3 Key Points for New Business Owners To Keep in Mind
Within the business world, there are many ways of doing things that are acknowledged as better than other methods and strategies because of the excellent results they offer. Those preferred methods become industry standards and are often used as guidelines or requirements within specific industries. One reason that these practices are valued is that their results have been tested and verified over and again. Many of these concepts are particularly useful for entrepreneurs and other small business owners.
Consider the following three areas of operations, brought to you by Working Mum Kitty, that you can hone to a point of excellence. The point is to consistently improve so your small business will succeed.
Create an Organized Payroll System
Large corporations often have separate departments to handle payroll, IT, and other systems, but small businesses may not have enough employees for this type of organization. However, a distinct, well-organized payroll structure is vital. The right system ensures that employees are paid promptly and reliably. It is also a crucial element in ensuring that taxes, overtime, and legal compliance are handled appropriately. The payroll structure should include and define several necessary procedures:
- The processing of payments (hourly wages or salaries, overtime, vacation pay, raises, reimbursements, and deposits)
- Managing employee timesheets (an automated time tracking system can streamline the process)
- Benefit tracking (deductions for paid-time-off, employee contributions, medical insurance, and health savings accounts)
- Bookkeeping (reconciliation of accounts, payroll deductions for taxes, budgeting, and expense tracking)
- Recordkeeping (employee contracts, timecards, and garnished wages)
It requires a specific skill set to excel at payroll, so many business owners look for expert help with these systems.
If a small business is too small to support an automated payroll system, online resources, such as payroll templates, are valuable solutions. Online templates can provide access to related tools that simplify employee scheduling, keeping track of time logs, and other components of payroll.
Thoroughly Research Potential Employees
Another important practice for small business owners to embrace is fully vetting potential employees. The right talent can ensure ongoing growth and success for a fledgling business. Today, there’s technology that quantifies skills, assets, and job performance, calculating values to give potential employers a way to reliably judge and compare candidates’ qualifications. Some of the characteristics that great candidates display include:
- Knowledge about the company and the position
- Enthusiasm about the job
- Awareness of personal strengths and weaknesses
- Clear communication
- Willingness to share ideas and make contributions
Entrepreneurs should think carefully about the qualities that would identify the best candidates and formulate questions to reveal those qualities. Once interviews are complete, experts recommend that business owners check references and follow up with previous employers.
Become a Member of the Local Chamber of Commerce
Joining the local chamber of commerce is a step that entrepreneurs sometimes overlook. These local resources can help with networking, establishing brand awareness, boosting a positive reputation in the community, and even marketing. The chamber of commerce consists of other local business owners and professionals who work together to share resources and assistance. In addition to strengthening each business, the chamber also strengthens the local economy through job opportunities, community outreach, and business expansion.
It is vital to set a solid foundation for new business ventures. These three basic practices make for an organized company structure, a valuable team of employees, and a community support system. With these in place, a small business is ready to research and employ industry-specific strategies.