When you put yourself in the position of running a business, you are in charge of ensuring the safety and security of everyone in the building with you. If there is a disaster, you are the person in charge of figuring that out – and that’s why you need to be aware of the risks that come with running a business. One of your clients can file lawsuits against you. A natural disaster could flatten your business in less than an hour. An employee could get hurt on site and there would be damages to pay. Your business needs insurance, and it needs it now.
You may have dealt with any number of those scenarios before, and you may have dealt with a public insurance adjuster who works on your claim for you. It still doesn’t teach you WHY you need that insurance, which is why we’ve put together some of the benefits of having it in your business. Let’s take a closer look.
Your staff are covered if there is an injury on site or in the office itself. You don’t want to pay out of pocket expenses for an injury claim, not when your insurance can pay for it and you can ensure that the liability insurance that you have covers for the injury costs and the loss of wages.
If your building is on fire, flattened by a tornado or destroyed in an earthquake, you can get financial help to get back on your feet. Insurance allows you to continue operations because the pay out you will get covers for your losses where damage is the reason for needing it.
If you ever accidentally violate any copyright laws, your insurance can cover your back. Liability insurance is there to rescue you in these circumstances and it can ensure that your claim is paid out.
You will minimize your financial losses if you have the right insurance in place. If there is a breakdown in your warehouse, you may not be able to continue your business – but if you have insurance, you can!
If you are taken to court and there is a settlement to be paid, your insurance will pay for that. Your policy will be able to get you out of the situation and enable you to continue your business activity.
Speaking of business continuity, insurance is great for that. Any event that you don’t foresee hitting your business can hit, and it’s these events that will be the shield that helps and allows your business to continue running.
You will be able to protect your brand and your business image when you are seen to be a business who cares enough to get insurance in the first place. Believe it or not, there are businesses out there that won’t cover themselves, and these are the ones that are classed as being unethical.
Insurance can be the difference between your business continuing to run and you being forced to shut up shop. Which would you prefer?
Everyone has the dream of being able to set up their own business. However, for a lot of people, that’s just how they’ll stay: dreams. If you really want to get out there and start your own business, then you’ll need one thing above all else: a really great product. However, a lot of people assume that they already have that covered. They have an idea for a product that they think people really want and assume that they’re ready to get started turning it into a reality. However, this often leads to a lot of people getting started prematurely which inevitably leads to their new business failing before it has the chance to ever get off the ground. In order to help your business to avoid this fate, here are some details that you should never neglect when creating your product.
Figure out what makes it stand out
If you want to build an entire business around a product, then you want to be sure that it’s something that isn’t already being done by a thousand other companies. Of course, this doesn’t mean that you have to reinvent the wheel. It simply means that you’ve got to figure out what it is that sets your product apart from its competitors. This could be anything from providing high quality at a more competitive price point, to increased functionality of the product over other versions, to simply being something familiar designed in a more modern, stylish way. Plenty of products take influence from things around them; it’s often just about mixing together those influences until you come up with something unique.
Think about packaging
This is something that is considered an afterthought far too often by many businesses. They focus entirely on the development of the product itself but never consider how it’s going to be presented to the customers on a retail level. However, branding is one of the most important aspects of actually getting your product off the shelves and into consumer’s homes. Plenty of packaging market research shows that branding that is both distinct, consistent and fitting with your product is essential to getting customers to engage with it. Think about a company like Apple. They understood that, when it comes to consumer tech, customers want something sleek, simple, and elegant. If they’d stuck with the style of the older Macs, they would never have become the genuine cultural juggernaut they are today.
Understand the process
The reality of creating a great product is that it’s a multi-step process and you need to understand that process. Product management is something that is often overlooked far too often by many businesses. However, without the correct product management, you’re likely to end up in a position where you’re not going to be able to make the most of your product.
One important thing to remember is that the perfect product might be essential to your business but it’s not going to make it a success all by itself. You need to be willing to think carefully about every aspect of your business at all times.
A business identity is as important as the product it sells, sometimes more so. Explore some strategies to get it right, right from the get-go.
Some businesses feel like they’ve been around forever, and that they’re going no-where. That’s because they have a strong business identity, carefully built up over many years.
Although some businesses seem immovable the reality is they are just ineffable ideas thought up by people like us. The difference is they have been turned into concrete, tangible ideas, that we believe are real – like mountains.
How is this achieved?
It’s a combination of clever marketing, advertising, and simple brand identity. Some of the most iconic brands in the world are also the simplest, think of Nike, McDonalds, and Mercedes.
As small businesses and start-ups we may not be looking to emulate the success of these multinational corporations, but if we’re smart about our business we should at least be looking to learn a thing or two about the successful strategies pioneered by these companies.
Of course there are other demands on your time, especially if you’re just starting up. You’ve got the nuts and bolts of running the day-to-day business and getting the product or service to market, for instance.
