In today’s world, small businesses dominate the economy. Out of all the business in the United States, small business accounts for 99% of it all. For a business to be a small business it must have under 500 employees, be locally owned and operated, dependent on the industry, and one or few owners. These owners receive a high amount of respect from all the employees and co-workers. Most of the time the owners have put forth a great amount of time and money in order for the company to be existent. Also, the owner will have more than just his or her money invested. He will have loans from the bank and also some of the family’s money invested into the business. Therefore, most of the owner’s life is spent running the business and making sure it stays on track. Many entrepreneurs start up a business because of a few advantages: they can be their own boss, make a lot of money, they have freedom and flexibility, and do what they love to do. On the flip side, it is a capital risk, long hours, high stress, and fluctuating sales.
Therefore, many people start up a business hoping to make a lot of money not knowing all the details it takes to successfully run it. Some factors that cause a business to fail are; poor management, nepotism, taxes, miss-hires, too much overhead, and product to market failure. After taking all of these things into consideration, I went out and interviewed 3 business owners and collected information from all of them. Many of their answers were very similar and some were very different. For my paper I interviewed three business owners or daily managers from three different business fields. First, I interviewed Gary Sims from Sims Insurance Agency. He got involved in the company about 10 years ago when he purchased the company. Next, I interviewed Tom Gallagher from Countrytyme, Inc. He is into real estate where he purchases land and resells it. Last, I interviewed Joshua Garey from Grainger. He is a daily customer service manager. He got started with Grainger through their management trainee program.
Throughout the research packets, interviews, and other additional findings certain themes seemed to reappear in many different ways. There were some very significant similarities between the three research surveys. There were two major categories from the first question on the survey that three people I interviewed had very similar answers for their most important. It seemed that money and customers ranked higher than any other aspect on the survey. Specifically, overall growth in revenue seemed to be ranked the highest out of all of them. Next, would be to improve service to their customers. Followed by improve profits margin and increase success in retaining customers. Lastly, improve return on capital rounded up the similarities as most important. With these five answers continually repeating themselves throughout the surveys and answers, then there must be a catch to them. Well it is not to difficult to find the catch between customers and making money. If a company, such as these three, takes to heart what they feel is most important and lives by it then what they want to come true will happen.
All three of these businesses are very successful in their own right. Therefore, improving customer service and then increased success in retaining customers, which they feel is very important for their business, helps them meet their financial goals. It is quite obvious why those answers were ranked among the top. If a company improves its customer service and then increases customers the rest will follow, such as growth in revenue, improved profit margin, and improved return on capital. There also were some similarities between the answers ranking at the bottom of the question on the survey. First, ranking low on the survey was financially viable return on investment in new services and facilities. During each of my interviews there were a few specific questions that I asked each business person. ” Basically I got the response back that I expected to hear. There was nothing to out of the extraordinary just the basic everyday managerial duties one has as an owner or manager.
Everyday tasks include such things as paperwork, dealing with customers, working with employees, checking inventory, and making sure the business runs smoothly and efficiently. All of these things must be done everyday for the business to stay on top of everything that is going on and to continue to make money, which is the bottom line. All of this work seems very time consuming and for the most part it is. One thing the owners mentioned is the fact that they are very busy during the day, but to make sure and save some time for yourself. This also goes along with the internet article I found on BusinessWeek. It simply states that people today are so concerned with making themselves available 24/7/365 to their customers that they have no time for themselves. The next question I asked them, “What type of practices or guidelines do you work by in your business?