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Common SME Errors You Cannot Afford To Make

 

For those building, managing and developing an SME, it can often feel as if the world is on their shoulders. From employee management, to the payment of taxes and the generation of revenue, the responsibilities and duties of an SME owner are extensive. Not only is there an abundance of responsibilities however, but these duties are often highly important and fundamental to the management and success of the business. With this in mind, SME owners will know the importance of never missing a trick – even if some of us often do. Here are five common SME errors that business owners cannot afford to make.

Staying Offline

Most of us should know the business importance of the internet. It is the most important and fruitful marketing tool for millions upon millions of businesses worldwide, working as a platform for globalised markets, direct and convenient customer interaction, networking and new-age advertising.

The best thing about the internet for SMEs is that it is a guerilla marketing heaven. Advertising, marketing, promotion, customer interaction and sales can all be done through the internet to very large markets at very little costs. This makes the internet an indispensible tool for SME owners aiming to operate on a budget.

Nonetheless, there are still plenty of small to medium businesses that are not taking full advantage of the internet. Worse still, there are plenty of SMEs that aren’t online at all.

The cheapness and ease by which the internet can be utilized to great effect make staying offline a grave error for SMEs.

Ignoring Student Employees

Most SME owners will know all about the difficulties in making ends meet and generating enough revenue to operate their business healthily. They will also know the financial burdens of hiring full-time employees. The problem is, money spent on employee wages can be better put towards other important aspects of an SME, while the importance of employees cannot be underestimated, as without them, the business wouldn’t operate.

Hiring students looking to make a bit of side money and most importantly gain experience is one way of cutting wage costs, without the operation side of your business suffering.  

Ignorance of the Tax System

It shocked me to hear that last year thousands of SMEs lost out on huge amounts of money through failing to claim back their tax refunds. It could only have been due to an ignorance of the tax system, as no human being would forget to claim back thousands of pounds – unless they were so rich it was seen as small change of course.

An ignorance of the tax system is therefore a blunder many SMEs made last year. Learn as much about taxes as time will allow you to, and seek the specialist help of firms such as RIFT UK, to help discern if you are owed anything and what you are owed.

Dealing with taxes can of course be a chore, however when significant sums of money for your SME is at stake, it is best you deal with such matters carefully. 

About the author:

Malcolm is a freelance writer and business fanatic from Central London. His passions are writing and online marketing.