To build wealth, you have to make sacrifices. In the pursuit of small business growth, there is a lot of give-and-take, but not all risks are created equal. There are a few sacrifices you should stop making now if you ever hope to achieve greatness.
Undaunted dedication to your business will not secure your destiny. For so many entrepreneurs they burn out or quit not because the work is hard, but because they confuse stubbornness with perseverance.
Keep perspective toward a rewarding venture. Here are Five Small Business Sacrifices that Can Derail Your Small Business.
1) Going it Alone. – No one will know the business as well as you do, but if your enterprise is going to grow, you can’t do it all by yourself. If you take on too much work, customer service will suffer. Reflect on your strengths and weaknesses and put the needs of your business first. What could a qualified job candidate do for your business? Don’t settle for just any candidate. After all, you’ve done it solo before. Your selection should be based on skill and how they will fit as an extension of your brand.
2) Handshake Contracts. – Whether it’s a contract with a client or business deal with a partner, many small business agreements are not always put in writing. A handshake can destroy your business. Let’s face it. Life happens. And when it does, it’s best to have an articular service agreement. If you think signed agreements slows down the pace of business, think about the long-term repercussions of a lost sale or a business dispute.
3) Personal Finances. – You may have started your business using personal assets, but as your business grows, you need to create boundaries. Open a business checking account and use a business credit card. If your audited, you’ll have something to show the IRS. Also, whether real, assumed or predicted, when your business experiences a slowdown, you won’t be dipping into your life savings. Keep an open conversation with your commercial banker. He or she may have options for you, such as a short-term business loan or a business line of credit.
4) No Breathers. – We often find small business owners give employees incentives and vacation time, but too few entrepreneurs take time off. The cost of your personal time can harm your health, sleep and family life. In fact, if your spending unlimited evenings in your business, you could be missing on opportunities to work on your business, such as business networking. Being overworked can lead straight to burn out. Reward yourself and carve out some time to reenergize.
5) Time Management. – One of the biggest sacrifices entrepreneurs make is that of time management, whereby goal setting falls by the wayside. Failing to plan is planning to fail. Beware of big time wasters and nonproductive tasks in the name of running a business. Delegate where you can so you can focus on company goals. Take time to set goals that are achievable, practical, quantifiable and detailed. Determine a workable period of time to hit your marks. Time management is a practical habit that should never be sacrificed.
Small Business Solutions
There is one more thing you should never sacrifice: A personal relationship with your banker. At Inspire Federal Credit Union, we’ve become one of the leading financial institutions in Bucks County, Pa., offering a variety of business financing solutions to meet our members’ needs. To learn more, call us at (212) 788-5270, extension 308.