Factors that influence business. Small business

1. Planning is the first step towards the success of your small business. Always start with . If you can write an excellent, detailed business plan, you will help your business.

Research the functioning of other organizations. Determine for yourself the positive features of their activities and what needs to be improved. Then create your own company based on this information.

2. Delegation- This is something that all businessmen must own. Relationships with your employees are also key to success. Try to teach employees to understand yours and what happens in it. A monthly newsletter or email can help you do this.

Take control of the decisions that are important to you and the ones you understand best. However, give your workforce the opportunity to be proactive and take control of some tasks. When delegation is specific and involves issues related to tasks and expected results, provide all necessary assistance to ensure that employees find the right solution.

3. Relationships– Good relationships are very important for small businesses. These include relationships with employees and customers. This also includes telecommunications.

For example, a so-called “leased line” can provide excellent telephone communication with the buyer and at the same time a high-speed Internet connection.

4. Organization– being organized is the key to maintaining a good business. You should have everything organized, right down to clearing out the trash. Also try to use the space around you wisely.

If yours is a meeting place with clients, you must ensure that your premises are always clean and everything is properly organized.

5. Working with clients– always take care of your customers. Listen to their opinions. Always strive to ensure that your company and workers provide excellent services to customers and do not disappoint them. When working with clients, smile often and look friendly. This will help you earn their trust.

Working well with them will give you confidence that you will achieve their positive attitude and goodwill.

6. Workers are also the key to success. A good attitude, as well as caring for them, are very important factors in influencing their affection and respect for you.

The process of hiring employees should begin with a description of the requirements that you would like to receive from them. Also be realistic about your salary. If you want workers who truly know their jobs, you'll have to pay them well.

Provide them with training when necessary. Treat them with respect. If any problem arises, try to resolve it quietly and calmly. Your employees are the mirror image of your business.

By 2020, the share of small and medium-sized businesses in the country's GDP should be at least 40 percent. The current policy to stimulate business activity is aimed at this. Some of the documents have already been signed by the President; next in line are a draft decree on entrepreneurship and several more decrees. Deputy of the House of Representatives of the National Assembly, Candidate of Economic Sciences Valery Borodenya discusses how important this is for the economy and for people.

Valery Anatolyevich, the business climate in the country is changing dramatically. Many experts note that the state is taking truly revolutionary steps towards entrepreneurs. Before our conversation began, you even admitted that now you yourself would not mind starting a business.

Yes, but, unfortunately, civil servants are prohibited from engaging in entrepreneurial activities. Although I know that in some other countries there is no such ban. And maybe we should also soften things up in this regard, avoiding conflicts of interest. If a person has the inclination, desire and ability to run his own business, why not?

- Curious, what activity would you choose? And what most influences business success today?

Considering that I have some experience, I would probably go into consulting services or open a private school, maybe even a university. In principle, even before the current liberalization we had very tolerable conditions for business. In fact, the problem of entrepreneurs is concentrated, as a rule, in the area of ​​competition, rather than legislation. Please note that most often a surge of discontent and discussions occur precisely when competition increases sharply. As in the case of private entrepreneurs: chain stores and new shopping centers opened, the market configuration changed. This required a change in behavior patterns from the entrepreneurs themselves. Those who have been accustomed since the 1990s to trading in markets, in striped tents, will sooner or later lose. Yes, there are such tents everywhere in Europe, not just here. But they sell mainly seasonal products: fruits, vegetables, berries. People don’t buy clothes there because it’s already a thing of the past. Therefore, I think that it is not the legislative field that primarily determines people’s desire and ability to do business, but their inner conviction, their willingness to take responsibility for themselves, their family, and their future.

- What about a set of specific knowledge?and a share of adventurism?

This goes without saying, just as nothing will work without access to financial resources. Today, when macroeconomic equilibrium and stability in the financial market have been established, financing conditions are also changing. For example, the Belarusian Fund for Financial Support of Entrepreneurs already offers money to small businesses at a rate of seven percent per annum.

I consider the emerging decline in inflation to be an extremely important factor for successful business. The unpredictability of this indicator makes life incredibly difficult. Did you know that a deviation of inflation from the forecast by just a few percent can send your entire business to hell? The same goes for monetary policy. Therefore, everyone needs macroeconomic stability, and adequate interest rates allow business plans to be calculated normally.

