Opening & Running Your New Business
It's Grand Opening Time! But, before you can open your doors for business,
here are a few things you should consider:
Timing Your Grand Opening
Many industries have periods of the year where they tend to be busy than other parts of the year. For most businesses, it is very important that they try to open their business during the peak sales period(s) of the year. Timing your grand opening during the peak sales season is important because it can help to reduce negative cash flow problems that are normal for most startups. You should spend time learning the "ins and outs" of your chosen industry so that you understand when peaks will historically occur. You should also try to get an understanding of environmental factors that could adversely affect your peak season(s).
Resist the temptation to open before you are ready to open. You only get one chance at a first impression, so even if it means you miss the start of the peak sales period, don't open your doors until you are ready. Be sure all necessary improvements are complete and correct. Make sure all necessary fixtures and supplies have been ordered and delivered as well.
One last thought on your grand opening, I would suggest you have a dry run by having a friends and family day scheduled 1 or 2 weeks before your official opening. Friends and family are more forgiving than your customers and it will give you an opportunity to make adjustments if necessary.
Utilities & Services
One of the many mistakes new business owners make is in the communications area. New business owners tend to let "smooth talking" sales people talk them into ordering services that they really don't need. This is something you should pay close attention to because it is one of the easiest ways to drain your business of capital. Here are a few of the many questions you should ask yourself before ordering utilities and services.
- Do I really need 3 or 4 phone lines?
- Is cable TV really necessary to operate my business?
- How important are the fancy voice mail, and caller id features to my business?
- Who am I calling on those 5 cell phones they want me to order?
- Am I mailing enough stuff to justify a stamp machine?
- How much insurance is needed, versus how much insurance is too much insurance?
Hire good people. The personnel can cost your business customers and sales. Be aware that many customers become repeat customers, but if they do not receive good service they will not return. It more expensive to find new customers than to retain current customers, so you should be very careful of the people you hire to represent your business. Be careful to resist the temptation to hire a person because you have been having a difficult time find a qualified candidate. Also, once you find "Mr. Right" be sure to pay them what they are worth, don't "low ball" because you will be looking for "Mr. Right" again in 6 months. One last thing, view my page on Employees to get additional information.