How do small businesses get ahead?

Grant Hally Managing Partner RSM Prince Accountants . Supplied.

Grant Hally is Managing Partner specializing in business growth at RSM Prince, Chartered Accountants and a Trustee of the Small Business Voice which operates the Summit.

What do small businesses need to do to succeed?
Successful companies are run by people who are passionate about what they do. But they must have their feet on the ground and confront the harsh facts of reality. They must be realistic and figure out what actually works and implement it. And aim to be the best in the world at what they do.

How can small business owners know they are succeeding?

A business operator should know every day whether they are achieving their business plan. They should know their daily breakeven sales and must regularly measure a small number of key performance indicators (KPI's) specific to their business.

How can a busy business owner make time to calculate these KPIs?
The cloud offers all sorts of real time solutions for small business and not in the least very robust data security. Cloud software can automatically calculate KPI's and present them in clear and graphical forms.

What are the key things you can do to improve a small business?

1. Build an awesome team
2. Increase sales
3. Improve gross margins
4. Reduce overheads
5. Build cash flow

Why do small businesses have cash flow problems?
Because the cash flow cycle takes months as raw materials are processed into finished goods, held in inventory, finally sold and cash is collected. Even a retailer or tradesperson has significant inventory to fund.

What can a small business do to improve cash flow?

Again the Cloud with direct bank feeds, GPS tracking, mobile ordering, invoicing, payments and real time KPI's can assist with efficiency and cash flow.

What other issues are affecting small business?

1. Digital Disruption is changing most industries
2. Small businesses often do not comply with employment contract legislation
3. Health and Safety laws are becoming more draconian
4. Compliance and regulation takes away productive time
5. Uncertainty about the economy

Where does a small business start?

Come to the Eighth Small Business Summit at Massey Albany Campus on Friday 4 September.

Be inspired by and network with other Small Business Owners just like you. Find out the latest about the economy. Join the panel debate to discuss all these issues and more and then grill senior politicians and business leaders. It's time to do something different to achieve your dream!

- For more information and registration visit www.smallbusinesssummit.org.nz or email admin@sbvoice.org.nz