NOT OUTSOURCING
This includes location (if you plan to open a store-front), branding, product knowledge (including any advances in technology) effective marketing and market changes. Marketing is often one area of business where mistakes are easy to make. Don’t make the mistake of not investing in your marketing budget - having lots of ‘likes’ on social media doesn’t mean lots of revenue. As well, when you do advertise your business — whether it’s a display ad, a radio spot or as simple as your business card — ensure it’s professional and accurate.
In a small business, everyone pitches in and does tasks that fall outside the lines of their job descriptions. But no matter how eager you and your employees are to do it all yourselves, know when you’re in over your head. Don’t be afraid to outsource tasks that your team can’t handle. Your new venture demands that every aspect is handled by someone who understands what they’re doing. And no amount of good intention will turn an IT specialist into a good bookkeeper.
Local Business Resources
• Chamber of Commerce • Rural Access Centre • Innovation PEI • Canada Business Network • PEI Business Women’s Association • Skills PEI • Charlottetown BDC Business Centre • CBDC PEI East • CBDC West Prince Ventures Ltd. • Island Advance
NOT UNDERSTANDING CASH FLOW
BEING AFRAID OF CHANGE
Profit means nothing if your bank account is empty. Cash flow can make or break a business so ensure you have firm control of both receivables and payables. Invoice and collect from customers as quickly as possible and avoid extra fees by paying your bills on time. Know your ‘break-even’ — the revenue you need to bring in that will cover the day-to-day cost of doing business — and be sure this includes all of your overhead costs. NOT KNOWING WHO YOUR CUSTOMER IS AND HOW TO REACH THEM You can’t make a living selling surfboards in Saskatoon - unless you do it right! It’s vital to understand who your target market is and how to reach them.
One of the worst things a business can do is to not change. Don’t be afraid of change - update your logo (hire a designer), innovate your advertising and attract new customers so your business can continue to be successful. Today it’s important to have an online presence to remain competitive, social media accounts and a professional website can grow your business.
NOT HAVING A PLAN
Every business should have a business plan and it should be updated frequently to reflect changes in your market, customers or personal circumstances. Doing a business plan may seem intimidating at first - reach out to your local business development resource centre for some professional advice. Failing to plan is like planning to fail.
FALL 2018 www.pei-living.ca
113
Made with FlippingBook - Online catalogs