Better be the head of ants than elephants. Once the pretext of employers. Entrepreneurship is indeed very tempting. With the right attitude, success is not just a dream.
If you look at Bill Gates or Mark Zuckenberg, would you be tempted by their extraordinary wealth. But are you aware, that they also start from their small businesses. And none of those who guessed scored a success as it is now.
Startups that turned into a successful company worth billions and even trillions, in the business world is not different than winning the lottery. Put all your money and hope to get the jackpot, you are going down.
Here are 10 rules to start small businesses. This list is to make you aware of the fact that there is, rather than insanely pursue your highest dreams in business.
More realistically. When creating a business model, look around and find a successful example of a business model that you want, and learn. If you can not find, whether you exceptional genius, or your business model is not going to work in the real world.
Don’t invest their own money. Since most business is a risky trip, look for a partner. So, if everything does not go all the plans, you’re not going to go bankrupt because of start-up funds before, and did not pursue the debt.
Enslave themselves. If you are not willing to work hard, long hours, forgetting personal gain and health, entrepreneurship is not for you. At first, you definitely will not be able to pay employees, even though employees were cheap. So, your employees, is your own.
Appreciate the time. Give a monetary value on your time, for example Rp20 thousand per hour. This will help when you have to make decisions: When a store charge Rp10 thousand for shipping every week, and it takes 2 hours to go to the store by yourself, then pay continues postage from the company, because it is cheaper. It may be against the rules to 3, but even though slaves also have economic value.
Recruit employees well. Regardless the size of your business, you will eventually hire employees from outside. To that end, do the recruitment process carefully, without haste, and treat it as important when you start a business. It is unfortunate the attitude of business owners who have a vision for their business, but to recruit employees who actually prevented achieve that vision.
Sell the benefits, not the price. When you start a business, naturally you frustrated marketing. But, if you compete on price, you are ultimately the selling with a mediocre or even below the capital. Master the skills to communicate with customers, to explain that the price of your product is higher because it has better value.
Know basic numbers. Knowing how much money you need for running the business – from the rental shop, electricity, employee insurance, until the price of printer ink, paper, and taxes. And for all that with how many days in a year you will open, and … that’s the basic figure – the minimum amount of income you need each day. If you never thought about the basic numbers, think again.
Use the latest technology. Newer technologies such as applications and data in cloud technology saving very cheap and make a small company can compete with larger companies. Take advantage of low-cost technologies on the market.
Treat vendors well. Treat your vendors and suppliers as possible, just as you treat customers. They can only give volume discounts based on the amount of your booking, or even in order to maintain good relations, and hope that there is an increase in volume in the future. A good relationship makes them also can understand the delay in payment, even give you free shipping.