Every new experience
comes with a learning curve. The first time you bake an apple pie, you realize you needed a touch more cinnamon and make a mental note for next time. The first time you drive a new car you realize the brakes are a bit more sensitive, and adjust yourself accordingly. Basically, the first time you have ever taken on a new venture you have learned a few things for yourself.
But running your own business is different. It takes an immense amount of time and effort to open your business, and one mistake may cost you everything; your reputation, future clients and even your entire life savings. So to keep you a few steps ahead of the game, here is a list of the three most common regrets for first time business owners. 1.) Being unprepared for growth.
Every owner hopes
their business will be an immediate success
, but very few are prepared for when it happens. Being prepared
means you have the proper personnel needed to handle the increase in work (shipping and manufacturing, for example), the skills and equipment to keep everything organized and the ability to have effective communication and collaboration among your employees
. Remember, getting new customers isn’t too tricky; keeping them
is. 2.) Failing to keep a database from the start.
Many people put the record keeping tasks to the back burner when they open a new business. After all, they only have six consistent customers, so why not just worry about the customers you have and deal with more as they come? No problem, right? Not quite. This might have been a fine business strategy when you were 12 and running a lemonade stand, but not anymore. You need to have an organized and up-to-date database from day one, including your list of customers, their contact information and purchase receipts. 3.) Hiring friends and family.
This tends to be one of the most common business mistakes of all time, so we’re going to reiterate its importance: don’t hire someone because you like them, hire someone because they are the best possible person for that job.
When you hire someone based on their likeable personality alone, you are setting yourself up for two major issues: the job won’t be done with the quality you’re expecting and bridges could be burned in the process. Nothing ruins a friendship like having to fire your friend, and you don’t want to put yourself (or a loved one) in that situation.
Virtual collaboration? As in…collaborating as a team
when no one is even in the same room? Yes, that is exactly
what we are talking about here.
It may seem like something straight out of a sci-fi movie, but the fact is, the future is now. People are utilizing the internet more than ever, which means if you aren’t involved in the virtual world, you need to be…fast.
Otherwise, your company just might be heading down the road to extinction.
However, I do understand the fear involved. The virtual world can be a scary place, and one that is requires different skills. So here are a few tips to ensure your group collaboration
will be as successful online as it is in person: 1.) Make sure everyone understands what is going on before the meeting begins.
This means if someone doesn’t know how to even turn their computer on, you need to be on the phone with them explaining it or have someone else in their area walk them through what to do. Don’t assume that everyone knows how to just type in a web address and follow instructions. For many people out there, they don’t even know what the term “web address” means, so they certainly aren’t going to understand any of your basic instructions for installing a web cam or unzipping a downloaded file. 2.) Have rules established to make sure everyone gets to speak.
Sometimes, when you are dealing in a virtual setting, there can be a bit of a delay. Meaning one person may start answering before another has even heard the entire question. In a situation like this, having the person with the most delay being the first to answer will ensure everyone has heard the question, and everyone will have a chance to speak. 3.) Rotate meeting times.
Chances are, you are all in different time zones, so you’re 7:00 a.m. meeting time might be convenient for you, but not so much for the guy getting up to meet at 4:00 in the morning. If you can find a time that works best for everyone, great, but if not, you need to make sure one person isn’t consistently stuck with the crappy time to meet. 4.) Bring them to you.
One way to do this is to begin each meeting asking the remote attendees what is going on in there neck of the woods. It may be sunny and gorgeous where you are, but it might be blizzarding where they are. Giving them a chance to explain what is going on there will help them feel more connected to everyone else in the meeting. 5.) Provide several different forms of communication.
The meeting shouldn’t be the only way information is getting passed around. Someone should be in charge of sending all the bullet points of the meeting to each member through an email, for example. Having a variety of forms of communication will keep specific members from feeling left out if they aren’t yet comfortable with the virtual setup.
No one wants to end up in court on account of something someone overlooked, especially when that something could turn out to be illegal. No one is perfect though, and even the most innocent of owners will make a mistake now and then, so here are some guidelines to make sure whatever mistakes are
made, none of them will land you in hot water with the judge. 1.) Have a No-Tolerance policy for illegal behavior.
That means performing random drug tests and following all rules and regulations. Are you handling food? Get licensed. Are your workers working more than 40 hours a week? Pay them overtime. The law is the law for a reason, and you need to follow it. 2.) Have an employee handbook.
