Whether you are considering starting your own business or recently have taken the plunge, there’s a sobering statistic you need to be aware of. According to the U.S. Small Business Administration, only half of all new businesses are still in business by year five. There are some tips every entrepreneur needs to know to ensure a startup survives and thrives. Some are obvious (a Carmel business absolutely needs a Carmel General Liability insurance policy.) Others are not so obvious. The more you know, the more successful you’ll be.
Be quick to reward stellar employees and quicker to fire underperformers. Each of your employees serves as the face of your company each time he or she interacts with customers, vendors, and investors. Do whatever it takes to keep great employees happy. Don’t delay in firing employees who don’t live up to your standards.
For entrepreneurs, “gray” is a bad color. When you’re confronted with a decision, be decisive. A black or white “yes” or “no” is effective. A wishy-washy gray “I’m not sure” halts progress and momentum. Leaders don’t put off the tough decisions. Learn to say yes or no (often.)
Become a numbers guy or gal. You have no business launching a business until you have a clear understanding of the meaning of financial concepts including revenue, expense, debt, gross profit, net profit, cash flow, effective tax rate, etc. Assuming your “accounting guy” has it covered is a recipe for a rude awakening.
Listen to your inner voice. That saying “trust your gut” is popular for a reason. Your keen instincts led you to open your business. Once you’ve got a business, you need to rely on them more than any advisor you can hire. A nagging feeling that something “isn’t quite right” usually means something isn’t quite right.
Know when to keep your cards close to the vest. Transparency is often touted as a characteristic of great leaders. Actually, great leaders can gauge when and with whom it’s wise to share and when it is more effective to stay quiet.
Launching a new business is hard work. At Walker & Associates Insurance, we can relieve your insurance burdens. Contact us at (888) 760-7292 for a free quote.