Starting a Small Business in 2020? Here’s Seven Tips to Steer You in the Right Direction
As we approach the new year, you may be starting to think of your “new year, new me” resolutions or possibly even “new year, new business.” What better time to start a new adventure than at the beginning of the year?
Here at Incfile, we know that starting a new business can be scary, and oftentimes the hardest part is starting. Below we’re sharing a few steps that are crucial to getting your new business off to a good start in the new year.
1. Seek Out Expertise
You may think the first step to gaining knowledge on running a business is reading a best-selling book or to research information on the internet. While doing your research is essential, your first and most important step should be to network.
Successful small business owners didn’t get to where they are today by simply reading books. They sought out guidance from other successful entrepreneurs. Networking is the most effective way to make connections, seek support from experts and get referrals or leads.
Incfile seeks to be the ace in your back pocket when it comes to getting support from experts. We come alongside business owners to help them through the entire process of starting and registering a business. Since 2004, we have helped over 250,000 entrepreneurs. If you partner with Incfile, you’ll work with a real person with real experience in incorporating a business.
2. Smarter System for Cash Flow
Many, if not all, small business owners wear multiple hats in order to support their business. When taking on various roles, it’s hard to stay on top of every little detail. However, there are some things you can’t neglect and need to monitor regularly, such as your finances. According to a U.S. Bank study, 82% of small businesses fail due to poor cash flow management.
Who wants to spend hours at a bank when you could be out in the world finding new opportunities for your business? Digital banking is on the rise, so it comes as no surprise that as 2020 quickly approaches, new banks are surfacing.
As a small business owner, consider switching to digital business banking. Not only will you have every tool you need to keep your finances in check, but you can consider waiting in line at the bank a thing of the past.
3. Latest Technology to Drive Growth
In today’s market, digital technology helps business owners achieve more while doing less. As stated earlier, small business owners wear various hats within their organization. If this resonates with you, before going into 2020, take a look at what tech you’re already using and where you can make improvements.
It can be scary if you have a limited budget, but you must embrace the benefits and splurge a little. In the end, investing in the best and latest technology will keep your employees engaged, improve productivity, increase communication and improve overall client experience.
4. Incorporate User Reviews
When it comes to attracting new customers and reaching a larger audience, developing an online presence is crucial. If you’ve already developed your website, one small but important tip is to provide your customers with a user review platform that allows them to leave comments and rate their experience.
You may think, “How will this help my business? What if someone leaves a negative review that is out of my control?” It’s important to understand that online reviews are necessary. They provide users a place to share their experiences, both good and bad, which in turn creates a positive online presence for your brand.
No matter what platform you choose, know that it will only help you create positive results for your business and keep your customers happy.
5. Utilize Social Media Marketing
In addition to looking for a review platform to increase your online presence, make sure you are utilizing your main marketing hub, social media. This is just another way for you to build your brand awareness and connect with your customers.
According to a survey done by eMarketer, customers spend 20% to 40% more on products/services by companies that engage with them on social media. Use these free tools to help launch a new product or promote a discount.
For example, maybe the first month of the new year your goal is to get 20 new clients. Post on your social media accounts that any new client who signs up in January will receive 25% off a product or service. Any current clients following you will also be able to share this deal via their social platforms and further help influence your visibility.
6. Hire the Right People
Companies often need to hire quickly. For example, a startup looking to get their business up and running may not take the time to recruit the right people in an effort to get up to speed quickly.
Your team, the people you will work with every day, will be the foundation of your business. With that said, it’s crucial that you lean on the numerous online resources you have at your disposal. It’s amazing what you can find on the internet these days! If you’re a small business owner also working as the human resource manager for your company, utilizing an HR software is key to having a steady workflow and being able to find and retain the best talent.
7. Employee Happiness
Speaking of retaining the strongest talent, we saved the best tip for last. While you navigate through the many challenges that come with running a business, it’s important to not lose focus of what really matters—ensuring your employees are taken care of.
Companies are finding new and innovative ways to keep their best employees happy while also grabbing the attention of potential external candidates. Working remotely is a popular incentive many companies are offering as it creates that work-life balance culture people are on the hunt for.
Trusting your employees and allowing them to create their own schedule has been shown to increase productivity. A few other incentives organizations are beginning to offer include:
- Gym memberships
- Unlimited paid time off
- Extended maternity and paternity leave
- Four-day workweeks
- Monthly catered lunches
The list goes on. If you’re starting your business this coming new year, these may be things you want to consider for your employees!
As a small business owner, it’s necessary to constantly educate yourself and stay current on the latest industry news in order to achieve success and create a company ready to thrive in 2020!