However, certain rules can be a bit gray, so before you go off expecting your staff to be mind-readers,
make sure they all have a copy of all the companies policies; what is or isn’t a violation, what happens should a violation take place, etc. It’s also important to have each employee sign a form acknowledging they’ve read and understood the handbook, ensuring everyone is on the same page
. 3.) Pay your taxes and cooperate with government officials.
If someone from the IRS stops by your place of business, don’t immediately become defensive. After all, they could just be here to clear up a few things, meaning you haven’t done anything wrong and you won’t be getting in trouble for anything. Just in case though… 4.) Keep records.
Tax returns, receipts, signed forms and other paperwork is given to you for a reason; as a written record of your transactions and policies. If you need to prove your innocence, the easiest way to do that is having the paperwork backing it up. 5.) Do background checks.
You need to know who you’re hiring, plain and simple. If you run a daycare, you need to be able to promise parents that their children won’t be coming into contact with any registered sexual offenders. If you run a delivery company, you’ll need to make sure your drivers have a clean driving record, which means 16 DUI’s is definitely going to be a deal-breaker. In order to trust your staff implicitly
, you need to know who they are. 6.) Investigate complaints.
There is no quicker way to find yourself in hot water than to have a list of complaints that you do nothing about. If you receive a complaint, whether it’s from an employee or a customer, it is absolutely essential that you look into the issue. And if it is a serious issue, like allegations of sexual harassment, you need to inform the correct authorities.
Are you in love with your business
partner? Not just for their love of numbers, the company you have created together, or their customer service skills, but their cute little nose, their manly smell or the way they make your knees go weak with a passionate kiss?
Whoa, back up. Passionate kiss? Can entrepreneurs do that sort of thing?
They can and they do! Even though the U.S. Census Bureau does not provide exact data on the number of businesses own by couples, they do show that approximately 3 million businesses are owned equally by men and women, estimating that the vast majority of these are businesses owned by an “entrepreneurial couple”. It would wrong of us to assume that none of these couples are romantically involved. Out of 3 million…that sure is a lot of lovin’ in the office.
In addition, the phenomenon occurs even more regularly when applied to small businesses with less than 10 employees. Apparently when people live together, laugh together and decide to build a life together, the imagined life of working side by side through the long hours required of business ownership is a logical next step. And it is. They trust each other, they enjoy being together and they are often passionate about the same things. These couples jump into the business with all of the passion that got them into bed the first time and it is a beautiful, passionate journey; most of the time.
To ensure it is a passionate and wonderful journey all of the time,
here are 5 things to consider: 1. Take a break.
Not from the business, but from each other. Go for a walk, go on vacation and go out with friends…alone. You simply have to have moments apart so you have something to talk about when you come back together. No one wants to be the boring folks ignoring each other over dinner and no one wants to be the bickering couple either. Spending time in separate locations keeps you both interesting and able to be just a little bit nicer when you are together. 2. Take care of the couple first.
Someday the kids will be gone, the business will be gone and you will be left staring at the person you decided to build a life with. Don’t wake up and wonder how you ended up in bed with a stranger. Be romantic. Be spontaneous. Be a flirt. Step away from everything but each other once in a while. You deserve it. 3. Set clear goals.
There is nothing worse than working side by side hour after hour only to realize you were both going in different directions. Knowing where you are going, when you want to get there and who is doing which tasks is essential. Deciding your direction now
, when everyone is calm, is a better plan than waiting till you hit a fork in the road; because that fork could very well be used to stab someone in the leg. 4. Hire help.
Someone out there likes to clean toilets and I bet it is neither of you. Someone also knows how to fix a computer, balance the books, and run social media. Let them. Make a list of everything that needs to be done- and what has to be done by you - then farm out the rest. The trick is to use the time you are not doing menial tasks to earn money to pay for the people doing those tasks or to take care of the couple as talked about in point two. 5. Don’t be the boss.
You can kiss your entrepreneurial partner, but you probably don’t want to kiss the boss. The boss is a Big Ol’ Stinking Slob. They think they are always right, use volume and intimidation instead of effective communication and would rather watch others work than participate in work. If you are acting like the boss and your partner doesn’t like it you can be fired. That firing usually means the kids and the house are divided and happily ever after is not going to be the end of your story. Be kind. Be helpful. Be a partner. Don’t be a stinker: don’t be a boss. Bonus Point: You need other people
. And you have to let them into this crazy project you are doing together. Enlist the help of a coach, an accountant, a lawyer and probably a therapist (better early on than when it is too late!). Well-meaning friends and family do not know what you are going through, and truth be told, you probably don’t either. There are people out there who do, and people who can help you lay out a game plan that will keep you sane, prosperous and most importantly, together. Let them.
