Making your business grow is not an easy task, below are very simple but very important questions to achieve it, many times the question is in the details.
1) Quick attention to customer service
It is always very important that the customer is attended to quickly, whether in a business selling products, services, etc. It is not enough that what is sold is of quality and that the attention is friendly, since the consumer likes to have the product quickly, they do not like to wait and they do not like to ask but rather they come to provide support. If there is no speed in your business, surely in another business there will be and it will surely take away customers.
2) Create simple processes
First, it is very important to mention that creating processes refers to all kinds of processes, sales, purchasing, marketing, administrative or any other type, and it is also important to know that being simple, they must necessarily be efficient. By making your processes simple it is less likely that there will be errors on the part of your collaborators or employees, but it is also easier for you as a business owner to monitor the processes and identify any anomalies and see how they can be improved.
3) Take care of the seasonality of boxes
The term seasonality of boxes refers to the inflows and outflows of cash that your business has, but here it is risky to have extra money and less money, you must have the right and necessary money to fulfill your obligations because if you have money less will not be enough to pay and you will be a creditor or creditor of default interest, for example, but if you have extra money it would be an opportunity that you are letting go of growing your business since it would be better to invest that surplus money to generate more.
4) Make strategies and not just plans
All businesses have one or several plans, which are, in a nutshell, what you want to achieve within the company, but very few businesses have a strategy and it is through the strategy where you diagram how to achieve your objectives. You can be very clear about what you want but by not knowing how to achieve it, it will be very difficult for you to achieve your business goals.
5) Take care of your deadlines
It is very important to know the term of your accounts receivable, which are your sales on credit, it is good that you take them out in the long term since the longer the time, the more interest you will charge your clients.
In the case of your accounts payable, which are your purchases on credit, it is necessary that you take them out in the short term because the shorter the time, the lower the amount of interest you will pay.
If you have money to pay for your purchases on credit, it is only good that you make the prepayment if you are going to obtain benefits because if not, you can make better use of that money to generate more profits.
6) Transfer to cost and never to expense
First, it is essential that you know the difference between cost and expense; the cost is a disbursement you make for company activities, it is reflected directly in the product or service, which is recovered with income and the expense is a disbursement you make for activities that do not go to production, for example, the rent of your premises, these expenses are not financially recovered, it could even translate into losses. So, knowing the above, it is important that you translate the financing costs that you may have to your sales so that they are part of the cost and thus recover it and not go to expense, and this is called the Financing Strategy.
7) Analyze if you want more income or more assets
The reality is that a successful business is not the one with the most income but the one that generates the most assets, but be careful because a fixed asset does not always generate profit for us but a current asset does, we talk about inventories, accounts receivable and customers, among others, this type of assets will generate many profits for you.
8) Check if it suits you to sell with a fixed rate or a variable rate
In order for you to sell on credit, in addition to taking care of your terms, you have to know if you are going to apply a fixed rate or a variable rate to charge your clients. To find out, you have to see the trend of the variable rate and if it is going down, the fixed rate suits you, but if the trend is going up, then you should sell at a variable rate.
9) Take care of the risk of merchandise
The risk of merchandise consists of verifying if cyclicality can affect your sales and take care of your stock. By cyclicality I mean to be sure that you are selling in the correct season, for example, if you sell clothes, sell them according to the time or season of the year; and to take care of the stock, in the case of product sales businesses, you should always have enough, and it may be that a little more for unexpected sales, but it will never be good to go through a lot in the amount of your stock because They will always generate an expense for you, such as the rent for the warehouse, electricity, cleaning, etc.
10) Be current on the legal question
Every business has rights but also obligations in its operation and operation. It is important to have all your documentation to the letter, licenses, permits and everything your business needs; check the legislation of the place where you operate and, finally, check your ability to settle your debts in the short, medium and long term.
When creating and having your own business, you have other obligations towards the business itself, towards yourself and many other people who depend on you doing things well and getting better. Always analyze what is going well in your company and what is not, so that you can objectively grow your business.
Bibliography
- Arturo R.. (2013). Keys to customer service: prompt attention. 2019, from CreceNegocios Website: https://www.crecenegocios.com/claves-en-el-servicio-al- cliente-la-rapida-atencion / Mariam Kiziryan. Cash flow. 2019, from Economipedia Website: https://economipedia.com/definiciones/flujo-de-caja.html(2019). Planning and Strategies within my company… The keys to differentiate. 2019, from Magenta Innovación Gerencial Website: https://magentaig.com/planificacion-y-estrategias-dentro-de-mi-empresa-las-claves-para-diferenciarse/(2012). Accounts Payable and Accounts Receivable. 2019, from the Trade Facilitation Implementation Guide Website: http://tfig.itcilo.org/SP/contents/payables- and-receivables.htmCaterina Chen. Cost and expense. 2019, from Differentiator Website: https: //www.diferenciador.com / difference-between-cost-and-expense /
