Category: Process & Business Expansion

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Finance Process & Business Expansion Startup Strategy

5 Ideas to Rebuild Small Businesses Amid COVID-19 Pandemic

Few tips that can help small entrepreneurs to rebuild their business post COVID-19 pandemic
Few tips that can help small entrepreneurs to rebuild their business post COVID-19 pandemic. | Representative image

Mumbai, August 14: With the coronavirus lockdown still persistent in the country, small businesses are the most hit. While some have pulled down their shutters completely, others are looking for strategies to rebuild and reshape their businesses. Here are a few tips that can help small entrepreneurs to rebuild their businesses:

1) Financial Damage Assessment:

Every entrepreneur needs to analyse and calculate how bad their business has been affected in the COVID-19 lockdown. The first step that one entrepreneur shall take is to update the financial statements which include profit and loss or cash flow statements. Comparison with previous year’s numbers to see the loss is certainly a good idea to begin again.

2) Reshape Business Plan:

Ideas that might have worked pre-COVID-19 era, may not work after the lockdown. So it is very important to remodel the business strategy and do some fine-tuning. Paying close attention to competitors’ plan is another idea that would certainly help in reshaping the lost business.

3) Focus on Generation of Working Capital:

When an entrepreneur takes an initiative to rebuild the business, especially after COVID-19 pandemic, focussing on the generation of working capital becomes the priority. Without this essentiality, all plans to reshape a business model will turn into a failure. Look out for options for a sustainable and suitable financial lender/s who can show some faith in you (entrepreneur). But, for that, mutual understanding and trust are required, which an entrepreneur will have to build with the lender/s.

4) Revamp Budget Account:

Calculative risks during times like COVID-19 always help in revamping budget requirements for entrepreneurs who want to rebuild their businesses. All business ideas have pros and cons, however, a clear idea of what is needed for budgeting and what can be cut from the expenditure would certainly help in achieving the goal — monetary waste. Salary cut to self and only essential hiring are some of the good ideas that have been prescribed by experts.

5) Contingency Plan for the Next Crisis:

This is perhaps the last, but the most effective way to give life to business while rebuilding it. Learn from the previous mistakes and start working on the contingency plan for the next crisis. Saving the profits by cutting down useless expenditures and adapting self to the new way of business are some ways which will keep an entrepreneur in the market for a longer period. Moreover, thinking out-of-the-box to prepare for a worst-case scenario will be fruitful.

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Finance Process & Business Expansion Startup Strategy

Emergency Credit Facility Under ECLGS for Small Businesses Hiked From Rs 25 Crore to Rs 50 Crore, NCGTC Modifies Operational Guidelines

MSME (Photo Credits:
Emergency Credit Facility Under ECLG for small businesses hiked from Rs 25 crore to Rs 50 crore by NCGTC. | Representational Image.

New Delhi, August 12: The National Credit Guarantee Trustee Company Ltd (NCGTC) on Wednesday issued a circular regarding the modification of operational guidelines for Emergency Credit Line Guarantee Scheme (ECLGS). The common trustee company informed that the new operational guidelines will now cover individuals and more enterprises amid the COVID-19 pandemic.

Informing about the minutes of the modification of operational guidelines for ECLGS, the NCGTC stated that the upper ceiling of loans — outstanding as on February 2, 2020 — has been increased under the scheme from Rs 25 crore to Rs 50 crore. Apart from this, there has been a hike in the upper ceiling of annual turnover from Rs 100 crore to Rs 250 crore. This has been done in line with the increased ceiling of loans outstanding and revised definition of MSME issued by Union Ministry of MSME.

Among other details, the NCGTC circular stated that there has been an increase in the maximum amount of NCGTC to Member Lending Institutions (MLIs) under the ECLGS. The amount limit has been raised from Rs 5 crore — at present 20 per cent of Rs 25 crore — to Rs 10 crore, which is 20 per cent of Rs 50 crore. However, it has been made clear that those individual loans given for business purposes should fulfil the eligibility criteria prescribed under the scheme.

