How to become a better business owner

Starting a small business can feel like the fulfillment of a lifelong dream, but it’s important to do it right. Successfully running a business takes more than just passion; it takes knowledge and skill as well. The good news is, these are skills that can be learned. And for those who take the time to do it right, owning your own business can be incredibly rewarding, not only financially but also personally. Here are 12 strategies about how to be a better business owner.

• Stay focused. Don’t feel pressure to go for every opportunity that you encounter. Instead, stay focused on your plan and take the steps you’ve outlined to achieve it. Avoid getting side-tracked so that you can be productive and effective, rather than spreading yourself too thin.

• Know your strengths. Start a business that you understand, rather than venturing into something you know nothing about. Even if a particular industry has high returns, businesses built around your talents and interests give you a greater chance of success. It’s about more than profitability; you’re going to be working on this every day of your life, so create a business you’ll love. 

• Know your weaknesses. Even if you’ve been involved in your industry for years, there are still aspects of running a business that you’ll need help with. Whether that means hiring a great graphic designer or finding an IT guru for your team, employ knowledgeable individuals who you can learn from and see yourself working with long term.

• Have your pitch ready— always. You never know when you’ll meet the perfect business contact or potential investor. That means that you should be ready to deliver your pitch at all times. This doesn’t mean selling your business to everyone you meet. Instead, be ready to state your mission and service in a concise manner when the right opportunity arises.

• When it comes to spending, less is more. You may have heard the old saying, “You have to spend money to make money.” While this can be true, in the early stages of starting a business it’s more important to be smart with your budget. Be as frugal as possible by maintaining a low overhead. This will allow you to manage your cash flow and allow for any unexpected costs that may arise.

• Don’t be afraid to make mistakes. No matter how carefully you’ve planned out your business plan, you will sometimes encounter situations as an entrepreneur that you haven’t experienced before. You can become a well-rounded, savvy business professional by learning from your mistakes and treating every problem as a chance to learn something new and hone your skills.

• Keep it simple. If you need a large amount of capital to start your business, it could take years to get off the ground. Instead, find the best starting point and work from there. Keep your venture simple and manageable as an early stage project, and then demonstrate the value of your service before you seek investors. That way, you have a successful concept that will draw the right people at the right time.

• Tell the truth. You want your business to succeed, but that doesn’t mean that you should exaggerate success to endorse your venture. Base your pitches on goals you have already met or actions you have already taken, rather than making promises that you may not be able to keep.

• Be organized. The best way to run a business successfully is to have a clear plan from the start. Of course, plans won’t always pan out as expected. As an entrepreneur, it’s important to organize your time and keep yourself on a schedule. The downfall of many business ideas is bad planning, so make sure that you’re ready to follow through on your ideas.

• Make connections. You’re going to meet a lot of people as an entrepreneur, and the connections you make will be invaluable to your success. Maintain contact with clients and associates so that mutually beneficial working relationships can be achieved going forward.

• Make decisions. As a business owner, it’s your job to lead your team from the start. This means that you need to feel confident making decisions and going with your gut. You’ll be in charge of daily operations and the direction of your business overall, so being decisive is key.

• Always move forward. Owning a successful business means being a leader, and being a leader means looking forward. Know where you want your company to go and assemble a team that wants to get there as badly as you do. Take chances and be a pioneer, because sometimes you have to go beyond proven strategies and make your own.