I know that at this point we are all fed up. Everything is expensive, high prices for low-quality products; and what other thing could be worse than going to an outlet that used to be very successful only for you to realize it’s been put out of business.
Small businesses are the major victims of the financial crisis and this is basically because of the lack of some essential business tips every entrepreneur needs.
Here are reasons why most small businesses tend to fail in Nigeria:
Finance
Many Nigerians who fall under the category of being small business owners do not create a clear boundary between their personal expenses and the apportioned amount of money set aside for the business. Business owners need to set aside a certain percentage of the business proceeds as a personal salary so as to prevent frequent and excessive drawings. Also, a separate bank account is very essential and has to be created. This is a very large aspect of businesses that affects the business negatively.
Inadequate marketing
As much as marketing has taken its place in the world as one of the most lucrative ways of earning money especially in the COVID-19 pandemic world, most small business owners have taken it upon themselves to see marketing their business as an unnecessary strategy. Businesses that don’t gain a lot of profit most likely do not promote themselves and also don’t deem it as necessary.
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Delegation of authority
A small business owner with apprentices may be termed as a ‘perfectionist’ because mostly everything is done by him. Successful and large businesses have delegated – levels of authority, in different stages, and departments of the business. However, since successful businesses are engaging in authority delegation, why shouldn’t small businesses? Sole proprietors should delegate authority to their staff, section the business into departments and appoint whoever is suitable for the position. Do this, and watch how your stress reduces and how your successful business unfolds!
In conclusion, most business owners are always in a dilemma about one thing or the other, it’s either lack of funds or too much stress that leads to possible health issues. These business tips are here to get rid of your dilemma and have a successful business that doesn’t keep you on your toes on whether to fold up the business or not.