NCGTC Circular Regarding the Modification of Operational Guidelines for ECLGS:

Earlier on May 23, 2020, the NCGTC was set up by the Ministry of Finance’s Department of Financial Services as a common trustee company to manage and operate various credit guarantee trust funds. It was incorporated under the Indian Companies Act, 1956 on March 28, 2014, with a paid-up capital of Rs 10 crore.

Under the NCGTC, five trust funds currently operate:

1) Credit Guarantee Fund for Skill Development (CGFSD
2) Credit Guarantee Fund for Education loans (CGFEL)
3) Credit Guarantee Fund for Factoring (CGFF)
4) Credit Guarantee Fund for Micro Units (CGFMU)
5) Credit Guarantee Fund for Standup India (CGFSI)

The NCGTC was launched ECLGS on May 23, 2020, for all the financial institutions of India. Among the four key points, which differs it from other schemes include — 100 per cent credit guarantee, zero guarantee fee for banks and customers, pre-approved loans and minimum bank’s risk weight allocation. However, the scheme will continue till October 31, 2020, or till the time Rs 3 lakh crore of the loan amount is sanctioned. The NCGTC has also made it clear that borrowers must be GST registered wherever it is necessary.

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Process & Business Expansion Sales Startup

Steps Taken by Modi Government to Give Relief to MSMEs, to Accelerate the Wheel of Economy That Slowed Down Due to Lockdown

Business in India | Representational Image Only (Photo Credits: Pexels)

The government has said that the recent steps that it has taken are aimed at giving relief to MSMEs which will in turn accelerate the wheel of economy in India. Union Minister for Micro, Small and Medium Enterprises Nitin Gadkari, during a webinar said that the changing the definition of MSMEs, Scheme of Fund of Funds, Champions portal, extended credits to MSMEs will certainly accelerate the wheels of economy which had slowed down due to lockdown in the wake of the coronavirus pandemic.

During his address, Gadkari informed that loans of about Rs 1,20,000 crore have been disbursed to MSMEs out of Rs 3 lakh crore announced in the relief package. Discussing about the problem of delayed payments, he said that instructions have been given to all Ministries, Departments and PSUs to clear pending bills of MSMEs within 45 days. He also urged all Chief Ministers to issue directions for clearing MSME dues by their State/UT Ministries/Deptts and PSUs on priority. The Minister added that we are closely monitoring the complaints lodged at SAMADHAN Portal also.

Gadkari said this while addressing a Virtual MSME Conclave organized by FICCI Karnataka State Council. The Minister further appealed to all the stakeholders to do away with all kinds of fear and negativity and assured that government is doing everything possible to make the country a super economic power. The Minister informed the participants of the webinar that we are working on the idea of a Land Bank and Social Micro Finance Institution which will be very helpful for entrepreneurs and persons who want to run small shops and businesses.

While discussing Atmanirbhar Bharat Abhiyan as envisaged by Prime Minister Narendra Modi, Gadkari said that handloom, handicrafts, khadi industries and agro-based industries should be encouraged especially in 115 aspirational districts in India. He said planning will be taken up for special policies for agricultural, rural and tribal sector because they have huge potential of creating employment.

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Finance Process & Business Expansion Startup Strategy

Innovative Ideas for Entrepreneurs to Keep Restaurant Startups Rolling Amid COVID-19 Pandemic

Apart from unique challenges, the COVID-19 brought fresh opportunities for India in the hospitality and allied sectors. Here are few ideas which entrepreneurs in restaurant startups can try to keep their businesses rolling.
Innovative Ideas for Businesses

Mumbai, August 11: With almost five months out of business due to the coronavirus lockdown, one of the worst-hit sectors in India is the food and restaurant businesses. While many startups opted for innovative ideas, others failed to survive the lockdown. India’s lockdown against COVID-19 is considered to be among the toughest, however, relief measures given by the central government did keep the hope alive.

Apart from unique challenges, the COVID-19 pandemic brought fresh opportunities for India in the hospitality and allied sectors. Many startups succumbed, but few thrive as they looked for a window to keep their businesses running. Use of social networking and personal relations still make those few reaping profits in adverse market conditions.

