10 FACTS about small business in Australia

10 FACTS about small business in Australia

 

  1. There are 2 million small businesses in Australia

  1. 97% of Australian businesses are small business

  1. Small business contributes 33% of the GDP

  1. The most dominating industries of small business are real estate service, construction, professional scientific and and technical services

  1. It provides 68% of national employment

  1. Small Business pay up to 12% of national tax contribution.  Medium Business 23%, Large Business 65%.

  1. Half the small businesses do not survive their first 5 years

  1. Cash flow is the most concerned management problem

  1. The majority of small businesses go bankrupt due to lack of strategic planning and poor financial management

  1. Most small businesses do not seek for professional advice

 

Statics and resources gathered from
ABS(Australian Bureau of Statistics): http://www.abs.gov.au/
ASIC(Australian Securities and Investments Commission):https://asic.gov.au/
ATO(Australian Taxation Office): https://www.ato.gov.au/
ASBFEO(australian small business and family enterprise ombudsman): https://www.asbfeo.gov.au/

Stopping Businesses from Failing

Stopping Businesses from Failing

The single most important thing to overcome business failure is the right mindset, the kind of mindset which positively embrace changes.

1. Forward thinking and vision set up

It is crucial to set up company’s vision, which will guide you through development and provide clear thoughts on decision making.

2. Frequent analysis on your business

There are many business analysis techniques. We have identified the three most popular techniques you should use for you business.

  1. SWOT Analysis
  2. A “Use Case Diagram
  3. Business process modelling

3. Planning for cash flow control

According to ATO(Australian Taxation Office), cash flow is the top concern problem for small business. Managing cash flow is critical and can be done with correct tool and strategy.

4. Be confident

Is is very common for a business to go through some hard times on occasion.  A business owner should be confident about the road they chose and learn from their failures.  Like Thomas Edison once said: “I have not failed, I’ve just found 10,000 ways that won’t work.”

5. Set up objectives

Clear and specific objectives with strategic planning will make sure the train stay on track and reaches its destination.  

6. Always think as if you are the customers

Customers drive income, no matter what kind of products or services your business offer.  Always focusing on your customers’ needs, will ensure you maintain your profit. Like the famous quote we all have heard “A satisfied customer is the best business strategy of all”.

7. Find an reliable way to resolve emotions

Running a business is hard in many ways, often you have to deal with struggles and problems which may burn you out physically and emotionally.  Finding channels to resolve the emotions will be very useful for you in the long term.

8. Be prepared for emergencies

Unexpected things happen from time to time, those who are not prepared can be destroyed in a blink of an eye.  No matter if it is natural causes, human causes or political causes, you should develop a plan and be prepared – it could save you a big time.

9. Be creative and different

Taking a creative approach could return you huge profit, although it often means taking risks. With reasonable risk analysis, in many cases, it is good to be bold and try something different.

10. Seeking professional advice

Running a business is tough, not to mention if you are running it yourself.  Seeking professional advice can provide you a thorough understanding about your business.  They will help you build a niche strategy and develop your business with their abundant experience.

 

Motivation – Make it happen

Success is about “not giving up – no matter how rejected you may feel”.  In October one of Thexton Dodd’s Consultants secured a new client, after many many many rejections.  The tenacity and attitude that they would not give up is testament to their motivation

https://www.youtube.com/watch?time_continue=3&v=h-KHWUq3B7I

Business Tips from 6 top Entrepreneurs

Here are 6 tips from 6 dynamic people that may interest you:

Chase Jarvis – CEO CreativeLabs
“Go after solving a problem that you have. Something that’s near and dear to you, not some random market opportunity. Because, when things get hard, if you’re chasing just the dollars, or a random market opportunity, you’re not going to be able to have the fortitude, the passion, to stay with it.”

Jon Acuff – Author of ‘Do Over’
“Hustle is an act of focus, not frenzy. Hustle is about subtraction and addition. It’s not about doing more, it’s about focusing on the things you need to do, in order to move your business forward.”

Sophia Amoruso – founder of nast Gal
“The people who told me no were the people who eventually told me yes.”

Lewis Howes – Author ‘The School of Greatness
“Follow your heart”

Nir Eyal – Authro ‘Hooked’
“It’s up to us as entrepreneurs, to see the world as it should be –not necessarily how it is. When you think you’re sure of the way things are, that’s when you get passed up and you don’t see the opportunities that real entrepreneurs envision.”

Guy Kawasaki – Canva and Author of ‘The Art of the Start 2.0’
“If you get a prototype out and you get enough people using it, you never have to write a business plan. A prototype is where you separate the BS from the reality.”
Reference:
Ryan Robinsons artical, 6 best tips from 6 top entrepreneurs,
http://www.entrepreneur.com/article/253916, Jan 6 2016

Are you going to a meeting or a chat with coffee?

I am still amazed by the amount of people who go to meetings with clients without a clear objective.  Twice this week I have talked to people who mention that they are going to meet with someone –  I then ask the question “What is the objective?”….

“its only a catch up to see what is going on” 

This tells me they have no plan for at the meeting and therefore they have no control over the outcome, which may have been beneficial to them or their business.

Before any meeting it worth spending time structure the meeting, this may include the information you want to share, the information you want to receive – and most importantly an objective, which should lead to a next action……  Otherwise are you just wasting your time?