I get acquainted with new documents on stimulating business activity and never cease to be amazed. Here you have uniform minimum requirements in the field of sanitary and fire safety, and a ban on the introduction of new taxes until 2020, and an increase in tax rates, and numerous benefits for artisans, and improvement of the licensing procedure, and streamlining of control activities. Which of the proposed innovations, in your opinion, are the most long-awaited and important?

The fact is that we did not grow up in market conditions, but plunged into them like a whirlpool in the 1990s. Then we were told that this was a blessing, and that we would all live happily and richly. The reality turned out to be much more complicated than the theory. In addition, many people continued to live in the old way, relying on the state to solve all their problems, which tried its best to fulfill this function. On the other hand, a huge number of businessmen have appeared who are happy to make money from such a business, which is very close to deception. There are still enough of them now. This includes selling blankets at inflated prices, adjusting windows, and selling “magic” dishes and water filters. Hence the mass of all kinds of prohibitions, restrictions, control and regulatory functions that were incomprehensible to our foreign partners and investors.

Now, we have probably reached a stage when the state should gradually move away from excessive regulation and create additional conditions for self-employment. For example, the recent decree on craft activities. If a person knows how to do something with his hands and does it well, we need to give him every opportunity to earn money and sell his products, including via the Internet. I don't see any problem in this. The main thing is that people pay taxes, do not go into the shadows, and remember about social responsibility.

The same applies to inspections and fines. Probably, our law enforcement and regulatory authorities need to take a more flexible approach to this work, and not cut from the shoulder. A businessman must have the right to make mistakes, because he is a priori unable to accurately calculate all the risks that he may encounter. Can a director today work exclusively on 100% advance payment? Is he protected from encounters with scammers or, say, from force majeure external factors? In this case, the emphasis should be placed not on the punitive function of control, but on insuring possible risks and creating safety cushions for the enterprise. Let’s say that bankruptcy should not be considered unambiguously as an escape from debts; a civilized reorganization of the enterprise, its rehabilitation, and, if necessary, re-profiling are needed.

Nevertheless, while some call small business the locomotive of the economy, others argue that the future still belongs to large companies and corporations. Who is right in this dispute?

There is no need to make it absolute. Of course, we cannot refuse large productions that fill the budget and carry a huge social burden. But small businesses are needed to tie up excess labor. It is small, but not minor, because innovative ideas are born there. Enterprises that have achieved enormous success in the IT field initially began with ordinary startups, with the brainstorming of several people. Our industrial giants need small businesses like air to promote their products, generate modern ideas in marketing and advertising, and create new logistics mechanisms. In this sense, the potential of entrepreneurship has yet to be discovered.

Today there are many different companies on the market, from the smallest firms to huge corporations. Moreover, some of them are successful and prosperous, while others become a thing of the past. What does a business need to have to thrive? What factors influence its success?

• First of all, this is the market in which the company is represented. Successful companies operate in global, large markets. Or the market should actively develop. Only in this case does a business, both beginning and developed, have many opportunities to realize its goals and objectives.
• Demand and uniqueness of the goods or services offered by the company. It is hardly possible to find a company that has achieved success without offering a unique product of its activities. After all, the sale of a product or service, like everyone else, underestimates the value of the offer. In addition, it is an obstacle to increasing profits. Therefore, first of all, a successful company identifies the value of its product or service in terms of uniqueness and relevance.
• Multiple sales. Moreover, this is not only the presence of regular customers who make repeat sales. But also the presence of a type of activity that presupposes further partnership. For example, this could be the sale of cars with their further maintenance. Or services that are used periodically (Internet, telephony, etc.).
• The lack of repeated sales leads to an increase in the company's expenses. After all, you must first find a client, then prove yourself, and sell. Then again you have to look for a new client. This is a very labor-intensive and costly process involving the use of both time and material resources.
• Improving company efficiency. First of all, we are talking about the efficient use of the main resource - time, by investing in business development, and not in maintaining it.
• Continuous improvement of service quality. There are still no successful companies that do not care about the level of quality of their products or services. Especially if we are talking about a company that has just opened and began its path to success.
  It is the quality of the product or service offered that is the key to repeat sales, which were discussed above. No client will return to the company if he is not satisfied with the level of service. Therefore, it is important to prioritize the needs of the client, not the company.
• Maintaining a good reputation. Advanced communications (such as the Internet) can destroy the reputation of any company in a matter of moments. Often reviews, especially about negative experiences with a company, remain on the Internet for a long time. Therefore, it is important to monitor this situation. And if necessary, contact specialized organizations involved in “cleaning up” your reputation (and there are such).