Here Are Some Ideas Which Helped Small Restaurant Businesses Survive:

1) Use of Social Media:

During the lockdown, the biggest challenge for a restaurant business is to connect with their customers. Social media became a boon for all those startups who remained in contact with their valued customers. Be it Facebook, Whatsapp, Twitter, Gmail or Instagram, these social media apps helped the small entrepreneurs to keep their businesses running.

Apart from providing the latest information regarding the renovations in restaurants to take away services, people came to know it from social media only — if their favourite dining places are open or closed. Also, updating the precautionary measures taken by the firm to keep its customers safe, did make a lot of difference.

2) Adaptations and Collaborations:

Adaptation to norms and guidelines issued by the administration did play a great part for startups. For example, Chaayos — which started in 2012 — joined hands with another influencer marketing platform called Pulpkey. Apart from serving the ‘signature “Meri Wali Chai“, they also decided to create awareness among people. For this, they hired renowned content creators and influencers and started sharing quality content straight to the customers’ mobiles via social media. Hence, Chaayos is still serving the ‘chai drinking nation’ with the same zeal and love.

3) Takeaway and Door-Step Delivery With COVID-19 Protection:

Foodies anywhere are foodies. Be it rain, dawn, dusk or midnight, foodies will order food online. However, the COVID-19 stopped the wheels of food-delivery guys for some time. Business took a hit and many wrapped up their shops.

With the Unlock guidelines issued, the wheels started to roll and food-delivery was again back on track. This time, the food delivery system was a little different. First, the delivery guys maintained a 6-feet distance and secondly hygiene maintenance was observed very strictly. The result was small entrepreneurs in the hotel business managed to survive. Special mentions to food warriors of Swiggy, Uber Eats and Zomato.

4) Marginal Charge for Hygiene:

This is something that customers in India don’t like. Since lockdown is in place and sit-in dining is almost restricted in most places, charging extra for take-away to door-step deliveries — by asking customers to pay for hygiene practices — may take not be a welcome move.

However, making valuable customers understand the importance of hygiene practices and costs associated with it, the gesture might help. These days customers are well aware of the dangers of COVID-19 and are willing to pay extra to cleanliness and hygiene. So looking at the broader prospect, the idea of charging a marginal fee for cleanliness may help entrepreneurs to keep their business functioning.

5) Financial Management and Revenue Generation:

Among all the other factors, the utmost requirement is to keep the startup moving forward with proper financial management skills. Due to the COVID-19 revenues of almost all food-allied entrepreneurs declined, some even bailed-out too. But few are still sustaining and may sustain for long as they have ample revenues for it.

For those, whose revenues are crippling and businesses are on the verge of shutting down, one of the easiest ways is to reach out to banks — which provides loans under MSME schemes at nominal interest rates and easy instalments. Reaching out for funds to family members and friends is another good idea.

6) Patience and Perseverance:

Difficulties and challenges are part of startups. COVID-19 may have seized the business ideas and expansion, but what’s important is entrepreneurs shall not lose hope and patience. They should keep inventing innovating ideas and persevere to reach their goals. Things may take a little time, but with calculative risks and patience, the flower of success will bloom.

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Process & Business Expansion

Which Franchise Model is Good For Your Business

सफल उद्दमी
सफल उद्दमी

Franchising is a superb avenue to explore while starting a business. Before investing money in the franchise, entrepreneurs should look for best Franchise Business Models which can work. While doing so, there are many questions that come up in everybody’s mind- 

Which Franchise Model will bear the most benefits? 

How are these models different from each other? 

What are the pros and cons of these models? 

If you’re one among them, then throw away your worries, we’ve got it covered for you.

COCO (Company Owned Company Operated) 

  • The COCO franchise business model is primarily run by the franchisor itself and the franchise partner only has a stake in the property.
  • COCO model offers franchisees a unique opportunity to generate profit from an established and well-loved brand.
  • The only thing required in this model is an investment. The franchisee does not have to engage in the daily running and gets a guaranteed return.  

