This is a guest article by Katie Connolly of Advice Mine, a company specialising in helping you grow and develop in your personal and professional life.
Never Give Up
Many new entrepreneurs worry about failing. That’s a big fat WRONG. If you haven’t failed at something, there’s a good chance you’ve never tried it. Facing setbacks is a normal part of learning something new, entrepreneurship included.
All of the world’s greatest entrepreneurs have faced their share of failures. If you really want to run a business, don’t let setbacks stop you from getting back on your feet and giving it another go!
Learn from Your Mistakes
Take a look at what happened so you know how to avoid a similar setback in the future. If, for example, you lack key skills that led to your financial setback, advancing your business education could be a smart move.
You can find custom training solutions from companies like Windmill Insight Solutions Ltd! Blog articles, YouTube videos, podcasts, and books can also serve as fantastic learning resources.
Entrepreneur biographies are also a good place to start if you’re looking to learn how other great business owners have overcome challenges of their own.
Use Free Tech Tools to Lower Costs
Operating an efficient business is key to its success. When you can get more done with fewer costs, you can scale your business without running into cash flow issues.
Costs for tools like Office 365 can be significant, especially for a start-up. However, there are many free MS-compatible office suites which offer the vast majority of everyday document, spreadsheet and presentation functionality with no purchase or subscription costs.
In some, like Libre Office, the drawing package is a pretty good replacement for MS Visio, saving another subscription.
The U.S. Chamber of Commerce suggests free tech tools like Slack for communicating with your team, Wave for tracking finances, Canva for creating social media and marketing graphics, and Trello for project management.
If you need to edit or sign PDF files, you can make adjustments with a PDF editor online. All you have to do is upload your PDF file, make your desired changes, and download the edited file for instant sharing.
Create a Solid Business Plan
A business plan can save your company from countless setbacks. When you sit down and do market research, think through your idea carefully, and plan out exactly how you intend to reach your business goals, you can anticipate challenges ahead of time. Your business plan should also include information about costs and how you plan to obtain funding.
In your business plan, you’ll need to consider how you’re going to structure your business to protect your cash flow and personal assets. Forming an LLC can help protect you from personal financial setbacks if your business goes under.
Running your business as an LLC rather than a sole proprietorship might be best if you want that peace of mind. Just keep in mind that different regions have different regulations when it comes to forming an LLC, so do your research before moving forward.
Become an Expert at Managing Cash Flow
According to Score.org, cash flow issues are the number one reason small businesses fail. Thankfully, there’s a lot you can do to protect your cash flow and ensure you always have funds available to pay your bills.
First, it’s important to know how much money you need to earn in order to break even in a given month. As you launch your new business, focus on hitting that profit line. Remember that steady cash flow is more important than the amount of revenue you generate, so be sure to use accounting software that provides cash flow insights.
Monitoring your cash flow will allow you to survive a seasonal sales slump without taking on debt. For example, many businesses experience a dip in sales during January. Watch your cash flow and adjust your budget during these periods so you can keep cash from flowing in the wrong direction.
Never give up (again)
Every business owner faces failure at some point. While setbacks are inevitable, you don’t have to let them derail your business dreams. Evaluate your mistakes, figure out what went wrong, and make a plan to come back even stronger the next time around!
Looking for help?
Are you looking for ways to enhance your business skills? Windmill Insight Solutions Ltd can help. They offer a variety of training solutions to help entrepreneurs learn the skills they need to thrive! Call today to discuss your needs. +44 7554 994855
I hope you’ve enjoyed reading this Guest article by Katie. If you have any thoughts on the article, or ideas for future blog posts, please leave a comment below