Once you start a moving business, you have to consider what comes next. Now that you are a moving entrepreneur, you need to take the next step in the development of your company. And the focus of that next step should be how to build your small business into something more. So, to aid you in this endeavor, we will touch the subject through some useful and practical points. You are, of course, not bound to accept these suggestions, but we would advise that you consider them at least.
4 steps that can definitely help build your small business to greatness
People in business tend to be quite pessimistic. Just think – how many people around you focus on why a business can fail instead of how it can succeed? The fact of the matter is that around 50% of businesses fail within the first 4 years – that’s the “make it or break it” stage. But that is still no reason to expect the worst. And as a team focused on helping moving companies grow, we feel inclined to offer our support on the subject. After all, someone has to stand up for the little guy with the next potential revolutionary idea. So, here are 4 important facts to remember about how to build your small business and ensure its success.
1. Don’t borrow money you can’t return
In spite of popular belief, there is a mouthful of bad ways to borrow money. However, there are just as many ways to avoid these types of mistakes. And if you were to ask SBA, spreads for loans under $100,000 have been fairly consistent for the past decade, with the overall percentage resting on 4%. So, the bank is charging you four percent more than it borrows its cash for.
Bear in mind, however, that in addition to traditional bank borrowing, you can build your small business with all sorts of crowd-funding and online lenders. There are always those that can provide capital to customers who would never have qualified for a bank loan.
What can you do?
With interest rates on the rise, the timing is perfect for you to review what you’re currently paying. Anything low and fixed is a choice you should expect without too much consideration. High-rate loans combined with short-term lending is something you should avoid as much as possible. Otherwise, you might find your small business foundation quite collapsable. And whatever you do, try to avoid the combination of variable and high rates that one can find in the example of corporate credit cards.
2. Make use of contractors
Ever since the crash in 2011, the self-employed economy of the US has been on the rise. And even though the current situation is still not as high as the pre-crash high, it is slowly going in that direction. In fact, recent studies show that gig workers account for over a third of the workforce.
And this is great news for movers indeed, especially for personal plans to build your small business. Because the fact of the matter is that contract workers contribute in two large ways to small businesses:
- They cost less and are more easy to onboard
- They have lower ongoing expenses (no retirement or health benefits)
Gig workers also offer businesses speed. While hiring a new employee can take weeks or even months, you can hire a contractor overnight. In contractor-heavy environments such as moving and transportation, you can hire someone in the morning for a job that afternoon.
What can you do to build your small business in this aspect?
Get down to some detailed research and create a database of all potential contractors for your company. And by doing so, you always have someone at your disposal for time-sensitive decisions and planning. Consider professional conferences and networking events that can introduce you to potential contractors. Lucky for you, there are always well-established websites for freelancers that you can consult, such as:
- Fiverr etc.
3. Never underestimate the importance of a good plan
Although there are certain benefits to being spontaneous, it rarely has a place when you want to start and build your small business. Sure, the idea might and timing might be unplanned, but when it comes to the company launch, quarterly forecast, budgeting etc., it all needs to be based on a well-developed and detailed plan.
Forecasting is much similar to the concept of chess. It requires you to think through multiple scenarios and come up with responses to anticipated problems. Studies show that small businesses with plans grow as much as 30% faster than those without. To make things easier, there are plenty of predictive analytics software solutions on the market. While predictive software still requires human input, it can do all the heavy lifting in terms of processing data and do the math on certain strategies.
4. Make your own luck
The world of business is a tricky mistress, and you will find that you won’t always be able to plan and predict everything. This is where the simple matter of luck comes into play. Now, the important fact to remember is that there are two kinds of luck you should distinguish between:
- Dumb luck – which will happen no matter what you do and at any given moment, which you have no control over.
- Self-made luck – one that you create the foundation for and have a role in. If you truly want to build your small business, you will always make your own luck. It’s what separates you from the competition.
You know what they say – no risk, no gain. Even though you should take your start-up process one step at a time and without going “all or nothing“, there are still things you should do. Always be open to new chances to grow your small business, make new connections in terms of both customers and employees. And always be ready to take advantage of opportunities when they arise. Success waits for no one, and as long as you plan and have contingencies in place, you will be able to seize the day.