FOCO (Franchise Owned Company Operated) 

  • In the FOCO Franchise Model the initial set up cost is borne by the franchise or the owner of the business.
  • The franchisee gets a percentage of revenue or minimum guarantee while the running cost is borne by the company.
  • The company will be responsible in operating it and taking care of all the things necessary to run an outlet, such as Marketing, Logistics, Staff wages, Electricity, rent etc. and the franchise is the owner of the business.
  • The company will also have to give a fixed percentage of profit shares to the franchise owner.

FOFO (Franchise Owned Franchise Operated)
 

  • In the FOFO business model, the company basically rents out the brand for a pre-agreed time period and a particular non-refundable sum.
  • Merchandising and money are decided by the company although the company provides a few similar benefits like in the FOCO model; such as marketing, print and electronic.
  • This Franchise Model is owned by the store, that’s why the operational cost has to be borne by the franchise itself. The Franchise has to assured the percentage share of revenue and the minimum guarantee to the company.
  • This model is adopted for faster expansion of business/brand by the company. 

For example; in a Fast Food Chain where the business is operated and owned by the franchise but regular audits are done by the company to ensure standards are maintained.

COFO (Company Owned Franchise Operated)

  • This Franchise Business Model is adopted by companies when they want to reduce the operational expenses.
  • In this model the company leases the operations to an interested franchise to ensure standards are adhered to.
  • The business ownership still lies solely with the organization, the franchise partner can be changed when the company identifies a more profitable and efficient franchisee.
  • This model is adopted by the company only in well established markets where the company has operated and got a high return on investment.

FICO (Franchise Invested Company Operated) 

  • This business model is similar to FOCO but unlike the FOCO the franchise does not involve themselves in the business operations.
  • Only a fixed amount is paid to the Franchisee by the company as an investment done by franchisee in the business.
  • In this model there can be multiple franchise partners and investors as the company runs the business operations with end-to-end control of the supply chain.

Hope this account has given you a clear Idea about the different kinds of models that are present in the Franchise Business. Hence, evaluate all propositions before getting into the franchise model depending on which side of the table do you stand.  

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Process & Business Expansion

How to Transform Your Business From Physical to Digital

How to Transform Your Business From Physical to Digital
How to Transform Your Business From Physical to Digital

Move your Offline Business to an Online Business

Setting up an online business has become the new trend these days. The usage of smartphones is rising and so is the demand for an online market for everything. It’s time to get out of the traditional forms of running a business by adopting the path of Online Business Transformation. Ecommerce companies can reduce their physical infrastructure costs at the same time be available to customers at the click of a button from anywhere in the country.

Want to take your business online? Here are some key steps for easy Business Transformation.

Open a Seller Account –

Amazon is the world’s largest e-commerce company with an expertise in this for over 2 decades. One needs to register as a seller first on Amazon. Other online platforms are also available such as Flipkart (now owned by Walmart), Snapdeal, Myntra, etc. Opening a seller account is free of cost and the process is very simple. The seller just needs to add company details like:

  1. Name of the company
  2. GSTIN
  3. Bank Account Details (to receive payments) etc.

Creating a seller account is the first Business Transformation step that an entrepreneur needs to take

Product Listing –

The second Business Transformation step is to create a product listing. The seller needs to list the entire product range he wishes to sell online. A proper Product title, Bullet points, description, images, videos are required to create a good product listing. It is important that the seller should add as much information about the product with its price to make it easy for the customers to grasp and then make their buying decision quickly.

Order Fulfillment Method –

For easy Business Transformation, major e-commerce companies allow sellers to choose from different fulfillment methods i.e.,

  • Self-Ship – Here seller needs to pack all the orders themselves and take responsibility for the timely delivery of orders received within the given time period.
  • Drop Ship – The Seller is required to pack the products. Ecommerce Company gets the ordered product picked by their logistic partners. The seller is not responsible for any delay in delivery.
  • Fulfilled– Amazon and Flipkart have their own fulfillment channel called FBA and FK Assured respectively. Sellers are required to transport their stock to the warehouses of e-commerce companies in bulk. All the packaging and order delivery is then handled by the company itself.

