What You Should Know Before Starting a Business - The Exhausted Entrepreneur

"You own your own business!" is a frequent response when I meet new people. The perception is that business owners make tons of money, get the flexibility with work schedules and are not in danger of being fired or laid off. I can tell you from personal experience, owning your own business equates to a lot of responsibility and many sleepless nights. The following are a few concepts to consider before starting out on your own.

1. Examine your work ethic. If you like to sleep in until 10:00 am, wear your pajamas all day and then go out with friends for dinner and entertainment every night, you may need to stick to working for others. I keep a daily task log - some days are 3 pages in length. I wake up at 6:00 am and begin to prioritize my work load. I am responsible for meeting my deadlines. I do not have a secretary to keep track of these things. I will wrap up in the evenings with tying up loose ends and sending e-mails.

2. You need to love people. I am not kidding here. We have a service industry where the customer can fire us at any time. We work hard to treat others with dignity and respect. We need to be friendly and find a common ground with others. If you are in the business to help others and you are unkind and unfriendly, your business will dry up and wither away.

3. Budgeting is key. I use QuickBooks but other accounting software is available. If labor costs are too high, or you are working on a contract and losing money, you need to be aware of this early so that you can make adjustments. Often, in the early stages, the owner may have to defer a salary. If you hire folks, you have to be sure you can pay them a living wage. Your employees and their families are dependent on that salary and you need to take that seriously.

4. Look for new ways to grow and expand. The dynamics of business is changing. One example is the big box stores are losing revenue to the convenience of on-line shopping. You have to adjust and adapt to market trends. We offer various services, so that we have different kinds of revenue streams. We have also automated a lot of our services for the convenience of the customer. People are busy and appreciate when businesses respect their time.

5. Network with those that are successful. Look for an organization that will help you keep updated on innovations and regulations affecting your business. I have been enriched by my continued association with the Independent Water & Sewer Companies of Texas. I am able to learn from others about the trends in the water industry and the regulations impacting our industry.

6. Keep learning. Don't assume that you know everything. Take time to read trade journals, updates in state and federal regulations and attend seminars. The Texas Commission of Environmental Quality presents an annual 2-day drinking water conference in Austin and it is free to the public, but fills up quickly. I have been for six years and each time have learned new and better ways to run our water operations company.

7. Have a positive mental attitude. Everything is not going to go smoothly. There are issues that arise that have to be dealt with. If you have a difficult time managing stress and you take your temper out on others, it is crucial that you work on that before it damages your business relationships and those that work and live with you. It is difficult not to carry stress with you as a little black cloud always ready to rain on your parade. It is important that you manage the stress so that you are better equipped to deal with business operations.

8. Keep an open door to your customers and your employees. Don't hide from difficult customers or keep your head in the sand regarding negative situations in the office. Communication is key. If you are approachable and allow others to have a "safe zone" with you where they can talk about difficulties relating to the business, there is a lot you can learn. Be aware of those that are toxic, meaning, always being negative, talking about others behind their backs and being disloyal. If the opportunity comes to separate yourself from these types of people or limit your contact, it will be better for the business (and your mental health) to make the change.

9. Stay focused. When you are on your own schedule, it is easy to get side-tracked. Some interruptions are opportunities to let your business shine. Be able to discern what the unnecessary distractions are. When I was studying in law school, I had to find the bottom floor of the library in a study carrel far away from talking or footsteps. It was so important for me to laser focus on my studies that I had to remove all distractions. In the business world, it can be just putting your phone on silent and letting it go to voice mail and returning those e-mails and phone calls after the important task at hand is completed.

10. Stay professional. It may be tempting to show up to work in pajamas and a "man-bun"- but that might be the day your biggest potential client walks in and needs to be impressed. There are a few days that I need to be "in the field" with a warm jacket, boots and jeans. In the office, I keep it business casual. In meetings, I am in more business formal. You can set the tone for the work place. If others in the office have a more casual approach, just collaborate with them on an office dress code policy that is professional.