Successful start of a business does not guarantee its successful development in the future. Business must constantly move forward, otherwise decline is inevitable. Figuratively speaking, business is like a wheelbarrow being pushed downhill. As soon as they stop pushing her, she begins to roll down. A business, no matter how successful it is today, requires constant effort to survive, grow and thrive.

An important factor in successful business development is detailed planning for its growth and expansion. The most dangerous thing in business is its rapid growth. Rapid growth means, first of all, additional capacity, new personnel, increased marginal costs, more complex management processes, and increased competition. If the potential required for rapid growth is not clearly defined and the consequences of growth are not analyzed, the business may end in failure.

In order to produce and sell something, you must first advance a certain amount of money, which will be returned after a certain period of time, after the sale of the product. In business, there is such a thing as a delay (lag) between when money is spent and when it arrives. During this period, additional equity or borrowed funds are used. If the business grows, then the lag between the expenditure of money and its receipt also increases. The need for money increases in proportion to business growth. As a result of rapid growth, it may turn out that there is a catastrophic lack of money to support it, since revenues are increasingly

How to start a business

are still small (they may also be delayed), but costs have increased significantly.

Along with the growth of the business, the management must also improve, which studies all these issues, plans and ensures the achievement of the planned growth rates. In reality, the growth of management potential does not always keep pace with the rapid growth of the business. The problem is further aggravated by the fact that in conditions of severe restrictions on money and time (which is typical for small businesses), it is customary to command rather than manage. Therefore, it can be very difficult for a manager to switch to management as the business grows, and in the new conditions this acts as a significant self-limitation in growth.

Contributes to business development search for new advantages. Most people do only what they are pushed to do, or what they learn from others. Therefore, many companies are very similar to one another. Over time, their owners begin to view the business as routine and uninteresting work and are content with the existing situation. They do not reach great heights in business.

To develop successfully, you need to adapt to changing conditions, and this is only possible through development and the search for new advantages. Every improvement in business is an advantage. An effective, growing business is the destiny of creative and proactive people who can turn any ordinary change in their activities into a new advantage.

Factors for successful business development include presence of problems, errors and failures. If an entrepreneur has a lot of problems, this means that the business is developing and improving, and he himself is learning the necessary skills and new approaches. On the contrary, the absence of problems is considered a dangerous symptom. If a business is developing well, then it should give rise to many interesting and complex problems. The decline of business is evidenced by a lack of interest in new things and avoidance of solving any problems that may disrupt the routine monotony of business, which provides apparent comfort and well-being. Good business has interesting problems, and bad business has boring problems.

Factors for successful business development

As for mistakes and failures, they are a generator of new opportunities and ideas. Any mistake or failure leads a creative person to interesting conclusions and approaches. This takes time and thought. Even in the most unpleasant things you must try to find something valuable and useful.

Business development is largely determined by the efforts that need to be made to growth in sales volume. Most sales are not profitable, so constant monitoring of business breakeven, sales growth, prices and cash flow is necessary.

Business cannot develop successfully without effective analysis and control of processes affecting the amount of profit. To do this, it is necessary to create an effective accounting and control system that provides for obtaining information characterizing:

The exact size and trends of changes in costs, primarily fixed costs;

Complete loss data. Most people tend to downplay them, write them off as other positions, or ignore them altogether;

Lack or excess of equipment, its condition, age, real market value;

Directions that give the greatest profit. Any business has a head (highly profitable areas) and a tail (low-profitable and unprofitable operations);

Customers lost for various reasons and customer complaints. This will help you learn not only to maintain, but also to expand the circle of regular customers, who ensure the sustainability of the business;

Qualification composition and level of remuneration of personnel. In any company there are always employees who do not bring profit, as well as highly qualified specialists who are not appreciated. The former almost never express a desire to change jobs, while the latter will definitely leave if they are not satisfied with the working conditions and pay.

Successful business development is facilitated by the presence reserve funds. They make it easier to endure failures and save

How to start a business

spend significant funds on the costs of searching for and urgently attracting additional borrowed resources.

A factor in successful business development is expansion of business communication. Expanding your circle of business acquaintances means not only new partners, new information, but also fresh projects and ideas. We do not always realize that ideas most often arise in the process of communicating with professionals. One word accidentally uttered by an interlocutor sometimes leads to original solutions and new approaches to organizing and improving your own business.