It requires risks and smartness, it takes time and energy but when the end results are positive, you gladly forget the initial stress. The United States Association for Small Business and Entrepreneurship (U.S SBA) reckons over 66% of startups fail within the first year of launch.”
Some people look only at the risks involved in entrepreneurship and then get discouraged. But let’s face it, nothing good in life comes easy! Entrepreneurship still remains the best and surest way to wealth, so what you need to be asking yourself is; how do I learn to be profitable as an entrepreneur?
I have highlighted some vital tips on how to do just that, Here you go:
1:Learn To Use Marketing Techniques Effectively
It is not enough to have a good product or service that people would want to buy. It’s equally not auspicious enough to have a good business model.
The truth is, without proper marketing, all other efforts made planning and modeling may go to waste. After you’ve made plans on how to make your business model the next big thing, you actually need to go out there and market it to the world. You need to capitalize on the various marketing strategies; online marketing, guerrilla style marketing, ads, etc
Study your business and business location, your target audience and kind of product. This will give you a clue as to what strategies are better for you
2:Understand The Value Of Time Management
If you’ve worked in a bureaucracy or government service before venturing into business, probability is you’re used to the 9am-4pm routine. Whether you actually contribute to the services of your unit or not you’re bound to get your paycheck by month end.
In your own business, it is a different ball game entirely. Your income almost certainly is directly proportionate to the amount of energy and time you put in. Therefore, what you do with your time matters. It matters so much you can almost calculate your revenue directly from the number of hours you stay working on your own business.
Learn to value your time and be focused on revenue generating tasks.
3:Get the income to flow
Without a constant flow of income, business may die over time. Businesses can’t survive without cash. “cash is king!” If want to generate a positive cash flow then you must sell a product that is marketable. You must sell what people need and are always ready to buy.
If you want to get a constant income flow there’s absolutely no need to go to the moon and back with grandiose business ideas that won’t appeal to your prospective buyers. Don’t complicate things.
Be as simple as possible with your innovations. Henry Ford didn’t overhaul the technique of factory production he met in the automobile industry, he simply modernized it!
4:Create A Profitable Business Model
After you’ve created a solid and simple enough business plan that appeals to your clients then, you need a profitable business model. When the income you generate is substantial compared to the cost of running the business that’s a profitable venture.
5:Minimize Costs As Much As Possible
Try to reduce the cost of producing your goods and or services. At the same time, that must not be done to the detriment of your product’s quality.
Never compromise that quality control even as you reduce cost of production to the barest minimum.Take note of where your cash goes, don’t spend or lose any penny unnecessarily and be sure to block all loopholes in your business (if any).
6:Gauge Your Results
Every wise entrepreneur understands the need to gauge themselves, to measure their own results every now and then. Consult your books periodically and see where you’re falling short. This helps planning and adjustment.
Entrepreneurs are often highly ambitious people who get driven by their aims and aspirations. A prime example is an entrepreneur like Sean Combs (a.k.a P.Diddy) who moved from entertainment to chains of restaurants, clothing lines, liquor production e.t.c. Aspirations are great things and should not be jettisoned.
However, Wise entrepreneurs measure themselves from time to time. They examine their own success and know when to make bigger moves, stay the same or trim down a bit.
7:Seek Advice And Learn
Ask for advice from people who have already been through the stage you’re passing through. Learn from their mistakes so you don’t get to make the same ones.
Model your life, if possible, after the highly successful entrepreneurs and let their way of life be yours. Attach yourself to a successful entrepreneur preferably in your field and let them mentor you. Business is no mean feat and learning the ropes are a task that must be embraced with all seriousness.
Success is never fallen into, it is planned for and worked towards. So let’s go make profit shall we!