Finweek English Edition - - BUSINESS - Not putting a proper goal on the ta­ble: Bad cash-flow man­age­ment: Not un­der­stand­ing the core of their busi­ness: Buhle Nd­weni

Small busi­nesses, like any other, of­ten find them­selves op­er­at­ing in a com­pet­i­tive en­vi­ron­ment. Ac­tionCOACH Busi­ness and Ex­ec­u­tive Coach­ing ex­pert Greg Ma­son says be­ing faced with com­pe­ti­tion is not the time to give up but to im­prove ef­fi­cien­cies within the busi­ness.

Ma­son points out on some of the com­mon pit­falls small busi­nesses need to avoid in or­der to run suc­cess­ful en­ter­prises: Small busi­nesses have a vi­sion for their goal, but some­times it’s not at­tain­able. Ma­son says small-busi­ness own­ers must strive to set real-

He says that the rea­son 80% of start-up busi­nesses do not sur­vive the f irst 1000 days is be­cause from the out­set they sur­round them­selves with the wrong so­lu­tions for the wrong mar­ket.

An­der­son em­pha­sises the im­por­tance for en­trepreneurs to re­search the type of busi­ness they want to ven­ture into, the mar­ket and best lo­ca­tion to reach cus­tomers and es­tab­lish a cus

tomer base.

“Many busi­nesses don’t do this well. You need to bench­mark the busi­ness. You can’t plan un­til you know how well the busi­ness is do­ing,” says Ma­son.

Ma­son says bad man­age­ment of cash flow is a huge chal­lenge, and small busi­nesses will of­ten find them­selves with­out enough money in the bank to ser­vice sup­pli­ers, es­pe­cially if some clients do not make pay­ment on time.

“If big busi­ness is in that field, they [small busi­nesses] will never win. Rather fo­cus [on ar­eas of the mar­ket] where you will make a huge im­pact for a lot of peo­ple and add huge amounts of value,” ex­plains Ma­son.

Be­yond the ex­pos, 10% of NSBC mem­bers are found through­out Africa in coun­tries like Nigeria, Ghana and Botswana.

“The rea­son we have that is be­cause you’ll f ind a lot of our SMEs in South Africa will want to start do­ing busi­ness with SMEs through­out Africa, so in­ter­trade among busi­nesses in the SME sec­tor in South Africa is be­com­ing al­most a way of t he f uture and small busi­nesses,” ex­plains An­der­son.

The My Busi­ness Ex­pos will be trav­el­ling across the coun­try with Dur­ban hav­ing one in June, Port Elizabeth in Oc­to­ber and Cape Town in Septem­ber, with a num­ber of road­shows in-be­tween to reach other ar­eas. buhlen@fin­week.co.za


Newspapers in English

Newspapers from South Africa

© PressReader. All rights reserved.