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Financial Mistakes - Complete Controller

Every company thrives to be successful and wants to be the best in the industry. A company invests time and money, making sure it generates as much revenue as possible. However, some ineffective practices and financial mistakes that a company can make during their startup process can lead to financial crises.    Check out America's Best Bookkeepers

Inappropriate Pricing:

Sometimes companies become dishonest. They invest less and sell their products at inflated prices to earn maximum profit. It is unethical to lie to customers about the product or service. Eventually, the client will realize that they are being cheated, which creates a negative reputation for the business. The company can lose sales and the opportunity to build customer loyalty. 

Data:

Sometimes investors are overpowered by confidence, and they neglect the statistical data that is built after thorough market research. Experts recommend playing it safe before investing and suggest using research data to develop the business.  

Inappropriate Budget Plans:

It is common for the budget to be ignored if needs arise that are not initially considered. It is important to plan and budget while keeping some unforeseen expenses in mind. For example, a sudden shortage of raw material, an increase in demand of any byproduct, or any unfortunate accident can add up and exceed usual expenses and the approved budget.

High Fixed Costs:

Sometimes there is a shortage of staff or an exceptionally high workload, so the work must be outsourced. Outsourcing is a helpful method but should be avoided as much as possible. It is important to emphasize that this practice must be carried out in secondary areas and not in the core of the business. Otherwise, it could compromise the quality of the services and/or products. Check out America's Best Bookkeepers

Reinvesting:

Sometimes reinvesting in a business proves to be profitable. Companies reinvest in the existing business to make it more beneficial and profitable. Reinvesting is crucial and may result in more steady growth and success. However, do not reinvest in the wrong business. Reinvesting requires proper planning and analysis. It involves money and the expenditure of time and energy, which are also valuable for running a successful business. Therefore, reinvestment plans should be considered at the time of startup.

Self-finance:

Approximately 50% of entrepreneurs finance the entire business with their own money. However, this can cause companies to drown due to a lack of customers or a mismatch between income and liability payment. It is wiser to self-finance a business if the investment is minimal. If the investment is significant, taking a loan or obtaining finance from an investor should be considered.

Business Credit:

It takes time to qualify for business credit. Still, business owners should consider it important from the very beginning and strive to be registered to a business credit bureau as soon as possible. It is essential that there are separate accounts for business and personal credits. Once the business credit is built, it will be less likely to affect the owner’s personal credit if the business incurs considerable losses.

Income Plan:

Avoid being optimistic about income. Every business startup needs time to stabilize and turn a profit. The business goes through a lot of ups and downs before finally starting to generate revenue. When you take the reins of a business, many times, you expect income that is not consistent with reality, especially regarding the time it can take to produce revenue. Check out America's Best Bookkeepers

Usual Mistakes:

When the business starts to post positive numbers, the entrepreneur usually makes two mistakes: spending all resources or reinvesting without planning. Both result in the fatality of the business. Once the business starts generating income, wait until the figures become constant and consistent before spending or reinvesting.

Salary:

Usually, the owner of the business does not assign a salary for himself at the start of the venture but will opt for “taking as you need.” This is a serious mistake since this financial factor is lost and can negatively influence cash flow. The owner should assign a specific amount of salary for himself and should manage within that allocated amount of money. If the owner keeps taking money from the revenue without any check and balance, the business will soon lose control due to the unforeseen cost of this salary.

Payment Method:

Different people opt for different methods of payment. Some like to have online transactions, while others like to pay via check. It is ideal to present a range of alternative payment methods to facilitate the purchasing process for different types of customers. This increases the chances of customer loyalty and payment.

Check out America's Best Bookkeepers About Complete Controller® – America’s Bookkeeping Experts Complete Controller is the Nation’s Leader in virtual bookkeeping, providing service to businesses and households alike. Utilizing Complete Controller’s technology, clients gain access to a cloud-hosted desktop where their entire team and tax accountant may access the QuickBooks™️ file, critical financial documents, and back-office tools in an efficient and secure environment. Complete Controller’s team of certified US-based accounting professionals provide bookkeeping, record storage, performance reporting, and controller services including training, cash-flow management, budgeting and forecasting, process and controls advisement, and bill-pay. With flat-rate service plans, Complete Controller is the most cost-effective expert accounting solution for business, family-office, trusts, and households of any size or complexity. Check out America's Best Bookkeepers
Business Plan - Complete Controller

Entrepreneurs are often over-zealous about starting their business as quickly as possible. However, a realistic business plan is the first step to success, as it clarifies how the business will make profits long-term. It is directed towards a particular audience and has certain objectives. For example, a business plan may want to convince the company to initiate a new project or investors to invest in the project. You may be wondering, “Where do I even begin?” Read our tips for creating a well-thought-out and organized business plan. Check out America's Best Bookkeepers

