Fundamental Block & Tackle Principles In Small Business
You have heard about the fundamental principles of block and tackle when it is applied to football. Tom Giampapa from Bizlinkin.com talks about a few of those block and tackle fundamental principles that apply to running a small business. We should review these on a repeated schedule. It is easy to neglect some of them while trying to run a business from day to day.
Small businesses today face growing inventory requirements, increased customer expectations, rising costs and intense competition. Computers can provide information that leads to better returns on investment. At the same time, they help cope with the many pressures of your business. Computers are not a cure all, however, considerable care should be given when deciding if you need one and selecting the best system for your business.
Telecommunications is another area of importance in a small business. Some common functions such as sales, purchasing, financing and administration operations need support from your telecommunication system. In its basic form, the telephone
and the network make up the basic components of telecommunications. It is an effective tool that can easily change with time as your business grows. How you use the system will affect how efficiently and profitable your company will develop.
Keeping accurate accounting and bookkeeping records cannot be stressed too much. Without records you cannot see how well your business is doing and where it is going. At a minimum, records are needed to substantiate your tax returns under Federal and
State laws, including income tax and Social Security laws. Your request for credit from vendors or a loan from a bank and the need to run your business successfully to increase your profits. The kind of records and how many you need depend on your particular operation. Your accountant can provide you with many options. When deciding what is and is not necessary, keep in mind how the records will be used and the importance of the information. Be prepared to understand your financial statements. The balance sheet, which is the record of assets, liabilities and capital. The income "profit and loss" statement, a summary of your earnings and expenses over a given period of time. All of these records are needed to run and operate your business, also if you buy a business or sell a business.
As you conduct your business be aware of other rules that fall into the category of fundamental principles. Make note and review that list from time to time. Tom Giampapa of Bizlinkin.com reminds us that those principles will become the strong foundation on which you will structure your business. That foundation will represent your principles as well and be reflected in your business.
Small businesses today face growing inventory requirements, increased customer expectations, rising costs and intense competition. Computers can provide information that leads to better returns on investment. At the same time, they help cope with the many pressures of your business. Computers are not a cure all, however, considerable care should be given when deciding if you need one and selecting the best system for your business.
Telecommunications is another area of importance in a small business. Some common functions such as sales, purchasing, financing and administration operations need support from your telecommunication system. In its basic form, the telephone
and the network make up the basic components of telecommunications. It is an effective tool that can easily change with time as your business grows. How you use the system will affect how efficiently and profitable your company will develop.
Keeping accurate accounting and bookkeeping records cannot be stressed too much. Without records you cannot see how well your business is doing and where it is going. At a minimum, records are needed to substantiate your tax returns under Federal and
State laws, including income tax and Social Security laws. Your request for credit from vendors or a loan from a bank and the need to run your business successfully to increase your profits. The kind of records and how many you need depend on your particular operation. Your accountant can provide you with many options. When deciding what is and is not necessary, keep in mind how the records will be used and the importance of the information. Be prepared to understand your financial statements. The balance sheet, which is the record of assets, liabilities and capital. The income "profit and loss" statement, a summary of your earnings and expenses over a given period of time. All of these records are needed to run and operate your business, also if you buy a business or sell a business.
As you conduct your business be aware of other rules that fall into the category of fundamental principles. Make note and review that list from time to time. Tom Giampapa of Bizlinkin.com reminds us that those principles will become the strong foundation on which you will structure your business. That foundation will represent your principles as well and be reflected in your business.
