Elements for Small Business Success

Elements for Small Business Success:

1. Own space, assets.
2. Procure supplies and utilities on terms.
3. Hire good people.
4. Market.
5. Understand your industry.
6. See yourself as a professional service.

Own the longterm/permanent assets, and seek low cost rental/finance on short term assets/supplies, with a clear understanding of depreciation.

Own or have free the space/location for the business. Own the key tools of the business, even if they are computers, but be careful not to pay too much (buy trailing edge technology?). Rental on longterm assets is a leech. And for what? By definition 'longterm' assets have little or no maintanence costs.

Utilities, communication and supplies should be bought on terms. Be as self sufficient and efficient as you can and do not get locked into longterm contracts. Be Green and engender a spirit of eco-social-friendliness in employees.

Hire good pepole. If you cannot find good people, then WAIT. Reward your people financially and socially. Nothing is worse for morale and efficiency than human resource thrash. If you are running a sweat shop, or cattle farm, then one is not speaking to your business (you have other problems).

Establish a web (or media de jour) presence to get the word out - quickly.

Stick to knowledge-based, professional, relationship, special product/service business. Large scale commodity/services businesses are just that - large scale. One might grow to be that someday, but start with quality, attention and efficiency. Get to know others in your business and their stories of successes and failures. Attend industry meetings when you can. Get your people involved in the industry. Get to know the business zeitgeist.

Process improvements and innovation are for after you get established, but in the longterm can be the difference of whether you merely survive or thrive/grow.