Regular Payment –

There are no issues of payments when one decides to go for digital Business Transformation. Normally, the first few payments of the orders dispatched is credited to the seller’s bank account within 15 days. Post that, the seller receives payment every 7 days. The seller should keep track of all the transactions. Any delay in payments should be notified to the Ecommerce Company.

Amazon and Flipkart is very seller centric, they get these issues resolved in 24-48 hours.

Account Health –

Last but not least, the seller account health is very crucial for future business and this is a key Business Transformation step. Account Health or Seller account reputation is a reflection of customers’ good or bad experiences. When orders get delivered to the buyer, the Ecommerce player asks for customer feedback which is added to the seller account health. Satisfied customers can give a 5-star rating on the products; on the other hand, unsatisfied buyers will give lesser star ratings. This way the seller will be alert at all times and will supply perfect products to reserve the goodwill. Frequent negative ratings from buyers can result in the suspension of your seller account as well.

Easier said than done, right now these digital Business Transformation steps may seem easy, but providing a good quality product and strong backend operations to keep you ahead from the competition is a tough task. Today E-commerce deals in almost every product providing discounts and benefits to their customers. The customers take more interest to shop online than stepping out as they can buy whatever they want and that too at prices lower than the market. Going digital is cost-efficient and effortless for both sellers and consumers at the same time.

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Process & Business Expansion

How To Write A Business Proposal

स्टार्टअप इनोवेटर्स
स्टार्टअप इनोवेटर्स
create a winning business proposal
A Business proposal bridges the gap between you and a potential client. The proposal consists of key project details, summary and other key objectives about your business. It outlines the value proposition of your business and the primary purpose is to persuade the client to do business with you.
A solid business proposal increases your chances to win a new business. It is a definitive sales record, and answers all the concerns your client has. There can be tons of ways and approaches to write a proposal; from the content to the designing, each piece of a triumphant business proposal requires keen arranging and advancement.
Before crafting the perfect Business proposal, it is important to understand whom are you writing this proposal for, and hence it needs a little preparation.
Preparation
The arrangement stage represents the moment of truth for your business proposal. It guarantees that the proposal doesn’t simply say what your identity is, it recognizes why you are the best choice to serve the customer.
Think about these inquiries before writing a business proposal: 
  • What do they do?
  • Who is the decision-maker?
  • What are their primary concerns?
  • What support or assets do they currently have?
  • Which arrangement would give the best worth?
Here are a few points you need to know before writing an effective Business proposal:-
1. Start with the title
Your business proposal should begin with a cover sheet, which ought to incorporate your name, the name of your organization, the name of the individual to whom you’re presenting your proposition and the date submitted.
  • Make sure you include your name, contact information, logo, your company name, date, and details of the client you are submitting the business proposal to.
  • You should be very clear on the points ’Prepared by’ and ’Prepared for’.
2. Cover letter/Introduction
  • The introductory letter is all about the presentation, mission, and vision of your organization.
  • Start with a small company introduction, a concise background of your organization, and a short passage of what makes your business better and unique than the rest.
  • Highlight the accreditations, awards, and achievements of your company in the introductory letter.
  • Make sure your introductory letter is clear and ought to urge your customers to pose the inquiry.
  • Try to clarify the fundamental belief of your organization.
3. Table of contents
Contingent upon to what extent your proposal is, a chapter by chapter list is a pleasant touch. Incorporate it after your cover sheet or title page, and before you dispatch it into any details. In case you’re conveying it as a PDF, include grapple interfaces/anchor link down to each segment, so it’s easy to get to specific point and area. If you are sending an electronic proposal, make sure you are creating a clickable table.
  • The table of content depends on how long your proposal is?
  • The table of content includes the page number where each segment and sub-segments can be found for easy navigation of your readers.
4. Executive summary
Present your proposal with an incredible executive summary, one that truly sells your business and product you are offering’it clearly states why you’re the correct organization for the job.
  • Explain why you are sending this proposal and why you have the best answer for your prospective customer.
  • Mention how your organization and service is taking care of the consuming issues to make it more engaging and relevant.
  • Summarize the offer and the value proposition of your organization.
  • Your customers ought to have a clear thought regarding your organization and product in the executive summary, regardless of whether they read the full proposal or not. 
The executive summary covers the entire body of your proposal. It incorporates 5Ws and 1H. It includes the problem, solution to that problem, deliverables, project milestones, budget and pricing, clients & references, social proof, and terms & conditions.
 

