3 Small Business Challenges And How To Overcome Them
Written by Don Seckler on December 22, 2015 in Blog
Every business, no matter how large or small, has its own challenges to overcome. Client deadlines, every day finances, and managing schedules are just a few examples of common issues that affect all businesses. The benefit of being a larger business is when these problems arise, there are amble amounts of resources as well as support available to handle them in a timely and cost effective manner. Although a successful small business could have a great deal of experience or procedures in place to effectively deal with these scenarios, they may not have the vast number of resources available to resolve them in the same efficiency as a larger business.
According to a 2012 National Federation of Independent Business survey, items such as health insurance costs, uncertainty over government actions, and electricity costs were some of the deepest concerns plaguing small businesses. Along with an overabundance of other anxieties that they face, delinquent accounts and late payments seem to be prevalent for companies of smaller size. Depending on the company’s state, the worries of a small business owner are enough to keep them awake at night with concerns over the welfare of their company as well as the livelihood of their employees.
Knowing the challenges of a small business prior to taking the plunge can be useful for not only anticipating problems but also for developing an action plan to handle them. The following is a list small business challenges and some suggestions to overcome them.
Expanding your client list – While the idea of expanding your client list may sound easy, actually achieving this may prove to be a difficult task. Especially if your business is in a field that is dominated by larger companies, clients may be hesitant to consider a small business due to their existing relationship with another company, their unfamiliarity with your business, or several other reasons. The truth of the matter is that even if you are fortunate enough to land a meeting with a high profile client and are able to impress them, they still may not seriously consider your business. However, this doesn’t mean that it is impossible to get their attention. By figuring out a way to make your time with them memorable, your chances of being heard by potential clients become greater. If you are struggling to compete with big competitors then the Wall Street Journal offers tips for making your company stand out.
Competition – Competition will always be there to rain on your parade. Whether it is a small or larger competitor, knowing how to set yourself apart from them can truly go a long way. According to Entrepreneur, ignoring the urge to be a copycat is the best approach when deciding which path to take with your business. Passion goes a long way when creating an image for yourself and simply conforming to provide the same regurgitated service as your competitors will get you lost amongst the crowd. If you have an idea of which direction you would like to take your business in but lack the necessary guidance, then Inc. provides some useful ideas that may help you stand apart.
Delegating responsibilities – One of the biggest problems that small businesses face is delegating workloads. Since smaller businesses tend to share responsibilities due to fewer employees, delegation becomes a problem that burdens both employers and employees alike. Although this may be somewhat manageable for small business owners, refusing to delegate becomes a bad habit very quickly and could become less manageable once the company begins to grow. About Money provides valuable delegation advice for small business owners who are struggling in this area. Although delegation may be a challenging aspect to any small business, it is certainly not impossible. Knowing which resources are available could make this area more controllable and result in a well-balanced workload.
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