Many of us desire to become our bosses. Canada, in particular, has grown to be the 11th largest economy in the world. The reasons for this, relates to its stable political environment, ease of access to the world market, a manufacturing base that’s diversified, and its rich natural resource.
All these should translate to advantages in opening businesses in Canada. However, our population that’s relatively small, and export mix that’s concentrated; this presents challenges that are rarely found in diverse and larger economies. They include:
• Developing your Market and Finding Clients
For stable income in a business, you need to build a steady client base that’s also profitable. Despite having a good start, if you don’t get a desirable number of clients, the business is most likely going to fail. Create a workable and effective business plan.
It should include an analysis of the competition, a test on business models that are innovative, a review of your services or products and their strengths. It should also include an evaluation of the market to help you come up with growth strategies that are better.
You should ensure that you foster strong bonds with your existing clients to help you get referrals for new clients. Though, you may make small losses at the beginning; keep your focus, and don’t waver.
• Financing the Business
There may come a time when you will need to consider whether to give up equity or go into debt. It may be so, especially when you need to search for outside funding. It is because most small businesses don’t get sufficient revenue from their clients.
You could consider crowdfunding as an alternative finance instrument. Friends and family could also provide short-term lending avenues. But you have to ensure that the dealing is professional.
Also, financing opportunities that you can make use of, from the provincial or federal government. You can access them through grants, subsidies, etc.
• Recruitment and Retainment of the best Employees
Employees perform better when they share the same vision of the business as you. A survey on the Future of Business by the World Bank and OECD (Organization for Economic Co-operation and Development), shows that about a quarter of SMEs, have difficulty in finding and keeping the best talent.
Staffing decisions often depend on budgets and salaries. But a business can use something other than money, to attract talent. For instance, creating a suitable work environment and empowering your employees, could counter a low salary.
To overcome retainment/ recruitment issues, the ideal strategy you can adopt is to use targeted training programs to develop your staff.
Developing ways to break through these constraints may be overwhelming to a business owner. But you can overcome them by making use of the government funding programs and developing more effective strategies.