Let’s separate it to understand better:- 

  1. Problem ’
    Here you need to give the outline of the problem that is affecting your potential client. Show them that you comprehend and feel their concern and the massive need to eliminate it.
  2. Solution ’ 
    You have to tell them that you know about the difficulties in the undertaking and give them a plan of how you would move towards solving the problem. Ensure you alter the solution according to the customer’s needs.
  3. Deliverables ’
    This segment characterizes the statement of work. Covey your exact timelines, manpower, cost requirements. This segment of your business proposal makes the data increasingly critical and time-bound.
  4. Project Milestone ’
    Here you will give the customer a smart thought of how the advancement of the venture will look like. Try to separate the task into a few stages and feature the key events and expectations required at each stage.
  5. Budget and Pricing Create a table for your financial plan that clearly shows your whole product and administration costs. Try not to overestimate the spending that frightens your customer. Be more specific with your costing to negotiate late down the line.
  6. Social Proof ’
    Including tributes and remarks from a portion of your fulfilled customers and clients help in constructing believability. Disclose to them why they should trust you. Have 2-3 effective contextual case studies of your past projects; this will build confidence among the other party that you handle the venture well.
  7. Terms & Conditions ’
    This segment incorporates the insights concerning the payment plan, venture timelines, how the proposition can be revised, and the span of the agreement. Terms and conditions incorporate an outline of what is concurred among you and your customer. Make a point to be extremely clear about the terms and conditions with your legal team before sending it.
  8. Final Touches-
    The final touch is to incorporate space for signature at the end of the document. 
A business proposal is your chance to exhibit your business’ abilities and your one of a kind strategy to address a client’s pain point. Focus on the length and language while writing the proposal. Keep it simple and clear for your customer. Building up a solid proposition should not be done in haste because thought through proposals can lead to big business achievement.
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Process & Business Expansion

Importance of Customer Survey in Business Growth

जॉब
जॉब

3 Ways Customer Surveys Can Improve Your Business

Today it is very easy for business owners to reach out to their prospective or existing customers through an online customer survey. These business surveys allow the company to interact with the market directly.  Customer surveys can help you gauge how to retain existing customers and also find ways on how to attract new ones. 

A Customer survey is a valuable tool for achieving product innovation, making an important business decision and understanding customer pain points. 

Let’s understand a few benefits of customer survey and how it can grow your business: 

1. The survey can help you customize your product

  • Conduct a personalized survey for your customers and employees to ask about your product & get feedback.
  • Ask your customers to rate your product on a scale of 1-10. This technique is also called Net Promoter Score (NPS).
  • Whenever your customer buys any product from your website, send them a survey based on the product which will help you to understand their reaction and behaviour.
  • Customer survey data can tell you about the new trends in the market.
  • A survey can help you identify how much your customers are willing to pay if there is a demand for a particular product.

2. The survey can help you customize your service

  • You should always analyze the data and use that to improve your business strategies.
  • If you notice that your customers are having the same problem again and again it means your service is not addressing the issue, perhaps it is the time to take possible action to improve your customer service. A survey for customer satisfaction will help you address the issue.
  • Use negative feedback as a learning and growth opportunity to improve your services.
  • Try to make the Customer survey short and simple to follow.
  • Survey needs to be prompt and personal if you want to grow your business.
  • The most critical lesson you can take from a survey for customer satisfaction is that there is always a scope of improvement in your product and service.
  • Show your customers that you are taking their opinions seriously and are making some important business decisions based on them. Make them their opinion is important for your company.

