Four Principles in Running a Successful Business – You may think that going into business is the solution to all your problems. But in doing this, you need to be prepared and accept the reality that only 5-15 percent of people who start their business achieve success within the first five years. You can only succeed, if you are able to adhere to the following principles in running successful business.
Four factors for sustaining your business and become successful:
If you are determined that you want to have your own business, you have to ask yourself what your capabilities are and what you have a passion for. In this way, you can make sure that business is something you really enjoy and can do by yourself or train others to help you do it.
You also have to make sure that there is a sustainable market for your product or services. Be sure that there is continuing and sufficient demand for your product or service. Look around your neighborhood or your office and see what products and services are important but are not being provided by anyone else. Then, look at yourself and see if you really want to provide those products or services. See if you want to study or have yourself trained so you can do those products and services as a business. Here, it is important for you to also assess the extent of competition. The market you have in mind may already be overserved. Your business plan should really be well thought out.
You should also make sure that you have the capability to produce your proposed product or service with consistent quality and at a fairly controllable cost levels
You need to learn enough accounting know-how to make sure you manage your finances well enough. You need to record all your transactions so that you will know the actual financial status of your business at any time. Your capital will depend on the type of business you enter.
Source: Francisco Colayco (Manila Bulletin)