It’s exciting starting your own business and being your own boss. But the pitfalls that lay ahead for tradies like you, don’t relate to your skills and professionalism as a tradesperson. They relate to business skills and knowledge. It’s only early in 2021, but 28% of all businesses that have crashed and burned have been construction and tradie business. You may have heard that you don’t know what you don’t know and if you have never learned business skills and requirements, then it’s unlikely you will become an industry success story.
Let’s examine the cause for business failure for tradies. The main reasons tradies fail are listed are:
- Lack of capital and cash flow problems. Having sufficient working capital and forecasting your cash flows are important for all businesses.
- Project management and performance. The lack of depth for project management and the subsequent impact on performance levels.
- Failure to plan properly. This is a common concern for businesses and believe me, this really does concern you, even though you may not think it does.
- Growing too fast. The adage that bringing more and more business into your business is not the catalyst of success you may believe it to be. Steady and planned growth is often the best for business.
- Employed the wrong people. When you don’t understand what you are looking for, you will never get it. Understanding what a good staff member looks like, will help you scale your business and grow.
- Failure to innovate. Innovation is critical. Being a business owner is different from just buying a job. Look forward and understand how managing a business is effective for you and helps you build an asset you can sell and not just a job that ends with you.
- The inability to systemise. Digital systems may be the last thing on your mind, but having systems that make your business efficient and consistent makes sense and helps success.
Register today for the Better Business Workshop here on the Redlands Coast to support tradie businesses prepare and grow for the upcoming $6b in projects planned. Commencing on the 15th March, 2021 this workshop series will cover the following.
• Upgrade your understanding of business finances and be empowered to improve business profitability
• Improve, innovate and grow your business
• Optimise your business with the latest online business planning
• Create a practical, user-friendly business action plan, the must have tool for your business
• Develop an innovative digital marketing plan and grow your connection with customers
• Create new actionable ideas and grow your small business
• Discover your customers in an entirely new way
• Find focus with productivity tools and techniques
• Reduce your stress by actioning a business improvement audit on your business
• Upgrade your mindset and be empowered as a purposeful leader in business