• Home
  • Blog
    • Business Partner Magazine Archive
  • Free Contests and Giveaways
  • Resources
  • About Us
    • Cookie Policy
    • Disclosure Policy
    • Privacy Policy
    • Terms of Website Use
  • Contacts

Business Partner Magazine

Tips and advice for entrepreneurs, start-ups and SMEs

  • Business Success
  • Marketing
  • Finance
  • Employees
  • Technology
  • Start-up
  • Productivity
  • Communication

4 Major Challenges Small Businesses Face

September 9, 2021 by BPM Team

Click here to get this post in PDF

Too long to read? Enter your email to download this post as a PDF. We will also send you our best business tips every 2 weeks in our newsletter. You can unsubscribe anytime.

Enter your NameEnter your Email Address

Every business will face some hurdles during its journey. Many people are advocates of getting all those hurdles over and done within the beginning. Advice leans towards making mistakes early to learn from them, adapt and overcome so you can go from strength to strength.

Silver Imac displaying line graph placed on desk

Sadly, though no one can predict the future, some businesses come under fire regardless of how well they operate or sustain what they do. The economy, external influences, and more can impact your ability to keep your company running.

If you don’t know what you will come up against, it seems somewhat implausible that you can develop an effective strategy to combat them. However, there are some actions and plans you can put into place that give you support against some of the common business challenges entrepreneurs can face.

This post looks at some of the different challenges businesses might face.

Over-Reliance on the Owner

What would happen if you were in an accident tomorrow? What would happen if you cannot work for long periods, say due to an auto accident? While you are recuperating and consulting injury lawyers, is your company ticking over as if you were still there? If the answer is no, then you have a massive problem. A business that cannot function without its founder is what is called a deadline-driven business. Numerous firms suffer from founder reliance, which is frequently the founder’s inability to relinquish control over specific decisions and responsibilities as the business grows.

In theory, overcoming this obstacle is straightforward—a business owner has to delegate more control to staff or partners. In practice, however, this is a significant issue for some owners. This can happen for many reasons, including not trusting staff to do the job well enough or not being prepared to give others the opportunity to learn or enough time to reach the skill level required.

Poor Money Management

When it comes to having enough money to meet all your bills, it is essential for any business, but it is also an absolute necessity for every individual. Unfortunately, one will likely become a drain on the other when it comes to personal or business finances. Small business owners who want to avoid this difficulty should have substantial capital or increase their revenue to have adequate cash reserves.

As your business makes more money, financial management becomes even more critical. Although business owners who want to save time and money on bookkeeping and taxes will likely handle their own bookkeeping and taxes, professional support is almost always a smart choice.

When accounting for each client and employee, the more intricate the company’s books become. Therefore, bookkeeping assistance can prevent growth from being held back because of accounting complications.

Relying on One Client

In other words, you are an independent contractor rather than a business owner if 50% of your income comes from one customer. Maintaining a diverse client base is important for business growth, but it can be challenging when clients are financially stable and reliably pay on time. Reliability is critical for a small business. Having a customer who pays on time is a gift.

As a result, you may be forced to stay in a sub-contracting position for an extended period of time, even if you have workers and such. This design protects the client against a possible drop in work because of staff changes. But being able to diversify will help protect you if a once productive and profitable relationship breaks down for any reason.

Overworking Yourself

If you work alone or are in the early days, the temptation to put everything you have into getting up and running is huge. But if you are working every single day, when do you get downtime?

Over time, you will become physically and mentally fatigued, meaning there is a real possibility of the ball being dropped somewhere along with the one, and your professionalism and quality of service will be compromised.

Start as you mean to go on by allowing yourself a break or set time off, and turning your electronics off can be terrifying at first. But what if someone wants you or you lose a sale? While this can happen, it will also happen if you are too exhausted to offer a service your clients deserve.

While there isn’t one exact method of protecting your business should you become indisposed at any time, there are different things you can implement to ensure that should you be put out of action; your company will continue to run without you.

You may also like: Five Major Challenges Businesses Now Face After COVID-19

Image source: Pexels.com

Filed Under: Business Success, Featured Posts Tagged With: Featured Article, small business, small business strategies

  • Facebook
  • Instagram
  • LinkedIn
  • Pinterest
  • Twitter
  • YouTube

Disclosure

We earn commissions if you shop through the links on this page.

Recent Posts

  • Things You Didn’t Know You Could Do with Your iPhone
  • Messenger Marketing: Revolutionizing Brand Engagement in the Digital Age
  • 5 Biggest Marketing Mistakes to Avoid in 2023
  • Headhunting 101: A Comprehensive Guide to Executive Recruitment
  • Unforgettable Adventure Experiences: A Catalyst for Business Expansion

Categories

Archives

Make Money Online – Free Course

  • Discover All The Shortcuts To Affiliate Marketing Success
  • Find Out How To Fill Your Site With New Leads And Customers
  • Discover How To Turn Your Passion Into Profits
  • Learn How To Write Copy That Gets Results Fast!
  • Discover How To Create Promote & Sell Your Own Products Online
  • Everything You Need To Know About Marketing Money Online
  • Strategies For Successful Web Entrepreneurs Inside
  • Discover How To Invest Smarter Grow Faster And Retire Rich
  • Email Marketing Strategies For Marketers And Entrepreneurs
  • Free training reveals how to build a successful six figure income online
  • Discover The Mindset Hacks You Need To Succeed
  • Free Marketing Memberships – Make Money Online

    Make money online free marketing memberships

    Tags

    Accounting apps bitcoin brand business growth business skills business success communication cryptocurrency Customer Service Data design Digital marketing ecommerce Efficiency employees Featured Article finance finances Health and Safety infographic insurance Investing investment legal legal tips Management Marketing marketing strategy Outsourcing productivity property Real estate sales security SEO Social Media software starting a business startup Technology Trading Training website workplace

    Disclosure

    We earn commissions if you shop through the links on this page.

    Digital Marketing Agency

    ReachMore Banner

    Business Partner Magazine

    Business Partner Magazine provides business tips for small business owners (SME). We are your business partner helping you on your road to business success.

    Have a look around the site to discover a wealth of business-focused content.

    Here’s to your business success!

    Copyright © 2023 - Business Partner Magazine·