For those in the business world, this list may seem obvious. For the younger generation wanting to start out on your own, this list may not be intuitive. There are rewards from working hard as a business owner, but not without setting goals and a lot of hard work.

Heather Nehila is the owner of Aggregate Water. To learn more about having a customer service inspection, well operation servicing, or utility billing services please visit http://www.aggregatewater.com/contact-us/

Article Source: https://EzineArticles.com/expert/Heather_Nehila/2381739

10 Mistakes to Avoid When Buying a Hotel Business

The hotel business is thriving worldwide with an impressive 550 billion U.S. dollars revenue expected to come in this year as reported by Statista. No wonder investors are so eager to devote their money to international hotel franchises. An increasing number of entrepreneurs are turning towards the hotel industry when they think of buying a business.

It can be difficult to land a profitable deal if you are unsure of how to proceed. Here are some common errors to avoid when purchasing an existing hotel business.

1. Ignoring full disclosure

When you meet the seller, they will present a well rehearsed pitch to entice you into purchasing their hotel. That's understandable but you should not allow future potential to cloud your judgment of the present. What matters in the end is the actual business you receive not what it could be in a couple of years. Make a point to focus on the liabilities that come with that purchase. Having facts and figures about essentials like rents, wages, employees, contracts, taxes, etc. will paint a realistic picture in your mind.

2. Neglecting due diligence

Never take the seller's word for it. It's not personal just business. Always ask for numbers outright but double-check them. It is your right to ask for proper documents and reports that depict the investments and cash flow of the establishment. Hire professional brokers, accountants and lawyers who are experienced in handling hotel purchases.

3. Unprepared for lifestyle change

It's always unwise to buy a business before understanding how it functions on a daily basis and your involvement in it. Hotels operate 24/7 so do not expect to be free on nights and weekends all the time. An excellent way to get accustomed to it is to come to an agreement with the seller about offering a free crash course in running a hotel.

4. Overlooking contracts

A hotel needs plenty of supplies so there are fixed contracts with vendors you must look into before closing the deal. Check the quality of the supplies and the reliability of the vendor. It is very important to ensure there are no overdue payments that maybe piled on you because you were clueless about them.

5. Disregarding outstanding rent

There are often regular rental agreements signed by the hotel for daily supplies, furnishings, etc. So take an inventory of all the hotel assets and how many of them are rentals. Request a full history of those rentals to confirm none of the rent is still due to be paid. Such small expenses could pile up to create debts for you after you sign the deal unaware of them.

6. Not checking bookings

Apart from regular check-ins hotels hire out halls and conference rooms for corporate and private events. Take note of all the future bookings made by clients. These usually have advance deposits so you have to be certain all of those payments have been paid to you not the seller.

7. Underestimating tax payments

A large establishment like a hotel has a giant bundle of taxes waiting to be paid on a regular basis. Have your lawyer and accountant look through all legal documents and compile a list of taxes the hotel owes is crucial to escape any possible seizing of assets due to unpaid taxes.

8. Incomplete employee records

Not all employees are fulltime and work daily. There may be several different contracts the hotel has with employees. Do a full review of employee performances to see if it is up to mark. Be aware of hotel policies on insurance, wages, holidays, sick leaves, etc. regarding employees.

9. Risking financial vulnerability

Not all sellers are cooperative. It might be that the hotel seller is unwilling to compromise on key issues and you don't want to let a splendid opportunity pass you buy because of one person. Be courteous and diplomatic ensuring you are not placed in a position where you will have to bear the brunt of loss if something goes awry.

10. Not seeking specialists

This is imperative particularly if you have never negotiated for a hotel business before. A seasoned hotel owner can easily strike an agreement that gives him advantage over you leaving you with the short end of the stick. Find lawyers, accountants, brokers and advisors who have sufficient experience and can help you navigate the deal safely.

Finding a hotel business for sale online (https://tobuz.com) has gained more popularity in recent years with a surge in internet security and the global business community becoming close knit. You don't have to exhaust yourself running here and there for appointments when you can simply have open conversations with sellers online.

Article Source: https://EzineArticles.com/expert/Sid_Malik/2211344