Question

Other than raising needed capital, what are the biggest challenges to small business today? Global competition, lackluster economy, excessive government regulations or any on your list?

Answer 1

Raising needed capital is one of most common challenge facing by small business now-a- days. However, there are many other challenges that can't be ignored and play a vital role if handled correctly.

Finding Customer: For small businesses that aren't a household name, finding customers can be particularly difficult. For example, there seem to be so many channels you can choose to focus on .. how do you know what to prioritize and where to allocate resources?

Spreading Brand Awareness: It can sometimes seem like today's biggest brands seemed to have popped up out of nowhere. So many questions arise here. How did they become a household name? How did they grow that quickly? Can your business grow like that, too?

Hiring Talented Employees: Hiring is often one of the biggest challenges for small businesses, especially since small business executives tend to feel under-resourced to begin with. The cost (equipment, benefits, taxes, bonuses, etc.) of hiring new employees, unfortunately, keeps rising. All those hurdles come into play before outlining the position’s salary.

Motivating and retaining employee: Retaining the staff is one of the biggest challenges for small business as there are high changes that the employees get good opportunities in other businesses.

Choice between Growth & Quality: In time, a business may boom beyond growth expectations. Small business owners who haven’t planned for this increase in customers and product/service production are liable to fall by the wayside. As demands for your business increase, without the proper systems in place, you’re more likely to come up short and fall short of those demands. This is why it is crucial for you to scale up your business – without sacrificing the qualities that made you such a hit in the first place.

Tax Compliance: When your small business is home-based, home office deductions are vital for keeping profits high. However, regulations concerning record keeping are time-costly and, if you don’t have a penchant for bookkeeping (guilty), frustrating.

The other challenges can be using the right technologies, complying with Government regulation, and the strength of competitors.