But one thing you shouldn’t overlook is your brand identity, right from the start. This identity is what makes your business or service ‘real’ in the mind of your customers.
Don’t settle for a free logo from the internet, implement some intentional strategies from the beginning and make the foundations of your business as solid as rock.
Brand Standards
The coca-cola brand has one of the strongest brand standards in the world. That’s because it’s not only globally recognized but no one could imagine it any other way. If it were green for instance you might think you had somehow switched dimensions. Everything associated with the brand uses the same colours and fonts and reassures us of the product and its quality. Get savvy with your brand standard, keep it simple and keep it consistent.
Identity
These days consumers don’t respond to faceless corporations. So if you’re just starting a business it’s a good idea to show the people who are behind it, pulling the strings. This could be through a personalized About page on your website, or a portrait painting of the CEO or founding member. Portrait painting might seem like an archaic form of expression, at first, but they have modernized significantly drawing on the power of personal image that worked so well in the past. To learn more about how portrait paintings became famous, click the link.
Storytelling
On the subject of harnessing the power of the past, storytelling, also known today as digital storytelling, is an excellent engagement tool to access new audiences. Companies make short videos that unfold like movies. They have a narrator, moral lesson, and twist. They are short and shareable, and don’t have to cost the earth to make. Don’t miss out on the opportunities offered by video to build up your business.
Are you thinking about investing in an existing business? Although this is one of the most exciting and potentially fruitful steps to take it can also be very daunting – especially if you’ve not done it before. Even if you’re getting a successful business with sufficient cash flow, an established customer base and trained employees you may be going into the process feeling as though you’re in the dark.
There are several key considerations, therefore, that you’ll want to keep in mind in this endeavour to ensure that you’re prepared for the process. To help guide you in the right direction, here are 8 of them:
What Exactly Are You Buying?
This is one of the first key considerations that you should keep in mind when you’re buying a business. Do you know whether you’re buying the underlying assets of the business or the shares alone? If it’s the latter you’ll inherit potential costs alongside the employees. But if you’re only buying the assets, you’ll also receive all of the equipment among other items. It’s a good idea to determine exactly what you’re getting from the beginning before negotiating a deal.
The Size of the Business
How big is the business in question? Is it a small business or a long-established large corporation? The size of it will determine how much it will cost, along with the assets that come with it.
If you’re purchasing the business so that you can focus your whole efforts on running it you need to ensure that it’s a size that you can handle – as the responsibilities of running it will depend on it. What you need to run a small business can be hugely different from what a large corporation requires.
The Brand
How established is the brand domestically and internationally? Does it have a large following? Do people immediately recognize it? If you’re looking to make a big profit from purchasing the business, you’ll want to look into the strength of the brand.
Of course, if you have the capital you can always put it into developing it in the long term, but if you want sufficient cash flow from day one you may want to seek one that’s already well-known.
Why Are You Buying It?
At the start of the process, it’s essential that you set goals. Think about exactly why you’re looking to purchase a business in the first place and what you want to achieve from it. Do you want to expand the business internationally? Or perhaps you want to only generate a steady income from it each year.
By having a clear goal in mind from the outset you’ll be able to make more efficient purchasing decisions and buy the best possible business for your requirements.
How Will You Finance This Investment?
Another key consideration that should be at the forefront of your mind is how you will finance the purchase of the business. Are you considering buying it outright? Or perhaps you want to purchase it in parts, such as through a vendor take back? Alternatively, you might be wondering whether you can sell some assets or your annuity (find how you can do this through sell my annuity here).
Whatever route you’re considering you need to decide on this before you start to look at businesses and work out what your ideal budget is.
The Location of the Business
This might seem like an obvious one, but it’s still worth a mention. Consider where the business is located and how close it is to you. Often, when buying a business, especially for the first time people will look for one that’s near to them so that they can have full control over the buying process/be able to visit it regularly.
Sales and Payroll Taxes
Depending on the location, if you’re buying a business you’ll have to determine what sales and payroll taxes are associated with it. Without doing this, you’ll soon have the state tax authority enquiring into any unpaid taxes that the business accrued. It’s therefore important to ask the current seller if the business has any of these and if they can pay them before you invest in it.
The Business Framework
When purchasing the business you should also make sure that you carry out an evaluation of the business framework. By doing this, you’ll have a valuable insight into how the business is operating and how stable it is within the market. This makes it easier to determine whether you should invest in it and how much work you’ll have to put into developing it.
Final Thoughts
So, there you go! Those are the top 8 things you should consider when buying a business. Of course, this isn’t a complete list. So along with the above, it’s vital that you conduct your own research and seek professional guidance. Through this preparation, you’ll be one step closer to owning the business of your dreams.