3. The survey can help you understand your customer beyond just business

  • In the end, our customers are more than a name on the screen.
  • You should always focus on the pain points of your customers beyond just business to improve the survey for customer satisfaction.
  • Start collecting their birthdays, anniversaries, family details, etc. to touch them emotionally.
  • Send them offers and discount coupons on their special day to make them feel important; this will also lead to more sales and revenue generation for the company.
  • The best Customer survey includes open-ended questions, scaled questions and the combination of yes/no question.
  • Send a thank-you note or good health mail regularly to make them feel that you care for them. This practice will keep them interested enough to come back again for the purchase.
  • Write blogs on tips and tricks on the best use of your product based on customized needs which you have gathered through survey for customer satisfaction.

A Survey for customer satisfaction is more than just collecting the data and improving your product. It also creates a sense of involvement and importance in your potential customers. You want your customers to know that their opinion is important and matters to the company.

Here are the top 4 reasons you must be in touch with your customers regularly:-

  1. Show them that you respect-
    Asking for their valuable opinion shows them that you respect what they say. A customer that feels respected and important will stay with you for the long run.
  2. Measure their loyalty-
    Analyze the existing customer data to know their loyalty towards your company or product.
  3. Identify new opportunities-
    With the help of regular customer surveys; one can identify their need and problem which will lead you to delve on a new opportunity to solve that problem.
  4. Learn more about your customer-
    By understanding their needs, personal feelings and what they want, you can directly get to know how they think and feel. 

Customer survey boosts the overall brand awareness amongst your target group and strengthens your brand image in their mind. Try to customize the look and feel of the survey according to your audience. Select different colors and font for unique customer experience. However, the outcome should be one- valuable insights that can help you garner a high score on customer satisfaction.

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Process & Business Expansion

How to Manage Your Inventory Effectively

बिजनेस
बिजनेस

Tips for Retailers to Manage Inventory Better

Inventory management is one of the most important parts for a retail business Paying attention to your sales data and inventory details is very crucial for the smooth running of your business operations. The objective of inventory control is to strike a balance between sufficient stock and over-stock. The stock maintained by a business entity at a particular point in time should be sufficient to meet the production requirements so that uninterrupted production flow can be maintained at all times. 

Here are some top inventory management techniques for entrepreneurs:
 

1. Use Barcode Reader 

  • Keeping track of inventory is a cumbersome job. These days it is very difficult to keep a record of inventory flow without any software. There must be a proper record-keeping system for all the stock one is holding. Using a bar code reader for inflow and outflow of the stock is one of the best inventory management techniques one can opt for.
  • There are EAN/UPCs printed on most of the products, barcode reader device can scan the EAN or UPC and adds the inventory to the software it is linked to. This way you’ll be able to see the entire inventory on your computer screen with just a single click. For any outflow of inventory similar process should be followed. This way the retailer will be able to see the current on-hand inventory at any point in time.
  • Along with inventory management, daily sales reports can be generated with the available data. You just need to subtract today’s opening stock with yesterday’s opening stock you’ll get the sales numbers for the day.   

    

2. Inventory Racking System

  • Retailers cannot keep the entire inventory on a single pallet. It needs to be segregated to the designated areas and that too with proper labeling. For example ’ in grocery store daily household items like bread, biscuits, chips are kept near the counter as they are perishable and sell out very quickly. Desi Ghee will be kept on a separate rack as it doesn’t move out that frequently.
  • Labeling the racks and pallets helps in creating a separate section for similar products. This way at the time of order you will know which items are placed where and picking & packaging will be done more efficiently.

Segregation of stock proves to be the top inventory management technique because: –

A. Saves time in picking and packing of the products.

B. One can easily find out which items need reordering by just looking at the designated section.

C. Popular FIFO (First in First Out) inventory system can be easily executed.

3. Improve stock ordering

Ordering the right products by keeping your customers’ needs in mind is indispensable to ensure proper inventory management. For this, it is important to keep an eye on how products are moving and to observe how customers are interacting with your merchandise. For example, the average normal usage of a material component A is 50 units per week.