  1. Knowing the Audience

A business plan is written for different purposes, each with a different audience. For example, a business plan written in the development stages of a business will most likely be targeting investors. The tone of this business plan will be persuasive in order to convince investors that the business idea is promising and that it would be beneficial for them to help fund it. Another common type of business plan is the one written as an expansion plan for the company. The managers and board of directors would like to hear about the past performance of the team responsible for the expansion. The tone of this business plan will be a blend of informative and persuasive tone. The key is to know the audience that will be reading the business plan and their expectations. Check out America's Best Bookkeepers

  1. Setting Clear and Realistic Goals

Before writing a business plan, you must have clear and realistic goals for the business. Consider answering these two questions: What is it that the business wants to achieve, and what is the business capable of achieving? Although investors will invest in a project that has a sustainable future and is likely to generate high profits, making unrealistic sales projections will push the investors away. This means that proper market and industry research is needed to understand the customers, analyze the competition, gain awareness of the buying patterns, assess the market gaps, know the suppliers, and more. The more insightful the research is, the better. Always strive for realistic data. Avoid being unrealistically optimistic, as this will drive investors away.

  1. Listing the Necessary Components

Before writing a business plan, list the necessary components of a business plan. For example, every business plan must include information about the target market, an analysis of the industry, sales projection in the first three years, costs incurred in the first three years, a marketing plan, and the value it will add to the existing business or investors. This will help keep track of the plan and will ensure that an effective business plan is created. It will cover all the relevant aspects, helping investors and the board of directors make the decision. The purpose of a business plan is to convince the audience to believe in the project and persuade it to take the necessary action; therefore, it should include all the information that the audience would want to know. Check out America's Best Bookkeepers

  1. Know the Competition and Market Trends

The business plan must be written with the competition in mind. By this, we mean it must be competitive as per the standards of the industry. For example, the expansion plan must predict the objectives of competitors and dictate the suggested course of action to respond to these projections. This will help the company understand its significance while developing and maintaining a competitive edge in the market. If the biggest competitor is expanding into a new market, maybe it is time for you to move too!

A business plan requires a lot of effort and research before anything is even put down on paper. When backed by proper research and factual data, this plan becomes more effective and persuasive. It can convince the audience to take the necessary action, such as investing in the business, approving a new project, and more. Take care to ensure that your business plan is well-thought-out and meticulously organized. Do not rush!

Check out America's Best Bookkeepers About Complete Controller® – America’s Bookkeeping Experts Complete Controller is the Nation’s Leader in virtual bookkeeping, providing service to businesses and households alike. Utilizing Complete Controller’s technology, clients gain access to a cloud-hosted desktop where their entire team and tax accountant may access the QuickBooks™️ file, critical financial documents, and back-office tools in an efficient and secure environment. Complete Controller’s team of certified US-based accounting professionals provide bookkeeping, record storage, performance reporting, and controller services including training, cash-flow management, budgeting and forecasting, process and controls advisement, and bill-pay. With flat-rate service plans, Complete Controller is the most cost-effective expert accounting solution for business, family-office, trusts, and households of any size or complexity. Check out America's Best Bookkeepers
Your Own Business - Complete Controller

The biggest challenge faced by most business owners is that they aren’t skilled in selling their product or service. In some cases, you may want to hire a professional to handle marketing and sales. You will also want to understand the skills it takes to promote your business, products, and services.

Even if you hire a professional to handle this aspect of your business, you are not off the hook. Because you are the owner and the main representative of your business, you must have the skills necessary to sell yourself, your business, and the products or services it offers. Everyone wants their business to be a success, or they wouldn’t bother to have a business, but you have to invest in your skills to sell it to others for that success to come to life. Check out America's Best Bookkeepers

These skills need to include one on one interaction along with the ability to speak to groups. There may be opportunities that come about for you and your business that will require public speaking skills. However, even if you never have to engage in public speaking, having that skill will still help with confidence and sell your goods and services no matter the scale. Here is how you can have the skills to own and operate your own business.

Communication is Key

Everything does eventually fall into place once a person is willing to make an effort. Every single thing is hard at its start. Just like riding a bike, a person learns it with trial and error and succeeds in the end with different experiences. Learn the art of putting oneself out for the sake of business and be ready to speak confidently, even in the most uncomfortable situations.

