The Bank of the Philippine Islands teamed up with Go Negosyo Mentor Me Online to help aspiring and established entrepreneurs take advantage of various business opportunities during the Holiday season and educate them about the importance of having a sound operational financial plan.
“Now is the best time to re-assess your business model,” said BPI Business Banking Product Management head Jessymel Cruz. “Look at the strength of the business and your strength as an owner.
Check your competition, innovate, and know where you want to be in the next year or in the next five years.”
Cruz said 2020 may be a tough year for entrepreneurs because of the pandemic, but knowing the ABCs of running a business in tough times is essential.
Take care of everyone involved in your business.
Nothing is more vital than building a good relationship. Your employees are important—their strength, commitment, dedication, and positive emotional connection with your customers are assets—and they should be well taken care of.
Ask yourself: Have I trained these people well and do they have the right skills? This economic slowdown is temporary. If you treat employees well and give them the skills they need, they will more likely support and help you get back on track when as the situation improves.
Establishing relationships with your suppliers is also of paramount importance. Earn their trust and keep your word so you can build long-term partnerships.
Know and listen to your clients.
Customer-driven and customer-driving business strategies are marketing buzz words you should know.
The former means being reactive to the existing behavior of customers and offering the same products or services to meet their needs. The latter means being bolder, more creative, and innovative by introducing a business concept and convincing your customers that they need it.
Entrepreneurs must identify their core clients and know their behavior. Listening to client feedback is also part of the formula for building your business. See if you can manage feedback and address concerns, as necessary.
Be open to change.
Every enterprise out there is racing to offer the best-quality product or service to its customers. Be prepared to pivot when necessary. Adapt to changing times as this is critical for your business' survival.
Always innovate—be it big or small, so you can exploit growth opportunities.
Develop financial discipline.
This is what small businesses need, and we can’t stress this enough. Your personal money and business money should never merge. Business owners should only take the profit for personal or family expenses, otherwise they may encounter problems.
It is important to carefully keep track of your money. Opening a bank account will help you monitor your cash inflows (deposits) and outflows (withdrawals), especially with online banking.
Build your personal and business reputation.
Build your reputation by being a responsible entrepreneur. Establish a solid payment. As you expand your business, you may need to borrow from banks.
Even prospective suppliers and distributors want to be connected to a reputable business owner. That’s why it is important to be a responsible or conscientious borrower. A good credit score is definitely an asset.
Indeed, it takes time to grow a business. But learning the basics and understanding operational intricacies will definitely go a long way.
“These disruptions in business operations because of the quarantine protocols and the slowdown in sales are temporary. As an entrepreneur, you are here for the long term. These struggles and economic downturns will soon pass. Carry on with your business and be smart,” she said.