Running a small business can be a little like looking after a child: if you do not keep your on it all the time, something is likely to go wrong. Life can come at your fast sometimes, and if you are not prepared, you will be punished. There are all sorts of things that can go wrong. If something at your office breaks, like the heating, not dealing with it is not an option. Your staff may not be able to work and your entire business could grind to a halt. Similarly, if someone has an accident in your workplace, you need to quickly deal with it before it spirals out of control. While some may say that modern society is becoming selfishly litigious and that lots of people are exploiting Lady Justice and robbing her blind to make a profit, the threat to your business is real. A long protracted court case can exhaust your resources and your energy. Swift action is the best option. Problems will arise every day. Here are a few that you may have to deal with and how best to combat them:
Cash flow problems are something that every business may suffer from at one time or another. While it is certainly inconvenient, it is something of a luxury problem because it means that your business is working at near capacity. If all of your capital is tied up in working on projects for clients or on initiatives intended to expand your business, it shows that you have ambition. However, you need to deal with it immediately. Failing to meet your obligations (such as paying your staff or a company to whom you outsourced some work) is a dangerous game to play because debts have a tendency to compound themselves, which only exacerbates the problem. A prophylactic option to consider for the future is having a fund ready for emergency costs in the future, but in the short term, you may want to consider factoring services (check out FactoringDirectory.org to find the best option for you. While factoring payments may be slightly more expensive in the long run, it can save your business money over time. Having a reputation for not paying your bills will stay with you much longer than the actual bill from a factoring service.
The most important part of any business is the customers. Without them, the business itself would simply not exist. The law of supply and demand proves it. It should, therefore, be no surprise that keeping your customers happy is a priority. If you work in an industry like retail, you may get so used to complaints that they no longer register with you. However, the statistics speak for themselves: improving customer retention by as little as 5% can lead to profit increases of as much as 25% to 95%. This is why you should deal with unhappy customers as quickly as possible. Attending to their needs may take a great deal of time and resources but is worth it. Besides, if you do it as soon as possible, you have a better chance of dealing with every customer.
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