5 MISTAKES OF MANY SMALL BUSINESS OWNERS THAT MUST BE CORRECTED

By Daniel O. Omotosho

In my researched and in my own experienced. I discovered some mistakes of many small scale business owners. Sometimes, few large scale business owners also involve on these mistakes but, in large scale business owners, these do not reflect much because, they have Banks as a backup or properties to support.

But in small scale, it is very easy to detect and see their mistakes openly.

Hear me well, these mistakes are not from the customers. Even, is not from the business itself but owners make it to affect their businesses in other to be folded up or to be crawling.

This happenes in the name of poverty, spend lavishly, trusting friends and so on.

If you're involved in these mistakes, make sure you correct yourself before it is too late.

Let's move on with those mistakes systematically;

1. CAPITAL: The word capital in business is the money you used to start or using for the business. Many small scale business owners spending the capital in the name of it is my money or cause by poverty.

Understand this very well. The money you gathered to start business is no more your own but business own.

The business capital is untouchable for you to know today. The profits from the capital is yours. Many of you that spending business money (capital), you are the little fox that's destroying your business. Here l am talking to those that involved in buying and selling.

The result of it, is business backwardness.

The capital that suppose to increasing, now decreasing.

If you want your business to grow. Stop spending the capital, always find means for the capital to be increasing in daily basis. That is how business used to grow.

Listen to me very well, anytime you sold goods, deduct your profit out of it which is your own then, go to market and replace the goods you sold with the remaining money which is capital. That is the best way to grow your business.

2. FEEL RELUCTANT:- This is another area we have to consider as business owners that result to your mistakes in terms of business standard.

This mistake has caused a lot of business owners to regret of being established certain business. Even, some do not bother at all. Feeling reluctantly is a great disease to the part of the business owners that have such behaviour.

How? When customer patronizes some business. Instead of attending to the customer in time, they feel reluctant. And it happens from owners and their staffs/workers, that is the one of the things that customers do not welcome.

To feel reluctant in the presence of the customers, shows that you are unrespectful, you are not care for your business, it also shows that if customers can go, they can go. You are okay.

Knows that you are downgrading your business personally. To attend to customers in time, is part of adding value to your business. Most business owners don't know how to relate with customers.

I remember one day, when l went to some where to purchase something. If l could not forget. I think it was sugar I wanted to purchase. When I got to the shop of the woman, she liedown inside her shop. I shouted, I want to buy sugar. Repeatedly three times. She couldn't stand up untill l shouted loudly again.

She reluctantly getting up and started talking to me nusensely. And l told her is not your fault just because the hausa man did not open. Since that day l did not patronize her again.

Therefore, feel reluctant in the presence of the customers will make you lost your customers.

Respect your customers and attend to them instantly anytime they get to you. Let your customers be one of your intimate friends. Respect is a reciprocal.

3. BORROWING MONEY OR LOAN TAKING:- Loan is the money one borrowed and later payback. It is good to borrow money to spruce up your business but, it is not advisable to set up a business with loan taking. Many people made this mistake which eventually result to shame and regret, when they do not have what to payback.

If you take loan or borrow money to set up a business as a small scale, from individual, finance bank or corperative or through other means then, you haven't started any business at all. Because where you passed to up, same place you will pass down.

When you set up a business with borrowed money or loan taking, there are things that you will be experienced.

Here they are;

1. You will be frustrated when paying back.

2. You will become slave to the lender.

3. You will never free to spend as you wish.

4. Your business will be crawling.

5. When your business is crawling people around you will see you as a prodigal son because they will not aware that you took loan.

Many people had found themselves in this mess, through their friends and other advisers, even some emulate others.

You, that is hearing me, If you continue to receive loan to set up then you are putting your business at risk.

Therefore, the best way is to try as much as possible to gather money when setting up business. Do not have it in mind of borrowing money or taking loan to start.

If you want to have rest, do not emulate those that doing that.

Note: The only way you can take loan is when your business has grown to a certain level and there will be enough profits to be paying back.

Or you have hundred percent assurance that the business you want to do will quickly fetch you instant money, because there are business like that. But if not so, do not attempt to borrow.A word is enough for the wise.

4. DIRTINESS: Every business owners must try as much as possible to correct this mistake. Very easy to destabilize and to make business crawling which we might think that it is the work of the enemies and which is not.

A lot of small scale business owners too dirty. Most especially those that selling eatable things. Their shop too dirty, their workers also dirty and the owners also dirty. That is why iresponssible people do patronize them.

Neatness is the one of the keys to upliftment and dirtiness is the one of the keys to downgrade business.

Not only those that selling eatable things alone, it's also applicable to any business owners. Any business you are doing don't be dirty. Neatness gives respect to the business and the owners.

The high class people love to patronize neat and respectful businesses. For example: look at Tantalizer, Mr Bigs, ShopRite and so on. Some of them start from small. One of the things that make them great is their neatness. No matter capital you pump into your business, without neatness it would not show.

Therefore, apply the principle of neatness personally, to your workers and the environment where your business is.

Develop the habit of neatness, let your shop or office be painted and well cleaned. Allow your workers to dress neatly.

The neatness of you personally, your office and the workers will determine the caliber of people that will patronize you.

5. SCALE OF PREFERENCE: A scale of preference is a list of goods and services, prepared for purchase in order of priority. It is so important for any business such as buy and sell to do this. Without this, it is very easy to find yourself into debt or spending lavishly.

In any business, you must control yourself to be able to operate with a scale of preference. It keeps business to be functioned in daily basis. Any business that knows the value of a scale of preference they always stand out.

Even, they maintain the records of all goods so that they would not miss any unavailable goods in there shop or warehouse.

So, when they begin to sell, they would be able to write down which one is not in their shop or warehouse base on their important. Writing down unavailable goods in your shop or warehouse in orderliness and to replace it by going to the market is what we called a scale of preference.

Most small scale business does not aware of this at all. They just go to the market and be cracking their brain of what they want to buy.

While their are some that maintain a scale of preference but their mistake is that, on getting to the market. They omitted most of what they have written down and be moved with unrelevant things they see at the market. Which is not part of the goods they sell. After getting home, they will begin to regret, and gradually, debt nearly arrive. This is a great mistakes to some of the business owner.

Whatever goods you attempt to buy through the scale of preference do not exceed that, but when money remaining in your pocket, you can use it on any other thing but apart from this, business doesn't permit it.

Take heed to this article and make strong correction.

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