Your small business is a living entity. It requires sustenance, attention, and health maintenance. Best practice is a collective of wisdom and sage advice for improving the quality of life for small businesses. Following these practices can make your company thrive.
An important aspect of a thriving small business is collaboration with other local entities. Collaboration offers mutual benefits and credibility within the community. Establishing a reputation in your community as a reliable business resource can positively impact longevity. Being credible and trustworthy is a best practice that small business owners can aspire to in the long term, and it starts with a daily commitment to excellence.
Collaboration can be as simple as two neighboring businesses offering expanded hours and complementary goods, or as complex as planning a fundraiser with a local non-profit to support community needs. If you are interested in a more widespread collaboration within your community, joining your local Chamber of Commerce may be beneficial. Joining a Chamber of Commerce integrates you into the community — plus, it offers free marketing and name recognition.
Chambers of Commerce are a longstanding, reputable group of business owners who gather to discuss community needs, business climate, and ways to collaborate for the benefit of all. This type of connection within the community establishes credibility and positions your business as a partner in furthering the economic viability of the area.
Establishing your small business as a valuable economic partner within the community is great for relationships and staying power. Maintaining your financial health is vital for your business to survive.
The right resources can help you keep your finances on track. A small business can thrive if given the financial tools to track expenses and cash flow. Reports derived from income statements can offer surprising and useful information about where the money is going and how to maximize profitability.
Aspects of expense tracking such as the depreciation of assets, rent costs, and insurance rates can be easily monitored through income statements and may indicate areas that need adjustment.
Software to track cash flow is another tool that can take your business to new heights. A profit and loss statement is like your small business’s health record. It shows the vital signs that indicate overall health, as well as any economic red flags that may require attention.
Another factor that can significantly influence the success of a small business is the health of its relationship with employees. Small business owners who pay attention to the needs of their employees are more likely to retain workers and succeed in the long run. Employee satisfaction is such an important factor that it can even impact the bottom line.
Just as financial reports show spending patterns and areas for improvement, checking in with employees routinely is vital to ensure greater satisfaction and to retain workers. The cost savings alone make employee retention worthwhile, not to mention the benefit for company morale and community reputation.
According to Harvard Business Review, there are five Rs to consider in the matter of retaining employees: responsibility, respect, revenue sharing, reward, and relaxation time. The fact that 69% of workers are passively seeking other employment is reason enough to think about employee satisfaction and retention.
Provide regular opportunities for feedback and offer employees a voice in decisions that impact them. The sense of membership that these changes can initiate helps facilitate a healthy company culture.
You can watch your small business thrive with community collaboration, useful tools for financial health, insight from best practices, and employee feedback. In using the existing tools and market wisdom, your business will undoubtedly see progress for years to come.
VastAction Inc. offers guidance for small businesses and entrepreneurs to help you build a prosperous future. Reach out today for a consultation on a CRM to systemize your client and/or prospects list and to build a strategic marketing plan.
Article by Gloria Martinez
Images by Pixaby and John Schnobrich