Now go kiss your big ol bundle of entrepreneurial passion- and don’t stop till their knees go weak. But, do it fast, you have work to do
Let’s face it; everyone has a few personality traits that can be a bit of a…pain in the neck. But for the most part, they’re harmful. So you don’t like it when your green beans touch your pork-chop, or you tend to talk a little too long when you’re on the phone, it’s probably not going to be the downfall of your business
or the unraveling of your family
. The following personality traits, however, are going to cause some serious difficulties in your life, and it’s recommended that you do something to make some changes, stat. 1.) You focus on the negative.
No one wants to be around a Debbie Downer, but have you ever tried working for one? Don’t defend yourself by saying, “Well there’s always room for improvement.” Sometimes a job well done is just a job well done, and it needs to be left at that. Could your employee have turned in that report a day sooner? Would you have done anything with it if it had been
turned in a day sooner? No? Then let it go. No one will want to work for you
if nothing they do is ever good enough. 2.) You misplace your frustrations.
Everyone has a bad day once in a while, but that doesn’t mean you are allowed to scream at your employees when you are really still upset about your alarm not going off this morning. Or maybe you yell at your husband during your late night phone call when in reality you just haven’t seen him in a month and you miss him. If you’re upset about something, address it
. Don’t let your receptionist or your spouse take the brunt of your bad mood. 3.) You’re apathetic.
An individual who is apathetic appears to not care. You may care a great deal about the goings on in your daily life, but you have to act like it for others to get it. An example would be if a costly mistake occurs and you say, “Oh well, let’s not do it again.” A caring person would want to determine why the mistake was made and what can be done to prevent it from happening again. Remember, if you don’t care about the work being done, why would anyone else? 4.) You nag.
A nagging personality is one of the most draining personalities to be around, and why? Because you are never fully alone when you are with a nagger. Everything you do is under constant scrutiny. Are you going to turn that in on time? Are you doing that right? Will they like it? Are you following all
the directions? Exhausting, isn’t it? So stop. When you ask someone to do something, let them do it. Their process for completing a task is fully their own; you don’t have a say. Assign a task and then wait until either the task is complete or the deadline arrives before you make your critiques. 5.) You don’t listen.
Knowing how to really listen
(and I mean really
listen, not just sit there quietly waiting for the other person to finish so you can say whatever it is you want to say), is one of the most invaluable traits there is. The fact is, you are not
always right and you do not
know everything. If you need to make a conscious effort to stop talking, then do it.
The problem with most of these personality traits is that the people that have them don’t realize they have them. Take a second to really examine yourself, every day, to make sure you’re not falling into one of these traps. The most successful teams are happy teams, and you want a happy, successful team
Starting your own business
is often a dream many of us share. The thought of being your own boss, making your own schedule, and most importantly, creating something you're proud of, are all some of the major benefits of owning your own business. Small question though, how do you get started? 1.) Have an idea.
Every business starts with a product or a service, so do you feel you have something to
offer? Maybe you love cleaning and feel like you can clean a house better than anyone you know, so you're thinking of opening a maid service. Maybe you're a fantastic chef and have worked in kitchens your whole life and feel like it's time to run a restaurant of your own. Maybe you live in a community that could seriously benefit from a dog-walking service. In any case, make sure you have an idea of what kind of business you would get involved in. 2.) Write a business plan.
A business plan will help you decide what you need to do now and where you want things to go. It would be great if your business is successful, but if it begins growing faster than you expected and you aren't ready for the increase in demand
, it could crumble what was originally a great start.
3.) Research business requirements in your area.
Your state may require different licensures and certifications than the next state over, so it's important to know exactly what you need to do in your area. And if you need to choose a location, there might be specific zoning regulations that affect what you can have inside your building or what kind of construction your building can undergo.
In addition, it's going to be important to determine the legal structuring of your business (LLC or an S-Corporation?) and register for state and federal taxes. It may even be necessary to get a tax identification number. There are also going to be different rules and regulations regarding how you go about hiring employees. 4.) Finance your business.
A well written business plan will be able to help you determine what kind of start up money you'll need to get your business off the ground. There are many options to financing your own business, from using money you have in savings, to taking out a business loan to finding local or government grants to help with small businesses. 5.) Train yourself and your employees. No matter what line of work you are in
, there is almost always some sort of training that you or your employees could benefit from. You'll want to make sure any employees you hire are ready for the job they're going to be doing, otherwise your business could collapse before it even gets started. 6.) Go for it! Starting a business
can be a daunting task, but as long as you go
about it the right way (doing your research, making sure you're well organized
etc), you'll have a better idea of the steps you need to take.