Business strategy

Top 5 Business Strategies for Small Business Profits

Many small business owners know they want to make a profit and keep growing but they are a bit vague on how to do it. Most will rely on one or two proven methods revolving around buying cheap and selling high. But those are not the only strategies available for a small business. With the aim of growing into big business, it might be worth emulating some of their strategies as well.

Good Market Segmentation

It is always good to profile your customers’ needs. In the days before, this was only possible with the use of expensive customer research. These days it is possible to leverage the power of digital tools to learn of your customers’ needs. Doing segmentation allows you to target your customers better and even carve out a niche for yourself. If you are selling boots you should know those who prefer ankle length boots and those who prefer calf length boots. Then you can have velvet boots for the two kinds to separate your product. Calf boot lovers looking for an alternative will definitely love yours.

Get into partnerships

You can get into a partnership to help you deliver a better product/service. In the boots example, some clients may prefer boots with leather straps but you find that making leather straps is not your strength. You can approach leather boot makers and have them make these leather straps in your design. This way you deliver the customers’ expectations.

Streamline operations

Small businesses with low resources in manpower are always at a risk of   inefficiency as the owner tries to handle different things simultaneously. You can get over this by implementing a checklist. This will list and prioritize the different tasks and jobs that have to be done. Ticking off this checklist as you go along ensures that everything is covered.

Developing a marketing funnel

A marketing funnel can be defined all the contact points a business has with a customer up to the point of purchase. Developing an efficient funnel that keeps the customers flowing towards the buying point grows your profits by helping improve sales. This is an example of how you would develop a funnel for an online baby cloths shop for example.  Advertise on Facebook, lead the customer to a landing site, have the customer click on offers on the leading site to the checkout.

Be innovative

Being innovative keeps you ahead of the competition meaning that you capture the market before they can put their feet in. For example, if there is a rise for a rugged smartphones that can charge others, head to China and ask a cheap innovation to test the market. Always work to stay ahead.

Starting a business

How to Start a Business – Obtaining a Business License

For a business to roll its doors open and legally operate today, one of the few necessary steps to be taken by the proprietor involves obtaining a business license. It is an extraordinary document that makes the operations of a business certified and fully acceptable. And that’s why without it, any business is bound to be closed down and the owner arrested.

But as far as business licensing is concerned, regulations vary, often as per where the shop should be located and what one would be selling. A business license can be a yearly document, although others expire after a definite period. The certificate is paid for, although it could be somewhat expensive depending on a few notable factors.

If you are preparing to obtain a business license, it is important that you:

(1). Know your local requirements

You should be aware of where to get the document from, what your company code is the forms you should fill in and perhaps if there’s anything more. Basically, you are the one who needs the documents and thus you ought to tirelessly walk around until all the requirements are met. So, a great resource for you may include your local authority’s website, their physical offices near you and even the invaluable resources available online.

(2) Getting the License

It is vital to note that the process of obtaining the certificate can take a day or even more, mainly depending on the nature of the business and what’s needed from you. According to WikiHow, getting the License is down to how quickly you will fill in the forms and meet the mandatory filing fees. The cost can range from $25 to $125 or even more.

Some state and federal websites nowadays have made it easy to obtain the vital document. They have allowed swift downloading and filling out the “Business License” form before submission at the appropriate offices. But when you can’t find one, just head straight to the offices and ask for one.

(3). Collection of the Business License

The last process that is the wait may vary hugely depending on a couple of factors. However, a week-long delay or two could be the maximum length, especially when it is a corporation. During the very day of collecting the license, it’s often recommended that provides all the identification documents.

The parting shot

Whereas having this required document is inescapable, some businesses may be required to have more than one licenses. The process of obtaining them is basically the same, especially because state and federal authorities are the ones to issue them.