Running a business can be rewarding for various reasons. You can enjoy the field you work in. You can enjoy making progress in this field. You can have a sense of achievement from seeing your company establish itself and making itself flourish. But at the end of the day, many of us are into business for one main reason – profit. A business that is running well and making profit can provide us with a good quality of life and enjoyable spare time. But you do need to manage your business’ finances well in order to achieve this. Here are a few steps that you can take that will help with this.
Use a Financial Advisor
One of the first and most simple steps you can take when it comes to managing your business’ finances well is to use the services of a professional financial advisor. These professionals are trained in money management and investment. They can help you to budget well, spend wisely and invest in the right places to get the most from your money. Their services are generally cost effective and can have a profoundly positive impact on your business’ profits.
Collecting What You’re Owed
Generally speaking, when you sell to customers, you never hand over the items you’re selling until they’ve paid for the item in full or signed into some sort of finance plan or payment plan. This means that you never have outstanding funds. But if you start selling products at a lower price to stockists and other retailers who will buy them in bulk and sell them on, you may hand the items over and simply invoice them. Now, if your invoice doesn’t get paid, you may find yourself at a loss. This can be frustrating, as you don’t want to hassle people (people running their own businesses can be busy), but you also can’t exactly hand your stock out for free. So, you need to take active steps towards collecting what you owe. Send invoice payment reminders. Keep requesting payment. If this is to no avail, you may need to call in debt collection services who can retrieve the money on your behalf.
Have Business Savings
Just as you want some kind of financial buffer in your personal life, you should have one in your business. This money can be used to tide you over during difficult times and can ensure you always have something to fall back on if you need to take time off, need to change the business’ direction, or see a loss in profits for any other reason. Put a set amount of profits into a business savings account every month and it will soon mount up.
Sure, finances can be difficult to get your head around. They can be difficult to manage. But once you’ve got a grip of this, you should see your business flourish!
Moving is one of the biggest life events, aside from marriage and having children. Whether you move within the same city, to another part of the country, or halfway across the world, certain things that will make the transition easier. There are also common things that people do wrong that make life harder for themselves. Here are five mistakes you’ll want to avoid:
Mistake #1: Looking at Flashy Details
When you look at the home for sale online or in-person, are you mainly noticing the design choices, such as the bright curtains and expensive furniture? While those furnishings make the place look alluring, they’re not the ones to focus on.
Instead, look at the structure of the house and other things that are not easy to change (unlike the decor). Are there big holes in the walls, for example, that the artwork is distracting you from? Does the kitchen tap work properly? The structure of the home is the most important thing.
That’s not to say that you wouldn’t buy a house that needs minor repairs. But you do want to know about them before moving in. Thus, take your time to look over the property and notice all the features and details, not only the flashy ones.
Mistake #2: Offending the Seller
Some homebuyers think that they can get a great deal on a home the way that they would at a yard sale. However, houses don’t work the same way. They are significant investments and you must remember that the seller is likely emotionally tied to their home, even though they are selling it.
Thus, you want to be respectful of the property. Offering them a price that is far below what they are asking for is likely to offend them. Instead, discuss with your realtor how you can get the best price for the house, including offering a slightly lower price or other fair ways to negotiate to get the most value.
Mistake #3: Be Ready to Act
Another mistake many people make when house hunting is looking at properties but not being ready to act when they find one that they like. Find out beforehand what you can afford, and then you’ll be ready to make an offer on a second hand-house when you find one that meets all of your requirements.
Otherwise, you will have to spend time getting your financials organized, and the dream home might not be for sale anymore by the time you’re ready to buy it. Get prepared ahead of time.
Mistake #4: Only Looking at Certain Styles of Homes
Why limit your search the way that many homebuyers do? They miss out on many properties that might be ones they love but just don’t know it yet.
If you only look for a certain style of the house, then you might never know the terrific interior that you are missing out on. The more important thing than the house style is your preference for its location and your budget.
On a related note, consider looking outside of the neighborhood that you like the most. You might surprise yourself by finding another area of the city that you enjoy even more.
Mistake #5: Not Considering a Home Early in Your Search
When you first start looking at houses for sale, you might think you have all the time in the world, and the best is yet to come. For example, you may see an amazing house on the second day of your search and think, “Wow, I imagine there are a lot of other great choices ahead.”
But the reality is that there might not be another great find like this one. Rather than taking the chance that you will find another terrific home during your search, seriously consider the one you saw today that met your needs. While it’s early on in your house hunt, you risk not finding another one you like as much as this one.
Concluding Thoughts on House-Hunting Mistakes
By reading the errors listed above, you can realize how much you could benefit from doing the exact opposite. Finding a great house to raise your kids or start a new life alone or with a partner may seem overwhelming, but recognizing common mistakes and avoiding them can make the process easier.
Once you find a great house, the next step is to move in. Plan in advance by boxing items and labeling them clearly, as well as finding a moving company with affordable rates
Finally, think about the great times ahead. While you don’t move every day, it is certainly exciting when you do so!
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