Business Principle Number 3: Check Out The Company
What do you think is important when looking for a business?
Sure, the first things you think about are the products and how much money or sales
you can make. Then maybe you think about how you are going to actually operate the business and make money.
In fact, it is easy to get caught up in all the hype there is today in the Internet, especially in the area of home based business and making money at home. It seems that every day there are new "get in at the ground floor" opportunities, as well as so many offers and claims that it makes your head spin. To add to the confusion, there are heaps of Internet marketing product launches, specials, limited offers, bargains and not to be missed deals that you end up spending money on other peoples' businesses instead of making profits yourself.
I know, because I have done this myself - I have spent thousands of dollars on numerous home business opportunities and on internet marketing products that I thought were the key to business success. Some were good, some were a waste of money.
The thing that I have learned is to check out home business companies to make sure that they meet a number of standards. It makes sense when you think about it. Because if a company is not managed properly it will fall over. Now if I have put a lot of effort into growing a home business, the last thing I want is for that company to fail because of poor management. As well as the financial implications (you're in this to make money after all), you do not want to damage your personal reputation and credibility, which is a valuable asset that you have worked hard to develop.
When a company fails, people think it is because of a poor product, or not enough sales. In fact, it can be quite the opposite. This happens to small business owners too, because as the business grows, the company cannot handle the details. This includes managing the sales, salaries and commissions, and paying their own bills. And because they cannot keep everything going, they actually sell themselves out of business.
Of course, there are companies that fail because of other reasons, like fraud, not keeping up with the needs of the customers and so on.
So what do you look for in a company? Well personally, I always start off with a bit of due diligence, which is as easy as doing a Google search. Just to get a feel for the company (remember that there are always a few complaints, so you want a general overview). I want to make sure that the company is legitimate, so it really helps if the company has a proper office and street address, phone numbers that are answered, and a help or support desk for e-mail enquiries too. I prefer it when there is a real person, with a name, in charge of the company, so you can check them out too.
To be a successful company in a growth phase (because you want the business to be growing and not shrinking), the management team must look after
o Everything to do with commissions and salary, including taxes
o All legal issues, advertising laws
o Customer service and support
o Training of staff and business partners
o Future planning and business planning
o All computer hardware and software issues, including security and websites
o Quality control
o Human Resources
o Product development
o Communication
o Sales and marketing
o Delivery of products or materials (some are digital but many companies still provide product and/or training materials physically).
o International business
o Admin
And so on and so on.
This is just a fraction of all the things that companies have to do to keep ahead of the game and provide a solid foundation for future growth.
I believe it is very helpful to look at a home business company's track record. If it has been around for a few years, is operating successfully and is handling the growth well.....these are good indicators that things are fine.