Communication is the most important part for any individual starting fresh. As a new business owner, a person must keep a check on the network and market regularly. From networking with customers and structuring supplier payment, a person must have great communication and convincing skills. Check out America's Best Bookkeepers

Know Every Aspect of the Business

Although initiating a business has varying degrees of challenges, you must know the business’s legal aspects. While having the skills to sell your products and services is heavily focused on, one legal issue can destroy a business.  Therefore, understanding any regulations that can affect your business will be necessary.

Another aspect of the business you need to understand is the accounting process. Whether you hire a professional to handle accounting and bookkeeping or do it yourself using accounting software, you should understand everything there is to know about this aspect of the business.

One other aspect of the business you need to be skilled in is the hiring process. Whether your business needs to be staffed right away or later as your business grows, you must understand how to implement every aspect of the hiring process. The process includes posting the job, filtering out viable candidates, conducting the interviews, and making employment. Check out America's Best Bookkeepers

Supplement passion with education

The most important ingredient for any successful business is to have a driving force. Once a person has a passion for something, they can achieve so many goals. It is important to understand that an individual shouldn’t be making all decisions with passion with everything in place. While passion can be the driving force behind the business, education and gaining all the skills needed to run your business successfully will be a necessary supplement to this passion.   

Conclusion

You must include other professionals that can further aid in the progress of the business. These professionals include lawyers, financial advisors, accountants, marketers, and any other professionals specific to your business type.  No matter how many others are involved in your business, as the owner, you should have the skills to handle every aspect of the business. If you find that you have a deficit in those skills, you must get the education needed to add what is needed to your skillset.

 

Check out America's Best Bookkeepers About Complete Controller® – America’s Bookkeeping Experts Complete Controller is the Nation’s Leader in virtual bookkeeping, providing service to businesses and households alike. Utilizing Complete Controller’s technology, clients gain access to a cloud-hosted desktop where their entire team and tax accountant may access the QuickBooks™️ file, critical financial documents, and back-office tools in an efficient and secure environment. Complete Controller’s team of certified US-based accounting professionals provide bookkeeping, record storage, performance reporting, and controller services including training, cash-flow management, budgeting and forecasting, process and controls advisement, and bill-pay. With flat-rate service plans, Complete Controller is the most cost-effective expert accounting solution for business, family-office, trusts, and households of any size or complexity. Check out America's Best Bookkeepers
Startups Fail - Complete Controller

In the world of startups, the failure of a business is considered as a learning opportunity. Identifying the reason for failure and converting it into a success is one of the biggest achievements that an owner embraces. According to research, nearly 51% of businesses often fail initially. If businesses want to innovate and put their best foot forward, they need to accept that there is always a risk involved in every entrepreneurial venture.

Reasons for failing startups Check out America's Best Bookkeepers

  • Lack of Brand awareness

Many startups focus more on making exquisite offices rather than marketing the products or services they provide. One business expert noted that “Initially, no customer was interested in our business model because of the lack of brand awareness.” New businesses fail when they are not taking care of market issues. To make a business successful, it is essential to cater to all marketing-related issues and create brand awareness among potential customers. 

  • Running out of money

Proper time and money allocation is the key to a successful business. However, the question arises on the best way to allocate a budget and often remains a challenge. Research has found that inappropriate allocation of money is the most common reason for business failure. Startup businesses usually run out of money due to careless and unplanned spending.

  • Mismanaged team

The diverse team is one of the most important factors of a successful business startup. Team diversity is frequently referred to as one of the main ingredients for organizational achievements. Finding the best team is the biggest challenge for the businessperson, and the startup requires strong recruiting consults which can bring the best team for future growth. Check out America's Best Bookkeepers

  • Customer Ignorance

Ignoring consumer needs and inappropriate marketing sometimes leads a startup towards producing goods that are unsafe and unsustainable for the environment and customers. Ignoring the need of potential customers is the main reason for the startup’s failure. It is a fatal mistake that a startup usually makes when not collecting consumer’s feedback and surveys before launching a product.

  • Unplanned product launch

It is important for a business startup to analyze the correct time and the need for a product before launch.  The company should not launch a product too early without creating a need for that product. Without tapping the target market first, the product will not be able to create a brand image in customers’ minds, and if a company launches a product late, it may miss the first-mover advantage.

  • Poor product quality

The startup business can go down on its very first day if they ignore the quality of the product. It should be the primary focus of the business to provide better quality at a premium cost. The low-quality product can easily ruin the company’s image. The poor quality product can increase a company’s expense and hinder the long-term growth if not improved on time. Check out America's Best Bookkeepers

  • Losing focus

It takes a lot of time, money, effort, and focus on initiating a business. Startup businesses usually fail if they get distracted easily and lose focus on their target goals. Success is not achieved overnight; however, to make a business successful, a company must focus on its target and perform its task with dedication.

