the running of your business have training courses that will update their knowledge base and sharpen their existing skills. Your company will surely prosper when you harness their capabilities for the good of your business.
  • Be competitive – You have to have a competitive edge over the others and stand out in the industry that you are in. Unless you have a monopoly in the products and services offered by you, unique plans have to be devised that will take you ahead of the others. For this, you will need an USP (Unique Selling Proposition) that will give you a head start over your competitors. It can be anything related to your business – your pricing policy, your location, some special services, in fact anything that is exclusive.

An example will better illustrate this point. Suppose your business is an auto repair workshop. There may be many others in your locality but if you are a certified and accredited workshop and authorised to issue a roadworthy certificate, it will give you an edge over the others.

  • Keep a tab on profits – A very crucial part of any successful business is the amount of money that you are making. This should be your primary thought. Focus on sales and revenue as well as cash flow on a daily basis. Stress on net profit and not gross profit as it will indicate whether your expenses are under control. It is this net profit that will be treated as cash accruals and give you opportunities for further investments without having to depend on additional borrowings or increased credit limits.
  • Incorporate technology in your functioning – The modern business environment is all about high tech and advanced tools that have incredibly increased operating efficiencies. If you do not keep up with the times, you will be missing out on business opportunities that are based on online platforms. Have a business website that has high online presence and visibility and ranks high on results pages of major search engines. This will help draw in high volumes of traffic leading to improved sales and conversions.

These are just a few points that a successful business owner needs to focus on.

Entrepreneur Legal Points

If you have finally decided to turn your business idea into a reality, you should have realised that it is no small matter to do so and that there are numerous challenges and obstacles to overcome on the way. Creating a master business plan, working out optimised marketing strategies to take the other established players head on and arranging for finances are some of the key traditional areas that you have to work on.

However, there is another side that is often neglected and that is adhering to the numerous legal aspects that every entrepreneur should know and implement. Nobody wants to be a wilful defaulter in this regard. The consequences and strictures placed by regulatory authorities can be heavy fines and in extreme cases suspension of business.

To make things easy for you at least as far as the legal aspects are concerned, here is a checklist that you will do well to tick off before you start off on your entrepreneurial journey.

Business Laws and Licences

You will need a business licence if you have to legally conduct your business. Get in touch with the local authorities to know whether you need a license or not and the prevailing zoning rules. You can either do this on your own or get a business lawyer to guide you. The second option should be opted for as laws for licensing vary between States and a law firm based in the State where you are located will be able to guide you the best. For example, if you are grounding your venture in the State of Victoria, Australia, get in touch with PB Lawyers, one of the top and reputed business lawyers based in Melbourne. Similar will be the case wherever you are located.

Tax Laws

As with Social Security Number for individuals, an Employer Identification Number (EIN) is required for all businesses. Some owners choose not to take this number. In that case, business finances and liability will be clubbed with personal finances and liabilities and you might face unwarranted litigation in your personal capacity should anything go wrong with your business. You will also need an EIN to open business bank account.

Your next step should be to know what taxes you will be required to pay. There are Federal taxes, State taxes, social security, and other Federal unemployment tax requirements. Talk to an accountant as to which ones you will have to pay as an owner and make necessary provision in your budget too.

Your tax budget will also be impacted when you hire employees. The type of employee that you hire and the number of their working hours will have a bearing on tax payable. Hence, look into this factor when making any hiring decisions.

Further, if you are buying property or leasing premises for a retail store, there are some tax obligations that you will have to meet and some will be waived depending on laws prevailing in that specific State. To cut through the maze of complexities, contact expert property conveyancing lawyers such as for more information.

Employment Laws

There are a whole lot of statutory regulations in this regard. The Fair Labour Standards Act regulates and monitors minimum wages, child labour bans, and maintaining of labour and employee records. Then the Equal Employment opportunity Laws relate to discrimination at workplace based on gender, colour, religion, race and people with disabilities. It also enforces equal pay for men and women. You have to be conversant with these laws or hire highly trained HR managers to scrupulously implement the laws.

There are other aspects of employment laws that you should know about. Provisions of the Family and Medical Leave Act as well as the Occupational Safety and Health Act are two of the most important in this area of Employment Laws.

Workers’ Compensation is very crucial too in the realm of employment laws. Most States have made it mandatory to have employers buy an insurance policy that guarantees compensation to employees if they are injured or take ill at work place. This will also absolve you as the owner of personal liability where your personal assets will be at stake.

Intellectual Property Laws

This is vital for your business if you are developing an exclusive product. In that case, you will surely want to protect it with a patent. It includes your business name, logo, symbols and any other thing that you want to build your brand on. You have to apply for a trademark and get that registered in your name. For digital work, books, music and movies you can copyright your work.

These are some of the laws that you as a business owner and entrepreneur should surely be aware of for the smooth conduct of your business.

Business Plan

Having a business plan is vital for all businesses, no matter small or large. It does not necessarily need to be a formal one which you might develop to take to a bank for financing, but a simple one with all your goals and timeframes which are realistic and achievable. A business plan is a blueprint that steers you in the right direction and should be reviewed from time to time. Here are some of the benefits of writing a business plan.

  • Help get advice

People working in the same profession are more likely to give you free and better advice about your business only if they can comment objectively on numbers, so having a business plan is essential. If you are looking to get advice from various firms then they will do so with ease and not only provide you advice but also assign an executive to read your business plan and offer suggestions for improvement.

  • Identify problems

A well-written business plan addresses all the key areas of starting a business and running it. When you are researching the information which was included into your plan, you may learn that suppositions you made about the cost of materials, marketing budget, labour cost, licensing and other critical aspects of your business are incorrect. Learning this before launching the business gives you time to make adjustments before signing contracts and committed funds.

  • Reduces legal problems

When you are starting a business you would need local, state or federal licenses or permits. Also, you would need to pay taxes using the correct forms and operating under proper procedures and need to obtain a federal employer identification number. So for acquiring all this with ease, you would need a business plan with all the legal and financial issues involved to help avoid penalties.

The above-mentioned are few of the benefits of having a business plan.