Success and profit. That is what it is likely that you are hoping to get from your small business, but achieving these things can be a massive challenge. Especially for a small company where the margins for profit are tiny, and any little problem can quickly escalate into a major disaster. Luckily, if you know what to look out for you can prevent potentially ruinous situations from decimating your small business. Read on to find out more.
A PR nightmare
What is a PR nightmare? Well, sadly it is something that can happen very quickly and easily in the current market due to the internet. Basically, it can occur when your business has made a mistake, and this is then reported to the public through social media and traditional media, thus making your company look bad and shattering the trust that your customers had in you, something that will negatively affect sale and profits.
Of course, the ideal situation is that you stay away from anything that can cause a PR nightmare in the first place. Such things including shipping out faulty products, not being able to meet demand on a significant scale, as well as any scandals regarding employees, managers, and owners.
Sadly, not all of us are blessed with the gift of clairvoyance, and that means that occasionally PR issue will arise, no matter how well you protect yourself against them.
In this case, using a professional PR firm to minimize any damage is always a good idea. In fact, some businesses that have been able to apologize and even laugh at themselves for their mistakes have actually turned a potential PR issue around.
Faulty product
If you ship a faulty product, it can be disastrous for your small business. After all, your customers will have paid good money for their item and will expect it to not only arrive fast but also in a usable fashion.
Sadly, this issue is further complicated with the heavy use of online ordering, postal logistics and fulfillment, because of many products are being handled by different logistic services, and so some of them are bound to get damaged on the journey to the customer.
Of course, there are ways that you can minimize this likelihood of these issues occurring. One is to ensure some stringent quality checks at the point of production, and as well as shipping your product out in well-padded packaging.
Also treating your staff to handle the product correctly when it is being picked and packed can stop unnecessary damage, as can ensuring that the shipping boxes that you use have the necessary fragile warning labels.
Although, if your packages are still arriving in a lousy condition you may wish speak to your logistics provider about this issue.
Additionally, don’t forget that no matter how well you pack every box, some will get damaged during shipping. That means you need to have an excellent support system in place to help customers when this does occur. Otherwise, it is quick likely they will be put off using your business, and go to your competitors instead.
A poor working environment
Your work premises need to be tip-top if you are to avoid a business disaster. In fact, this needs to be the case not only because of the positive image they will present to clients and the practicalities of manufacture but because of safety issues as well.
Remember, as a business owner you have both a moral and legal responsibility to protect the health and well being of people that work and visit your premises. What this means is that proper health and safety precautions need to be taken at all times including educating your employees on how to operate machinery correctly.
It also means that’s you need to take measure to avoid any premises liability injuries as well, something that consulting with a legal professional in this area can help you with. The reason being that they can highlight any potential issues and so you can solve them before they get you into legal hot water. Legal trouble that could cost your small business dearly, something that could potentially be disastrous if you are already struggling to cover your costs.
Bad management
Next, what you absolutely do not want for your small business is terrible management. In fact, a poor manager can run a company into the ground, despite having dependable employees and a decent product.
Of course, actually knowing whether you managers are good or not can be something of a puzzle, especially if you aren’t in the office all of the time, or if it is you that is doing the managing. After all, when we are very close to the problem it can be hard to take criticism, and difficult to see our own faults.
Therefore, to avoid bad management becoming ruinous to your small business, it can be useful to conduct 360 evaluations of yourself as well as everyone else. Something that can help you get a good idea of where any problems are arising.
Also don’t be afraid to have anonymous feedback opportunities, as well as encourage constructive criticism from your employees. Both of which can be hugely informative and improve the way your business is managed to ensure disaster is averted and it is as successful as possible.
Poor employee morale
While most people tend to think of their businesses as their premises, products, and even reputation, your employees are also a vital link in the chain of success.
In fact, if your employees aren’t motivated they won’t be as productive or produce the best quality work, something that can really harm your potential to be profitable.
Therefore it is crucial that you ensure fair treatment, good wages, and adequate benefits for your staff. After all, without them, your business would not be able to run, let alone be successful. To that end, if you wish to disaster for your business, investing in boosting employee morale is crucial!
