Hani Zeini Lists 3 Challenges Every Small Business Owner Must Be Ready to Manage

Avoid the pitfall of a one-person show, which most small businesses happen to be. 

Although it might seem that starting a business is the biggest challenge for entrepreneurs, perhaps bigger challenges await them when running the business. Entrepreneurs must always be ready to face the unexpected because crossing hurdles one after another is part of an entrepreneur’s journey, explains Hani Zeini. Challenges greet entrepreneurs at every stage of the business, from hiring employees to building brands, marketing, and optimizing expenses to boost revenue. However, the challenges faced by small businesses are not only quite different from those of bigger companies but unique too. Some challenges are common across businesses, and what these challenges are will become clear on going through this article.

Hani Zeini warns against client dependence

Small businesses usually tend to depend heavily on a few good clients who have a proven track record for timely payments. They often become too much reliant on these clients to maintain a steady cash flow which is often the biggest challenge as it can threaten the business’s existence. However, such over dependence on a few clients might create other problems as you are putting all your eggs in one basket. Despite the handsome contribution of these clients, too much dependence on them can be bad for your business in the long run, warns Hani Zeini. It might lead to a situation when you act like a sub-contractor of your client, which exposes your business to the risks that the client’s business might face. Fluctuations in demand on the part of the client will impact your business. 

1. Financial management

   

Businesses must maintain a steady cash flow to avoid sudden financial shocks that can affect the momentum. Every business owner must have some basic knowledge about managing finances with an eye on a steady inflow of funds that helps the business stay buoyant. However, since small business owners handle too many tasks on their own and have their hands almost complete, it is better to entrust looking after the finances to some professional accountant who understands the subject well and has prior experience. It will help to avoid financial bottlenecks, which are the most common impediments for small businesses. 

2. Stress management

 Small business owners often have to work for prolonged hours without any break, which can be so stressful that it can lead to burnout and collapse the business. Small business owners are so much possessive about their business that they fear turning their attention away even briefly could harm the business prospects. Excessive stress can make people fatigue and drive them towards failure as they lose their ability to reason and make the right decisions at the right time. Learning to keep stress under control will help to run the business efficiently, concludes Hani Zeini.

3. Create a team

Instead of shouldering all responsibilities because it is your business, build a small team to create an organizational hierarchy. It creates an environment for sharing responsibilities to achieve the business goals as each team member contributes to maintaining smooth business operations.

Avoid the pitfall of a one-person show, which most small businesses happen to be.