  • Untested product

Testing and pivoting the product before launching it decides the product’s life. It takes a lot of time and money to build a business, so it is imperative to test the idea before injecting the product into the market. A startup usually fails because they do not take the beta test before developing a product.

Above are some reasons that cause startup failure, but a company can outshine and achieve a maximum market share by realizing these mistakes.

Check out America's Best Bookkeepers About Complete Controller® – America’s Bookkeeping Experts Complete Controller is the Nation’s Leader in virtual bookkeeping, providing service to businesses and households alike. Utilizing Complete Controller’s technology, clients gain access to a cloud-hosted desktop where their entire team and tax accountant may access the QuickBooks™️ file, critical financial documents, and back-office tools in an efficient and secure environment. Complete Controller’s team of certified US-based accounting professionals provide bookkeeping, record storage, performance reporting, and controller services including training, cash-flow management, budgeting and forecasting, process and controls advisement, and bill-pay. With flat-rate service plans, Complete Controller is the most cost-effective expert accounting solution for business, family-office, trusts, and households of any size or complexity. Check out America's Best Bookkeepers
Cash Flow Strong - Complete Controller

One crucial concept for entrepreneurs to understand is that it becomes difficult for a business to survive in the market when its’ expenditures surpass its’ income. All businesses, particularly start-ups, must keep a sharp eye on cash flows in order to avoid serious business collapse. When it comes to a business, income is the number one priority.

An important element of cash flow is that it provides vital indicators of a business’ current financial health. As important as it is for business owners to know about and manage different sources of income, they must also have an awareness of cash inflow so that they may allocate their time and energy accordingly. It is the responsibility of entrepreneurs to know the exact figures of cash flow as these alerts them of where and when to spend. Check out America's Best Bookkeepers

What Entrepreneurs must do?

Entrepreneurs must keep business owners updated with accurate daily cash flow to plan for a better spending process. On the other hand, those owners who are not aware of cash flow predictions put themselves at risk of failing in the market.

From the start, every business must follow and evaluate their cash and how much must be paid to employees, vendors, and others. Additionally, they must be aware of the amount they are getting as profit from their customers. If this is not done, the business could be at risk of failure. Not knowing the inflow and outflow of the cash in a business can create serious trouble. Check out America's Best Bookkeepers

How to manage the cash flow?

The following points illustrate how a business owner can easily manage cash flow in their company and have an accurate representation of its financial health.

Make a budget

Understanding the inflow and outflow of cash is important to develop a better plan for spending. Timing is the key to creating a budget that details when to buy tools, supplies, and raw materials and how much sales are coming weekly, daily or monthly. The budget should include everything from salary payments and daily expenses; every penny spent should be added to the budget. This budget must also include the peak times of the cash inflows and outflows.

Track your Budget

Keeping track of your budget should not be a timely process, but it is crucial that every business owner make a frequent analysis of the plan to ensure higher cash inflow. An accurate overview of cash flow must be taken regularly to pinpoint issues and trace them to their source. If the budget shows a decrease in expected values, it is important to find its reason. However, if the outflow shows an influx of more than expected, sourcing this reason is also crucial.

After the causes of any discrepancies are determined, the owner can make alterations and corrections to business planning and/or the budget. Check out America's Best Bookkeepers

Include a Plan B as Backup

Having a solid Plan B is a wise precaution for any business. This Plan B not only benefits the business in the long-term, but it also offers support for the company by bringing awareness to which measures must be taken if certain troubles arise.

No matter how much time is spent on creating a budget, every business must be prepared for sudden causalities. These losses may cause havoc among members if the company is not well prepared. Having a backup plan saves time that would be spent in chaos and allows it to contribute to dealing with the trouble.

The Plan B must cover the cash inflow in order to keep the system running when all sources fail and should hold the business stable until operations return to normal.

Provide Bills faster

Making the billing process faster and more accurate can improve circulating cash quickly. A great technique for faster cash inflow is to give discounts to customers who pay bills within 10 days. Delaying the billing process for more than 30 days places much stress on the business, as it may be in urgent need of cash. Such conditions can create financial instability in a company.

Check out America's Best Bookkeepers About Complete Controller® – America’s Bookkeeping Experts Complete Controller is the Nation’s Leader in virtual bookkeeping, providing service to businesses and households alike. Utilizing Complete Controller’s technology, clients gain access to a cloud-hosted desktop where their entire team and tax accountant may access the QuickBooks™️ file, critical financial documents, and back-office tools in an efficient and secure environment. Complete Controller’s team of certified US-based accounting professionals provide bookkeeping, record storage, performance reporting, and controller services including training, cash-flow management, budgeting and forecasting, process and controls advisement, and bill-pay. With flat-rate service plans, Complete Controller is the most cost-effective expert accounting solution for business, family-office, trusts, and households of any size or complexity. Check out America's Best Bookkeepers
Overwhelmed entrepreneur - Complete Controller

Before starting a business, it is necessary to what it is to be an entrepreneur; although it is a good career, it can be exceedingly difficult to achieve the goals that we set.

