When starting out in business, you will need to wear a few different hats. It is important to have skills when starting and running a business. It doesn’t mean you have to be an expert on the get go. Skills can be learned by researching on the web, watching YouTube videos and observing how other people do certain things.
Here are the 5 most important basic skills to master as new Entrepreneur:
- Computer skills
It is a skill most of us have learned over the years and nowadays you cannot run a business without the knowledge to use a computer or smartphone as everything is online these days.
Basic knowledge of Word and Excel can go a long way as it the most used medium to write business plans and keep track of your business financials. There are also many online tools you can use for almost every aspect of your business like bookkeeping, marketing and even simple to do lists and so forth.Market research
2. Market Research
This is quite an important skill to have as it will help you identify if there is actually a market for the product or service you are trying to sell. Many new entrepreneurs come up with an idea they are passionate about and jump right into the process of starting the business without doing proper research on it. The main reason most new businesses fail within their first year is often because of improper or no market research. Google is a great place to start and you can even get insights on how many people actually search for a product or service you are offering. https://trends.google.com/trends
3. Social Media
Everyone is on social media nowadays and you cannot afford to not take advantage of it as it is exactly where your customers will be. You just have to learn how to promote to the right audience on social media and create content that will add value to your target market.
Facebook ads is most probably the most effective way to get your product or service in front of your preferred customer. Old methods like flyers and newspaper ads are fading away fast and the amount of reach you can get with print ads are very limited.
So, start by creating your Facebook page and post content that can add value to your customers.
4. Relationship building
Make friends and build mutually beneficial relationships that will give you the potential for new opportunities in future. Be active with your community’s businesses and collaborate with other businesses as much as possible. Relationships can go along way especially when you need the help of another company to build a website or design a logo.
5. Financial skills
When starting or running a business, you have to understand and know your numbers at all times. Do not just hand everything to your accountant and assume they will run that part of your business for you. Your accountant only makes sure you comply with tax and bookkeeping practices and compile your financial statements. It will be up to you to analyse the financial data and make adjustments within your business to reach a goal called profit.
Make sure to read up on the following to make sure you know your numbers at all times:
- Understanding your financial statements
- Difference between Gross and nett profit
- Difference between Profit margin % and Mark-up %
- Breakeven figure
- Financial forecast
I highly recommend you keep track of your financials from the start using book keeping software like Xero or SageOne Accounting as it is very user friendly and will help to always know what is happening in your business financially.