Starting a new company is a big feat for many prospective entrepreneurs, but maintaining a successful firm presents the bigger challenge. Most new businesses face different kinds of headaches such as keeping track of wage payments, recruiting the right people and so on.
There are always issues to solve and administrative fires to put out for any small business owner. So in order to survive, you need to plan and operate very carefully. If you don’t have a full-time manager or accountant then it’s down to you to ensure that operations are top-notch.
But there’s always a solution to every headache. Below are the most common headaches new firms face and their solutions:
In today’s environment of informed, conscientious consumers, businesses struggle with the temptation to cut corners while also wanting to promote trust between the business and consumers. Modern businesses are forced to wrestle with determining their level of integrity, as is evident with today’s top tech IPOs. However, business will fail without trust. Consumer trust is just one angle of this, however. You should also be concerned with trust between your business and its employees and business partners. Make sure that you make the right decision for the long-run. Cutting corners will save you money in the short-term. But in the long run, it will cost you customers and ultimately your business entirely. Make sure you always operate business with the utmost integrity. Your wallet will thank you for it in a couple years.
Another issue is paying wages on time. Resources may be occupied in sectors outside the finance department, which can result in late wage payments. It is also expected of the employer to withhold a certain percentage of the worker’s salary to pay for taxes, fringe benefits or health insurance. If the employer is displeased with the late payment, or files a case of the firm withholding money that should be paid to them on no legal grounds, the case can reach the department of labor.
To prevent such occurrences, ADP business payment solutions and software notifications can be used to pay wages more efficiently. The wage payments module will help the company reduce its operating expenses and use paperless payroll processing to protect itself from fraud, making the process of regular compliance more efficient. New businesses can enjoy the flexibility of paying their employees the way they want, and they can also scale the need to which they adopt electronic payments to fit their needs.
Professional licensing has turned out to be even a bigger headache than taxes. According to a Small Business Friendliness Survey published by the business services firm, Thumbtack, in a collaboration with Ewing Marion Kauffman, requirements and licensing that give business owners permission to legally work add barriers to entry in most industries in terms of both expenses and time commitment. This is especially true when opening a handyman business.
As excessive permitting processes are integrated into the steps required to obtain professional licensing, it can be utterly complex for entrepreneurs to get their firms off the ground. The solution to this problem is to bring in a third-party firm that keeps track of the licensing requirements as well as local requirements (which change frequently) if you’re based in a foreign country. They can manage processes and estimate costs to make the process easier than it is. Whether you’re a global enterprise or a small shop, planning for licensing can help you save lots of time.
It is critical for a new business to be productive because this is what will define the firm’s (current and future) position. However, there can be a fair share of headaches as HR may hire people with the right soft skills but wrong hard skills. Productivity, as a result, can be on the receiving end.
A viable solution to end this issue could be to match the employees with the right employment opportunity. Then there is the option to “re-skill” employees so that they can find a newer job and better pay.
In business, the only certain thing is uncertainty. This is one of the most prevalent business challenges you will face time and time again throughout your career that a business degree simply cannot prepare you for. If you are going into business, you have to prepare yourself for this now. In order to have success in this sector, you cannot be afraid of uncertainty. So if you are, you may want to choose another career path. Of course, it is human nature for uncertainty to cause anxiety and tension.
So what is the solution to dealing with all the uncertainty in business? It is simple really. You just have to get comfortable with the feeling. How do you do that? By putting yourself in these uncertain situations, despite your sweating palms and worrisome thoughts. The more you learn to deal with things on the fly as they come, the better prepared you will be for a successful career in business. Thinking on your feet is the ultimate skill in to have when you own your own business. And like all skills, to hone them you just need lots of practice. So start putting yourself into uncomfortable situations in your personal life and figure it out as you go. This will help you to be prepared for all the uncertainty to come in your future in business.
What are the top headaches for your business? And how do you overcome them? Feel free to leave comments.
Image from http://www.virgin.com/entrepreneur/in-focus-the-rise-of-flexible-working