Therefore, we must know what the advantages and disadvantages of being an entrepreneur before creating a company are. Knowing the pros and cons of the undertaking will allow us to know what to expect as we embark on an entrepreneurial journey. Check out America's Best Bookkeepers

Advantages of entrepreneurs

First of all, it is essential to discover the benefits of entrepreneurship for people. If you have been an employee, entrepreneurship can be a positive change for your life.

Work on what you want

The entrepreneur chooses the job he wants, either because he has a business idea or because he decides to pursue a field of interest. Sometimes it is the dream job, or sometimes it is a job that we like. Either way, entrepreneurship is a job one chooses, making it possible to work with more motivation.

In addition, to choosing your work, you are also the one who chooses your team. If you need associates, you can choose the right people to make the best employees for your business.

Work autonomy

The entrepreneur becomes their own boss, so you decide what to do when to do it and how to do it. You manage your business as you see fit, but beware that great power carries great responsibility, so all your decisions should with made in the best interest of the business. Check out America's Best Bookkeepers

Greater profits

Beginnings are often complicated, but starting a business provides you the opportunity to leave the comfort zone of current payroll and aspire to greater income. If the company is doing well, you can get more money monthly income. Hence, your work and efforts are worth more money than ever.

Personal satisfaction

Personal satisfaction is what inspires entrepreneurs. Creating something new, working for it, and watching it grow gives you a sense of satisfaction that cannot be described. There are many difficulties that people encounter, but the joys that come from achieving goals that seemed insurmountable are greater.

Disadvantages of undertaking

At the time of undertaking a venture, you realize that not everything is easy. Entrepreneurship has positive and negative aspects. Here are some of the disadvantages of being an entrepreneur and the risks involved. Check out America's Best Bookkeepers

Great sacrifice and dedication

Forget the consistent 8-hour workday with a predictable schedule. The life of the entrepreneur is very fluid, especially in the initial steps of creating a business. You often know when you begin your workday but not necessarily when it ends. Sometimes, it is necessary to work evenings and weekends to be able to meet the needs of your business.

Entrepreneurs often become superheroes and take on jobs that had not previously been done. You probably work alone or with a small team, so you have to work overtime and develop new skills to do all the necessary work. Free time as you knew it is now generally devoted to your new venture.

Discipline

Not everyone knows how to manage their time properly to accomplish all the tasks they need to. Being your own boss means it is necessary to be disciplined and manage your time in a way that enables you to achieve your business goals. Otherwise, the consequences for the business can be fatal.

Uncertainty and economic risks

It is true that we can achieve greater benefits if our company is doing well, but nobody assures us the business will succeed. In the beginning, the bottom-line will often look like a rollercoaster of expenses and little income. We may have some good months, but the next our activity is null. There is no fixed monthly income for a growing business, and economic uncertainty of the company is a reality for the entrepreneur.

 

Entrepreneurs are experts in living in a state of uncertainty.  However, it might be worth the risk to have an escape route that can support you in case of emergency.

Check out America's Best Bookkeepers About Complete Controller® – America’s Bookkeeping Experts Complete Controller is the Nation’s Leader in virtual bookkeeping, providing service to businesses and households alike. Utilizing Complete Controller’s technology, clients gain access to a cloud-hosted desktop where their entire team and tax accountant may access the QuickBooks™️ file, critical financial documents, and back-office tools in an efficient and secure environment. Complete Controller’s team of certified US-based accounting professionals provide bookkeeping, record storage, performance reporting, and controller services including training, cash-flow management, budgeting and forecasting, process and controls advisement, and bill-pay. With flat-rate service plans, Complete Controller is the most cost-effective expert accounting solution for business, family-office, trusts, and households of any size or complexity. Check out America's Best Bookkeepers
Entrepreneur COVID-19 - Complete Controller

Covid-19 did not only disrupt the business world, but it has also opened the doors for several entrepreneurs to capitalize on this stagnant time by pursuing their passions. Due to many day-to-day operations being halted, many companies have either gone bankrupt or stopped functioning.

