Entrepreneurship is not for the faint-hearted because you must have the strength to accept failures and move ahead. Failures are unavoidable, but it provides valuable lessons for entrepreneurs who can build the foundation of success upon it. Defeating the odds can be highly rewarding and motivates to scale new heights by overcoming the challenges. It helps entrepreneurs to mature fast and make their business grow in the way planned, confirms David JC Cutler.
Whether you are a newcomer or a seasoned entrepreneur, you cannot stop trying to exceed your limits because it is the only way to turn your business profitable. The more creative and innovative you can be in your approach to establishing the brand by considering the competition, the higher are the chances of fulfilling your ambition of establishing your business on a firm footing.
Here are some challenges that are inevitable for entrepreneurs but quite manageable by taking the right approach.
Advice from David JC Cutler about cash flow management
Cash flow management is always a priority for businesses of all sizes, especially small businesses. Ebbs and tides in cash flow are unavoidable, and dealing with it effectively allows business owners to have the funds to pay for bills without waiting for checks to arrive. Delay in raising sales invoices is a major reason for precipitating cash flow problems. Most companies offer 30 days credit to their customers. However, rarely do payments come on time, partly because of the delayed raising of invoices and partly because creditors have the habit of paying late.
Waiting for bills receivables to run the show can often stress the cash flow. Taking steps to release invoices immediately on the day of sale and chasing creditors closely for timely payment help to maintain a steady cash flow. However, building enough reserves removes the dependence on incoming payments, suggests David JC Cutler.
Time management
Entrepreneurs always have their hands full. And the biggest mistake they make is when they try to handle almost everything independently. It results in an acute shortage of time, one of the severe bottlenecks in running businesses smoothly. Efficient time management by knowing where to devote time should help ease the pressure. Because prioritizing the issues helps to carve out some extra time for entrepreneurs who can use them more meaningfully. Start by making a list of the annual goals of the business. And your life, and drill down monthly and weekly goals. So that you can create a priority list of tasks and tick all the right boxes.
Start delegating tasks
For efficient time management, you must delegate some tasks to reliable workers who are important team members. Choosing the right man for the right job helps avoid re-working, speeds up the work, and improves productivity. Assessing the person or the organization to delegate or outsource the job is critical as any false move can damage the business prospects.
Be clear in explaining what you want from them and leave nothing to chance. Create SOPs and ensure that people stick to them so that you get the right help from them on time, improving process efficiencies.