To be able to achieve success in your business, it is not just finding a good product and service and all the sales will come in and everything will be plain sailing.
And it is not just buying a franchise and hope the entire franchise will be working. It does not work that way in real life.
To be profitable in running the business, I have compiled the following from my 25 years of business experience and shorten it for you digest them easily. Hope these business tips will benefit you one way or another.
1. Managed Your Running Cost
This is very important because you can have good sales and income from selling your services, but if you are not able to control and managed your costs, all the money you are earning will go back to other expenses instead of being profit.
You need to avoid buying things which are too expensive or not necessary.
If you need to buy a laptop for usage, instead of buying a high-end $2,000.00 laptop, get a decent one at $600.00, you will be able to save $1,400.00 in this case, don’t worry about efficiency at this point of time.
Getting the sales is more important and having a good cash-flow is critical, the more you save in terms of cost, the more cash-flow you will have for you business.
Control the amount of salary and the cost of goods so that you will be able to earn decent profits. If your staff is asking for an increase in salary but you find that it is not justifiable, replace them if need to.
The reason is that if you agree to increase their salary, there will be a second time in time to come.
If you do not need an office for your business nature, then work from home or share the office with other companies that are willing to do so.
There is not need to show to the public that just because you have a business you need to have an office.
Having more CASH in the bank is better than having an office that is draining your resource every month.
2. Increase The Revenue
Of course, this will be the key factor to determining whether your company will make it or not. Without revenue, you will not be able to cover your rent, salary, and other monthly expenses.
3. The Uniqueness
I had asked many of my business students these questions:
Why should the potential client want to give you their business?
Why are you so special that they should part with their money to buy from you?
Ask yourself this question honestly and try to come up with at least three to five good answers to it.
If you cannot find a good reason, most likely you should not be even engaging in that business at all.
If you are not able to be different and unique compare to other competitors, you will be classified as one of them, and when you are perceived like one of them out there, likely your sales results will be like one of them, which is quite bad…..
4. The Pricing
Putting too much effort on selling lower pricing product and services will eventually doom your company.
It is always better to put your effort on higher ticket items because often, the time you put in will be about the same anyway.
Always make an effort to be innovative and create something new instead of just following what others are doing.
A follower will always lag behind the creator. Because of this, the financial reward will usually not be very interesting.
I remembered a friend who proudly told me he copied a few top players methods and combined them together, but I told him, what makes you so unique but he never bother to answer me the question because he did not find there is a need to do so.
He started to make some money at the very beginning and after sometime, he faced some problems, customers does not find him to be different and many people are doing the same thing as what he was doing, copying!
So at the end of the story, he failed to be DIFFERENT from the rest and fold his business eventually.
6. Read and Research
You need to read and research a lot on your industry, your product, and your services.
Know your competitors and know what they are doing. Knowledge is always good to have when you are talking to clients, because it can get quite embarrassing if you are trying to sell to clients and you don’t know what you are talking about.
7. Be an Expert of the Experts
Reading and doing research as mentioned above is great, but if you want to go to another level, you will need to become an expert in your field.
It is just like when I became an expert of the experts in email marketing, SEO, SEM, Adwords marketing, Facebook marketing, Facebook advertising, Twitter marketing, and many more…
I did the research extensively, tested them out again and again, modified them, and retested again and again to see the results.
I have also spend thousands and thousands of dollars in order to find the right combinations and parameters.
That is the amount of work you need to do to become the guru or expert in that area.
The good news is that clients are always willing to pay top dollar for an expert or a guru.
That is where I make most of the money–by being the expert of the experts and teaching people the core tips and tricks.
People are more willing to pay an expert, rather than just another “somebody.”
8. Be Involved In an Industry That Has Lesser Competition
If you are in an industry where there are 10,000 companies compared to another industry where there are only 1,000 companies, the chances of you having more sales in the sector of the 1,000 companies will be better.
Hence, choose your industry carefully. If you are in the wrong industry, no matter how hard you work, you will not be very fruitful.
To achieve success in business, a lot of work needs to be done, and the back-end effort is tedious and HUGE.
Do not expect instant success.
There are ways to make the business route shorter and successful by using technology and other platforms to get things done easier, you can refer to the resources over here BUT you still need to make the effort to make things work.