With more being done this year than ever before to encourage greater levels of entrepreneurship, the future is looking brighter for business. However, SMEs are still facing challenges, and Source Marketing Direct has outlined the ‘fatal five’.
In the UK, the number of business start-ups are increasing year on year, and statistics show that despite this increase, a significant portion of these firms are struggling with their desired rate of growth.
With all new start-ups there is a lot to consider, and with entrepreneurs struggling to keep up in an ever-evolving market, some of the smaller attention to details are being overlooked. To help combat this, the UK government has ambitious targets for boosting entrepreneurialism in 2016, and is providing support through means including the ‘Start Up Loans’ scheme, which offers fiscal backing to new businesses alongside advisory services.
However, Source Marketing Direct argue that getting a business ‘up and running’ is easy – staying in business and managing longevity with a decent profit is difficult. This is because nothing is guaranteed to be a success in the business world of today, but Source Marketing Direct suggests that observing the main mistakes that many SMEs make allows for common mistakes to be identified.
Here, Source Marketing Direct outline 5 common pitfalls that startups should avoid:
1) Don’t miss the bigger picture.
When immersed in the running of a small firm, day-to-day activities can take over, and it’s very hard to see the wood for the trees. Source Marketing Direct stress the importance of continually looking for self-improvement, and examining if a long-term profit is achievable.
2) Plan effectively.
Source Marketing Direct argues setting clear, achievable targets for the business is fundamental and recommends daily – if not weekly -benchmarking measures against these aims.
2) Evaluate your business.
The firm also place great emphasis in identifying the key metrics which will determine if the business stands or falls.
4) Be vigilant about cash.
Countless firms with great ideas fail simply due to cash flow problems. Source Marketing Direct recommends ensuring customers pay on time, as on paper a business may be solvent, but without the cash to pay bills and other overheads, it’s not enough.
5) Don’t stand still.
Making a business profitable is great, congratulations! But Source Marketing Direct warn against resting on laurels – businesses need to be developed constantly to ensure that they are in line with the ever-changing needs and demands of the consumer marketplace. Exploring new opportunities is a must, or a company risks rivals copying their business model and crowding out – just look at Nokia’s fall from previous domination of the mobile phone market!
Source Marketing Direct would like to wish all aspiring business good luck in 2016. The firm is a successful outsourced sales and marketing company based in London. The firm provides outsourcing solutions for their clients’ sales and marketing needs; this results in the firm increasing their clients’ customer base and revenues so they can stay competitive within their own market.
Since their establishment, Source Marketing Direct have always promoted the traits of entrepreneurs to their sales contractors, including focus and tenacity. The firm does this to ensure they are aware of the habits and attitudes that can help lead them to long-term business success.
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