Covid-19 has drastically affected many large businesses while also shifting the masses to virtual markets and social media platforms that cater to their customer’s day-to-day needs. Many online business platforms have attained an unprecedented escalation during covid-19. Check out America's Best Bookkeepers

The idea is that most consumers have shifted towards making their purchases online now that most stores are closed. As a result, having a successful online store and a strong digital presence has become many company’s top priorities. This way, even though many doors closed due to COVID-19, the chance to become an entrepreneur lives on. It is true that there always is a light at the end of the tunnel. Consider starting your entrepreneurial venture with these incredible tips.

Live Your Dream

Social distancing has forced us to stay locked inside our house as if the world had burnt down. We all worked hard, hoping to achieve our milestones before COVID-19 took us by surprise. However, with our world taking a full 360* turn, most of us are wary about the days that are yet to come.

That said, if you are passionate about achieving bigger things in life, you can still pursue your dreams in times of coronavirus. Whether you are an artist or a businessperson, you can use your creativity to your benefit. In case you didn’t know, here’s how! Check out America's Best Bookkeepers

Be Creative

Your creativity and skills are what make you, you. These aspects shape and polish your personality like no other, preparing you for the challenges ahead. All you must do is devise the right strategy suitable to your goals. The chances are that your creativity will unlock many doors and assist you in achieving your dreams.

Use the Right Tools

One of the worst things you can be is oblivious to the many innovations being made in the world. Advancements are taking over, and you should use them to your advantage. For example, starting your entrepreneurial venture is no walk in the park, especially with coronavirus at hand. There is no way you can survive as an entrepreneur if you don’t use the proper tools.

One good strategy to become a successful entrepreneur is by using social media. You can promote and establish an online e-commerce business on your own without having any restrictions placed on your venture.

Adapt

If you do not adapt to the latest trends, you may be leading your venture down the drain. However, in times of coronavirus, you must adapt to this change if you wish to achieve success as an entrepreneur. This will help you to penetrate your offerings into the market without much hassle. Next time you find yourself skeptical and worried about the consequences COVID-19 has caused, be sure to adapt to the different settings to fit your needs. Chances are, you will find your brand expanding past horizon after horizon in all-new ways. Check out America's Best Bookkeepers

Be Optimistic

Your venture will not bring you larger-than-life returns the day it begins. Success takes time, and chances are some days you will be on edge.

Considering the gloom COVID-19 has brought with it, it is easy to become depressed and negative. However, it is crucial to try to remain optimistic. Believe that things will get better and that your end goal is near.

Bottom Line – Generate Substantial Returns

Once you have devised the right strategies to start your venture as an entrepreneur, use them to your advantage. You will be surprised a few months down the line when your business generates returns. Your career as an entrepreneur will grow, achieving milestone after milestone. However, ensure to take a subtle approach and remain humble while on your way towards success in times of COVID-19. The chances are that the results will take you by surprise.

Check out America's Best Bookkeepers About Complete Controller® – America’s Bookkeeping Experts Complete Controller is the Nation’s Leader in virtual bookkeeping, providing service to businesses and households alike. Utilizing Complete Controller’s technology, clients gain access to a cloud-hosted desktop where their entire team and tax accountant may access the QuickBooks™️ file, critical financial documents, and back-office tools in an efficient and secure environment. Complete Controller’s team of certified US-based accounting professionals provide bookkeeping, record storage, performance reporting, and controller services including training, cash-flow management, budgeting and forecasting, process and controls advisement, and bill-pay. With flat-rate service plans, Complete Controller is the most cost-effective expert accounting solution for business, family-office, trusts, and households of any size or complexity. Check out America's Best Bookkeepers
Decisions in Your Business - Complete Controller

Almost every single day, businesses have to make decisions about risks. Without risks, businesses fail to thrive and don’t make any progress. Almost every business includes concerns about hiring new personnel, possible failures, and future acquisitions, and every single business has a risk element. The crucial part of every business is to make timely good-choice decisions that could turn out to be fruitful for the business; however, the right decision balances between reward and risk.

Businesses taking a higher risk with little rewards put their business at the edge of getting themselves kicked right out of the game. Businesses that don’t take any risks could be missing out on the opportunities they need to grow and survive in the marketplace. Five tips to help you assess risks to make decisions in your business. Check out America's Best Bookkeepers

What is important for Identifying Risks?

The risks can be external, like market fluctuations or weather conditions; the risks can also be from inside the business, like training costs and large capital purchases. In any decision-making process, the company must know from:

  • Where will the risk occur?
  • What situations might bring those threats into reality?
  • What would be the possible damage that might come to the business for neglecting those risks? Check out America's Best Bookkeepers

Prioritizing Risks

When the risk is identified, the business should also calculate the risks that might occur. The businesses getting into higher risks should always prioritize the risks that might become a threat for them in the near future. However, a company not getting into the storms of risks will not be facing a blizzard of trouble. The higher amount of risk a company puts itself in gets a higher amount of rewards and threats, which opens new doors to success or failure. However, the failure can be avoided if the business makes the right decision about which risk to handle and how to handle it.

