What you should know as an entrepreneur

posted by 4 years ago in Tips

Image source: KingOfTheMedia, via Wikimedia Commons

The expenses

As an entrepreneur it is significant to plan around what costs are coming out of the company account – this includes things like wages and utility bills for example electricity and gas. Without taking the essential costs into account then your business can quickly go under as you are planning and organising things with money which essentially is not there!

Never plan the up and coming month/year without taking away the reoccurring expenses you pay. It is also very important to have a cash flow for emergencies – this could be for something like a leaky roof or a broken desk. – Obviously there are alternative options for businesses who experience disasters which sometimes cash flow cannot cover.

Before you eliminate, be sure of who and what the problem is  

You can’t just ‘get rid’ of someone or something because you think it is the problem you must take the time to investigate, half of the time it could actually be you that is the problem. Whether that be not giving the latest software a chance to perform or potentially giving staff a hard time when they could be experiencing a difficult time at home.

If the issue is found to be you then you must resolve it immediately – never jump the gun because in the long run you will not become a successful entrepreneur. However if the issue is what you thought then you must eliminate it before the risks become a crisis.

Look after your staff

When you become an entrepreneur things change, and this includes your attitude and actions towards people. Although you have succeeded in starting your own company you haven’t actually become a successful entrepreneur. If you treat people in a patronising and undermining way then you won’t become successful instead you will be the entrepreneur that everyone avoids.

Respect has to be mutual – if you want your employees, partners and even suppliers to respect you then you must respect them to otherwise you’ll have staff that respect your face but not your back.

Your customers are key to your business

Many customers will just come and go but, that doesn’t mean that they are not valuable. Customers put money in your tills so you can continue to grow so before anything you must always look after your customers.

Looking after them includes listening to them, if you don’t listen to your customers then you cannot move forward you will always be moving backwards or staying where you are.

Keep your personal life out of it

Many entrepreneurs treat their business like an adaption of their personal life which includes their finances. It is important to run your business like a business – not an extension. If you get caught up and mix the two then you can run your business into the ground.

If you don’t separate the two then all costs will be lost into one and so will the money going into the business and the money that is yours. Don’t put your business at risk – you will find out when it is too late that is most definitely not worth it. All businesses need a business bank account in order to keep things separate so it is important to search for the right one before choosing one – of course you can switch in the future but, if this is your first time then search for your options.