Archive: April, 2011

Challenges That A Small Business Entrepreneur Faces

A small business entrepreneur was previously known to be a business owner who operated a small shop, strategically located, and without many activities going on in the small enterprise. As days go on, the small business entrepreneur is acquiring a new face and the role of this business owner is changing. It is nowadays required of the entrepreneur to be able to multi-task and actually rise above the challenges associated with a small business.

A small business entrepreneur is nowadays expected to face tasks like being a strategic planner. This means that he is supposed to be the vision bearer; he is supposed to determine the goals of the business as well as establish where he wants the business to be in years to come. For this to be effective and to be able to remain on track there is need to draft a business plan. The plan entails the marketing and financial plan.

The other face of a small business entrepreneur is that of being a market researcher. This means that, it is up to the business owner to find out how the market is changing, how competition will affect his enterprise as well as how he will be able to attract and sustain his clientele. The market conditions greatly dictate the survival of the business enterprise. It also helps one determine the probability of franchising the enterprise.

A small business entrepreneur is supposed to wear the face of a book keeper and accountant. It is up to him to ensure that his books of accounts are well balanced. He should keep track of his cash inflows and outflows. In addition, he needs to prepare records for taxation. In the same stride, he also needs to be his own bill collector from customers who buy on credit from him.

What Is a Job Description For a Sales Manager?

A crucial role for any business looking to expand and grow is a sales manager role. This role can vary between companies but roughly revolves around the organisation, motivation, and leadership of a sales team.

Sales teams are located in a number of businesses that provide products or services either straight to consumers or other businesses. It is up to the sales team to sell these products and services either reactively (Inbound – taking sales) or proactively (Outbound – pushing sales).

There are a variety of different sectors that employ sales managers; these can include the pharmaceutical and finance sectors, as well as fast moving consumer goods. FMCG are non-durable retail goods that are used or replaced within days, weeks or months, such as grocery items.

The sales manager is therefore responsible for selling these products and services and will have a team of sales representatives to help them. Depending on the sector and the company that you work for, your role may vary. As a sales manager you may be responsible for a particular product or service, or you could be responsible for a set area or specific customers.

A sales manager would be involved with the following duties:

Set targets/goals

The sales manager takes the responsibility for the combined performance of the sales team. Therefore, they must ensure that all sales representatives hit their targets and goals. These targets may be set by themselves or trickled down from their manager, e.g. a regional sales manager or sales director.

As a way of incentivising performance, a sales manager is also responsible for motivating the team to hit their targets. They usually organise and implement schemes to enable their sales representatives to reach these targets and even exceed them.

Recruitment

Being responsible for your own sales team means that as a Sales Manager you will also be responsible for the hiring and firing of staff. Therefore, you need to constantly assess the volume of sales and the work load of your staff.

Establish training programmes

Once a sales representative has been employed and throughout their employment they will need training. This may be in the form of initial training, such as the basic selling techniques right up to more comprehensive training such as sales strategies or management courses.

Co-ordinating sales team

This is where a Sales Manager would need to allocate different areas to the sales representatives. This could be in the form of a geographical area or a specific product or type of customer.

Developing sales strategies

As part of co-ordinating a sales team and setting targets for them to reach, a Sales Manager is fundamentally responsible for creating a sales strategy for their team to adhere to. The strategy may be a combined effort with other staff such as a sales supervisor or even more senior staff such as a regional sales manager.

Collecting data and reporting

A large section of this role is to collect sales data and information and report back to senior managers. The data that is collected could come in the form of sales performance of the sales team, or it could be customer information such as the volume of products sold to specific demographics. This information is then used as part of future sales strategies or as market research.

As you can see there are many different roles that a Sales Manager may be responsible for. Fundamentally they need to make sure they organise, motivate and lead their sales team. Depending on the size of the business, a Sales Manager may find that they are in direct competition with another Sales Manager working for a different area of the company. They may be the only sales manager of the company in which case their direct competition includes competitor companies and businesses in the same sector.

Basic Accounting Concepts – An Introduction For Beginners

- To determine whether or not a business is making a profit and how much profit is being made.

- To collect financial information for filing tax returns.

In order to understand accounting systems, knowledge of some basic accounting concepts is necessary. The accounting process is comprised of three parts, which include the journal, general ledger, and subsidiary ledgers. Each of these parts provide valuable information to a business owner.

Journal - Each individual transaction entry is entered and recorded in a journal. There are often several different types of journals in a business. Each type of journal records a different type of transaction. For example, a transaction may be classified as a sale, purchase, cash receipt, or cash disbursement. After these transactions are entered and organized in the journal, they are transferred to the general ledger.

General Ledger - After being transferred from the journals to the general ledger, the financial data is organized into three main categories: Assets, Liabilities, and Capital. The account balance is then calculated and a financial report is obtained.

Subsidiary Ledger - The subsidiary ledger provides more specific information that is not able to be provided in the General Ledger, such as the name and demographics of each customer and the customer’s balance. This information is obviously important for billing purposes.

Understanding of debits and credits is the foundation of understanding accounting systems. Because every business transaction affects at least two accounts, each transaction is recorded using a double-entry system of debits and credits. Debits are entered on the left side of the balance sheet. Credits are entered on the right side. Costs and Expenses are recorded as debits. Income is recorded as credits. Assets are recorded as debits. Liabilities are recorded as credit. Debits and credits must be equal for all entries.

The following is referred to as the General Accounting Equation:

Assets = Liabilities + Owner’s Equity

Assets are things of value that the company owns. Liabilities are what the company owes. Owner’s equity (or capital) is the net worth of a business and includes any debt owed to business owners.

For example, say I am buying a car for ,000. If I borrow 00 and have saved 00, my assets are worth ,000, my liabilities are 00, and my equity is 00. If we plug these numbers into the General Accounting Equation, we come up with ,000 = 00 + 00. Note how the equation is balanced.

Mary Blomquist writes articles and provides information on business topics. For more information, please visithttp://www.blomarservices.com