Developing Strategies

Building strategies to tackle risk is an important aspect that must be handle carefully by any business’s risk handling team. Strategic planning is another feature of the decision-making procedure which minimizes the risk dealt with by the company. A well thought out plan helps provide a company with the tools to eliminate the risks that could be avoided and decrease the damage of unstoppable dangers. A strategic plan further keeps the business from being caught by the element of surprise by the dangers of predictable risks. Getting well prepared with a plan before the risk turns into reality makes the decision-making process much easier and aids the company make timely and correct decisions. Check out America's Best Bookkeepers

 Measuring Progress

When possible risks are at the gate, a business must also calculate and evaluate its decision-making processes. Businesses must further focus on their methods and effectiveness, get it straight to where the mistakes occurred, and develop their strategies according to needs. As customer tastes, market, legal terms, and technology change, new risks start to develop, which companies must handle carefully. The businesses need to know and rank these newly occurring risks, make new methods of handling risks, and review these new strategies‘ pros and cons.

Steps to follow for efficient Decision Making

It is important to have a decision calculation process that helps in the company’s betterment and aids in the company’s growth process. The decision evaluation process can be divided into seven steps, which are:

  1. Know what decision is being made
  2. Gain information based on data and facts.
  3. Know the substitutes that can be used.
  4. Understand and calculate the evidence.
  5. Choose from the substitutes.
  6. Take action based on data and facts.
  7. Finally, analyze the decision that is being made.

Decision making helps in dealing efficiently with the risks that can be avoided at the early stages of their development and eliminate them permanently with changes in the market.

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Successful Small Business - Complete Controller

When starting a new small business, there are several areas of the startup process that an entrepreneur must execute to ensure the business launch’s success. Starting a new business can be a challenge. In light of this challenge, here are eight steps entrepreneurs can take that will help avoid making mistakes that will hurt a new small business.

Create a Business Plan

A well-written business plan with all the components needed for potential lenders, partners, and investors is essential for every small business to have. These components include an executive summary, company brief, organizational structure, market analysis, marketing plan, sales strategy, and financial plan. Your business plan will be upgraded and changed as your business develops and grows. However, the initial business plan should be focused purely on the needs of the startup. Check out America's Best Bookkeepers

Do Market Research

Though market research is included in the business plan, it cannot be stressed enough how important it is that a new business owner is aware of its market. Knowing your ideal demographic, the geographic advantages, competitor best practices and weaknesses, and other information that market research reveals will be essential at startup and beyond.

Build the Right Team

While a successful small business needs to have a strong and knowledgeable owner, it is equally important to have the right staff. When hiring for your new small business, you must consider skills and experience, but you also need to consider how your staff will function as a team. As opposed to a larger corporation, a small business is dependent on the team getting along well, so aspects of potential employees beyond skills and experience will also need to be factored into the hiring process. Check out America's Best Bookkeepers

Create an Optimized Website

When the Internet first started, having a company website seemed like an expensive and complicated dream. In today’s digital world, it is an assumption that any business has a website. A small business must have an informative website and lets potential customers know what your business offers. It also has to be optimized with keywords and other data so your business will show up in search engines. Many sites offer free website templates, or you can hire a professional to build and host a website for you.

Obtain Solid Financing

Financing your new small business will be essential. It may be impossible to even launch without it. There are many types of financing to consider if you are unable to finance your startup yourself. Some of the financing types include investors, friends or family loans, bank loans, and grants. The most crucial aspect of the financing is that you have plenty of capital to operate while working to profit. Most businesses that fail do so due to poor finances.

Pricing Your Products and Services

Pricing your products and services may seem like a difficulty. If you price too high, people may not even give you a chance, but if you price too low, you may risk not covering costs and not making a profit. Pricing is another area where research is key, and knowing the market you are in and what others in similar businesses in your area are charging will be vital to setting your prices correctly from the start. Check out America's Best Bookkeepers

Invest in Marketing

Many small business owners believe they can’t afford marketing. The idea that you have to run ads or slap your product or service on a billboard may seem overwhelming or expensive. In the digital world, when it comes to marketing, you can spend little to no money and drive a lot of business your way if you know what to do. Using social media and some low-cost advertising strategies will make marketing not only inexpensive but easy to accomplish.

Focus on Accounting and Bookkeeping

Since the entire purpose of having a business is to make a profit, every company’s main focus is financial. From the beginning of your small business, you should have an accounting and bookkeeping plan in place. Whether it is employing an accountant or bookkeeper or using accounting software, do not start your business without this in place from day one.

