Too many small firms continue to undercut competitors, ending up as “busy fools,” a business adviser has warned as he launches a new book based on years of experience guiding upcoming entrepreneurs.
Doug D’Aubrey of ETC, Executive Training and Consultancy Ltd says that so-called ‘micro businesses’ – those with fewer than five employees — are the life-blood of the UK’s economy but too many people still think the key to success is based on offering cut-price products and services.
According to a recent report from Lord Young, micro businesses have grown by 40 per cent since 2000 and currently account for 20 per cent of the private sector’s turnover.
Doug’s book, Getting down to business, with his business partner and co-author Matthew Chuck, addresses issues encountered by emerging companies,with sound advice in a practical and no-nonsense guide.
Micro businesses are integral to economic recovery. To continue to grow they need to innovate, take advantage of intelligent outsourcing and be realistic and self-aware in order to identify missed opportunities, said Doug.
“There are more micro businesses than ever in the business world. Over the past 20 years they have grown due to economic changes and larger businesses reducing their head count by sub contracting out certain services.
“In the past five years, as more and more civil servants have been made redundant and have not been able to walk into alternative employment they have set up their own business.
“Many companies now operate as virtual business for example a designer will sub contract other designers as work increases so they only work when the work is there saving on payroll and also admin of employing people.
“The consultancy market has also grown as most people setting up a small business don’t know how to run a business, they are very good in their field but don’t know how to grow a business with the marketing, sales and admin.
With just a little bit of help they can, and do succeed.
“One of the biggest lessons for new business owners is getting used to the fact they should be promoting their services based on the quality they provide, rather than competing on price.
“Once they have learned this, they can find effective ways to promote what they do.”
Doug, based in Dudley in the West Midlands, also identifies failing to effectively understand, identify and define services as another stumbling block for new businesses.
“By not truly understanding what it is you offer your customers, business owners fail to capitalise on their services,” says Doug. “How can you market what you do effectively if you haven’t clarified it yourself?”
He also warns that not enough aspiring business owners are establishing realistic, clear goals for the business to fit in with their lives.
Doug adds: “Starting a business in a recession is a popular thing to do,whether through need or want. When times are tough, small firms can identify niche opportunities in a market and move quickly to fill them.
Help available includes that from industry bodies, government assistance programmes with loans available and using technology to innovate, raise finance and find new customers.”
Getting down to business includes chapters on getting started, setting goals, sales and marketing, finance IT and managing people and yourself.
Doug adds: “It has been a long-held ambition to get a book out there after helping so many clients reach their business goals.”
Kaynak : 