As a small business owner, it would serve you well to understand that nothing is given to you- instead, you must earn it. You will quickly learn that it’s challenging to be an entrepreneur, but if you have a great product/service and are passionate about your business, eventually the world will love it too. Perhaps you’re not seeing growth as quickly as you’d like. When you started, you expected to grow rapidly, but you are not meeting your goals. On the other hand, maybe you’re doing okay, but you want to reach higher. No matter what your situation, the key to writing a new chapter in your small business journey is to identify profitable small business opportunities.
If you need help managing your finances, contact Orcutt & Co. We are a small, family-owned and operated accounting firm in Cincinnati. We can help you find ways to grow and increase the financial health of your small business.
Identify the Big Breaks & Make them Reality
Let’s say your staff is well-trained, you have a solid customer base, and your process runs smoothly. You have a regular supply chain and you’re feeling good about your profits. You feel like you have nothing to worry about. However, customers may move, and staff may leave. Your suppliers may raise their prices and an emergency can quickly deplete your funds.
While these issues alone may not sink your ship, you will need to be able to push forward so that the next time something happens you don’t sink. By taking the time to research and identify things you can do to benefit your business, you can set yourself up for a brighter tomorrow.
Which Opportunities Can Help?
Below, we’ll look at several small business opportunities that could help boost your profits:
Diversify
Think about it: is there any company you can think of that only offers one thing? Even Crocs, primarily known for their foam clogs, offers a variety of products in various styles including boots. Diversification is critical because it allows you to adapt to the changing tastes/needs of your clients. Plus, offering new products will help you get ahead of your competition and reduce damage if one of your offerings does fail.
Hire New People
While it’s true that bringing on new staff may be beneficial because they have connections, ideas, or talents to increase profits- but it’s critical that you know when you’re ready to do this. If you hire too many people too quickly, it can drain your budget but waiting too long can mean you’re not making all you can and you find yourself getting burnt out.
Change Your Process
As a business owner, it’s important to trust the process- but if you find that the process isn’t working, you need to change it. This is one of the most important profitable small business opportunities to streamline your business. After all, there is almost always room for improvement in your processes.
Find Investors/Partners
You can find and capitalize on profitable business opportunities by finding new investors and partners. If you’re in a rut, this can help invigorate your business. These relationships will provide you with resources, experience, and management techniques that you may not have considered. Plus, new investors can help you dream bigger.
Find New Venues
The thought of selling your products in a new market or opening a new location may be daunting- but it can help you find opportunities you may not have seen. A new market will provide you with new customers and help you see how others react to your business. If you don’t promote your business to a large enough market, or you’re marketing to the wrong demographic, you may be losing money.
Change Marketing Tactics
If your marketing isn’t working as hard as you are to find new customers, you may be losing out on potential profits. When you consider a new marketing channel, think about the goals you want to achieve. For example, an ad to increase brand awareness or advertise a sale is much different from an ad created to maximize profit. There are traditional channels and non-traditional channels for marketing your business. In many cases, non-traditional channels are much less expensive. Think outside the box and incorporate a variety of channels to market your business.
Tips for Identifying Opportunities
If you are continuously reinventing your company and looking for ways to grow, you will keep moving forward. However, how can you recognize these opportunities and know when it’s time to move? Simply listen to what people are saying, observe your competitors, and pay attention to how the industry is changing.
How Do You Know When the Time is Right?
Every business runs on capital- both financial and human. When you prepare to make a big move, you need to consider both of these.
Financial capital is the money you need to spend to get your product into the hands of your customers. You must take the time to consider how much an opportunity will cost and ensure that you have the money to make it happen and set your price so that the product will sell but you still make a profit.
Human capital involves people. You must consider how your lenders feel about your goals and if your staff is equipped to handle the changes.
Do You Want to Move Forward?
When you find ways that your company can improve and grow, you should not just consider your gut feelings. You must do your homework- gather the information, get input from customers and employees, and create a plan. Keep in mind that every issue you see is an opportunity.
If you need assistance identifying opportunities and determining if your finances can handle them, contact Orcutt & Co. We specialize in daily accounting and bookkeeping tasks as well as payroll and tax prep for Cincinnati-based businesses.