Check out America's Best Bookkeepers About Complete Controller® – America’s Bookkeeping Experts Complete Controller is the Nation’s Leader in virtual bookkeeping, providing service to businesses and households alike. Utilizing Complete Controller’s technology, clients gain access to a cloud-hosted desktop where their entire team and tax accountant may access the QuickBooks™️ file, critical financial documents, and back-office tools in an efficient and secure environment. Complete Controller’s team of certified US-based accounting professionals provide bookkeeping, record storage, performance reporting, and controller services including training, cash-flow management, budgeting and forecasting, process and controls advisement, and bill-pay. With flat-rate service plans, Complete Controller is the most cost-effective expert accounting solution for business, family-office, trusts, and households of any size or complexity. Check out America's Best Bookkeepers
Entrepreneurs Fail - Complete Controller

Recent studies show about one-fifth of startups fail in the first year, and almost half fail within five years. The survival rate for ten years or more is only one-third. Entrepreneurship comes with many risks, and one is never sure whether the business will survive the rough storms of business ownership. Therefore, people who are not comfortable with entrepreneurship’s uncertain nature prefer working as employees all their lives. But why is entrepreneurship risky when it comes to starting and running businesses? Here are three reasons entrepreneurs fail in business and how to avoid them. Check out America's Best Bookkeepers

Inadequate Management of Resources

Often small businesses overspend their resources in the first few years because they want to give the venture all they have to make it successful. However, successful businesses do not require an abundance of resources but better management of resources. Spending a lot of money in the first year means that the business is left with little or no money for the future. Also, small businesses are unable to manage their human resources effectively. The success of a business depends on the strengths of its team. Small businesses and entrepreneurs avoid hiring the required professionals. They try the allocation of several tasks to one person, which causes trouble for the company. Employees wish to work for multinational organizations, and finding a skilled workforce becomes a challenge for the businesses. The lack of management of resources by the company leads to the failure of the business. Check out America's Best Bookkeepers

Lack of Marketing Efforts

Marketing and advertising are important endeavors for all businesses, large or small. Choosing the right strategies for marketing, sales, and advertising is critical to the company’s success. Entrepreneurs often invest little effort in marketing their business, which fails to attract the target audience; therefore, the business fails. Recent studies on business failure show the small businesses avoid vigorous marketing because they cannot compete with market giants. However, they fail to understand that marketing does not mean making sales more than competitors. Marketing is the process of knowing the target market, analyzing their needs, developing efficient products for the target market, making potential customers aware of the product, and making sales. If any step in the process is not performed properly, the business is likely to fail.

Over-Expanding the Business

A few sales at the start of the business does not indicate expansion. Over-expansion occurs in two ways. Firstly, when businesses receive a few orders and make sales during the first few weeks, they start taking more orders which they cannot fulfill due to the limited resources and experience. This affects the quality of products and services provided to the customers and decreases the repurchase chances by the customers served in these chaotic periods. Customers are always looking for personalized experiences with the company, which is impossible if the company is trying to serve more customers than it can handle. Secondly, the companies start investing in the business, based on the few sales made. More inventory is added, new machines and equipment are purchased, more staff is hired, and a vigorous expansion is witnessed. Check out America's Best Bookkeepers

On the contrary sustainable businesses demand calculated expenditures. Also, a few sales do not determine the demand and potential of the business. Small businesses must be reluctant to undergo major expansions until they have successfully implemented their initial business plans.

Conclusion

Unlike multinational organizations with abundant resources and the ability to take risks, small businesses cannot endure high risks. In case of a failure, the stakeholders will face huge losses. Entrepreneurs need to understand that running a successful business demands maturity, patience, and the ability to make an efficient, smart, and calculated decision. It demands control of the impulsive attitude of young and inexperienced entrepreneurs. However, a balance between avoiding risks to avoid undue expenses and taking risks to enhance profitability is the key to a successful business.

Check out America's Best Bookkeepers About Complete Controller® – America’s Bookkeeping Experts Complete Controller is the Nation’s Leader in virtual bookkeeping, providing service to businesses and households alike. Utilizing Complete Controller’s technology, clients gain access to a cloud-hosted desktop where their entire team and tax accountant may access the QuickBooks™️ file, critical financial documents, and back-office tools in an efficient and secure environment. Complete Controller’s team of certified US-based accounting professionals provide bookkeeping, record storage, performance reporting, and controller services including training, cash-flow management, budgeting and forecasting, process and controls advisement, and bill-pay. With flat-rate service plans, Complete Controller is the most cost-effective expert accounting solution for business, family-office, trusts, and households of any size or complexity. Check out America's Best Bookkeepers