Becoming Profitable
Duty Drawback Software | Import Export Consulting | Processing Filing | Full Service
If you want to run your own business or if you have just launched your start up this article is for you. Today we are going to go over the best ways to take your young business and make it profitable as soon as possible. What does becoming profitable mean? In short, it means that your business generates a profit rather than a loss. A profit occurs when you generate more income than you spend. So, what are the best business practices to accomplish that?
First, you’ll have to come up with your product or service. When coming up with your product or service, the best thing to choose is something that you have an interest in. You need to center your business around products or services that you truly enjoy learning about. Stay within your area of interest and understanding or ‘circle of competence’. Remember, if you can sell someone of your why you can sell any product or service.
Next, you’ll need to have a business map or strategy. You won’t be able to get where you’re going if you don’t have an outlined path. How do you get from point A to point B? This first step incorporates different scenarios so that you’re ready for any problems or conflicts that might arise on your route. Your map should include a plan for how to make a profit. What can you do today, this week, this month to start improving your business’ quality of profit ratio? That is the point of a business map.
Lastly, you’ll need to understand the financials through and through. If you want to run your own business or startup you, not someone you hire, need to understand every financial part of the business. Running a business and staying in business relies on being profitable. If you don’t know your numbers you are just setting up yourself for failure. You wouldn’t fly a plane without knowing how to read the gauges, and the same applies to business. If you can’t tell if you’re making or losing money, you don’t understand the controls. So, understand the financials so you don’t crash your business.
If you can find a product or service that drives and interests you, follow a strong business map, and understand all of the financials of your business becoming profitable won’t be an issue. Do these things and your business will be in good hands
Assessing Your Competitive Advantage
Duty Drawback Software | Import Export Consulting | Processing Filing | Full Service
If you’re looking to start your own business, importing and/or exporting might be an option for you. However, before you jump the gun one thing you need to determine is what makes your business better than the competition. What is your competitive advantage? Today we are going to give you tips on how to find your competitive advantage and how to use it properly.
One of the most impactful things you can do is talk to your customers. Both your existing customers and prospective customers. Customer feedback offers a wealth of information that will help you understand your current positioning in the market and industry as a whole. They will give you insights into potential new offerings and could very well give you the answer you’re looking for: what your competitive advantage should be.
Another thing you can do is perform a competitive audit. Marketing audits track the marketing tactics your competitors use. Does your competitor publish content marketing? Do they use Google Adwords? What social media channels do they post to and are they affective? Take tactics that work and implement them into your business. The ones that don’t work, make them better and use them to your advantage.
Lastly, once you’ve found your competitive advantage, don’t make it a secret! Communicate your advantage to your customers and make sure it is backed by proven facts. This is called a value proposition and will become the defining statement of your company. The goal is to not only hook your customers on your value proposition but to also engage in a “tell me more” conversation.
Nailing your competitive advantage is only one of the critical elements in a strategic business plan but one of the most important. The competitive advantage is what can make or break your business so invest time in figuring out what the right answer is before doing anything else.