4.  Physical Stock Check

  • With barcode readers and Proper Inventory Systems, the retailer can do inventory management very effectively. There won’t be any issues finding:

?
On hand inventory

?
The bestselling products

?
Products to be reordered

?
Slow-moving products

  • Regular check on the physical stock is required to make sure the inventory showing in the software matches with the actual inventory status. There could be a situation when the retailer forgets to mark the inward stock by barcode and it will not show up in the software, whereas the stock is physically available in the store. Similarly, any miss in the scanning of outward supply can show the inventory in the software but won’t be available physically. Building a strong inventory management technique checklist to fulfill the complete requirement of physical stock checking will help in resolving this issue.
  • To overcome such a situation the best inventory management technique would be physical stock check. No doubt it can be a little time taking activity but is worth the effort. The monthly physical stock check should be a regular practice for a retailer who wants to do the best inventory management technique. 

5. Know the Minimum Stock Level

It signifies ’at least how much to stock’. Every business entity must determine the minimum level of stock required by it. It is the lowest level of material stock, which must be maintained in hand at all times so that there is no stoppage of production due to the non-availability of stock. Suppose the average normal time taken to get an order from supplier to the stores, known as lead time, is 5 weeks. Here, the minimum stock level that must be maintained all the time for material A would be 450 units ’ (50 units ’ 5) = 200 units. 

6. Know Maximum Stock Level of the business

It is important to then determine the maximum level of stock for a particular business. It signifies ’up to how much to stock’. It is the highest level of quantity for any material/inventory item which can be held in stock at any time. Any quantity of stock beyond this level leads to an extra amount of expenditure due to the engagement of funds, cost of storage, obsolescence, etc.

7. Set the level of buffer stock

In any business, some quantity of stock may be kept for the contingency to be used in case of sudden orders. This stock is known as buffer stock.

Almost all businesses today are moving their base online. When the flow of sale and purchase rises, the retailers need to keep track of the top inventory management techniques discussed above to create a flexible functioning of the business.

Categories
Process & Business Expansion

How to Start an Online Business Instantly

ई-कॉमर्स
ई-कॉमर्स

7 Online Business Ideas That You Can Start Immediately

There are several ideas available in the market to choose from if you want to start an online business in India. We tell you a few ready to start ideas that do not require too much backend technology, investment or complete knowledge of its know-how.

1. Blogging:

Writing a blog is one of the best online businesses in India today. If you love to write and want to share your experience and thoughts, blogging can turn out to be a profitable business. It mostly depends on your consistency and effectiveness to do so. Providing persuasive content to generate leads and appreciation is all you need. Blog writing can help you gather more and more followers. Now you can start earning money by selling ad space or products which can be extremely beneficial over the time. Although it takes some time to strengthen your follower base, but eventually it’s totally worth the effort.

2. Become a Vlogger:

You just need to think of unique video concepts and there you are- all set on your journey to become a vlogger or a Youtuber. Record and edit videos via a camera or a smartphone on topics that interest; engaging content is what everyone is looking for. Social Media platforms like YouTube, Snapchat and TikTok help you sell your content directly just by engaging with a good number of followers.

3. E-commerce Retailer:

There is demand for everything and anything. If you have a shop or a small business and want to make your business digital, you can enroll yourself as an e-commerce player expanding your business worldwide and reaping the benefits of online business in India. Of course you would have to work on your delivery mechanism, payment gateways but since you already have presence in retail the backend work should not be much of hassle for you.

4. Freelancing:

One of the most underrated concept amongst all the online business in India. Freelancing can be a great option to earn money as you are providing services as per your ability and expertise and also at the convenience of your time. This of course is not a full-time job or business, but you’ll be able to make some handsome amount of money with time.  

5. Conduct Webinars or Become an Online Professor:

Over a period of time webinars as a concept has gained immense popularity in India. People with good speaking skills, knowledge about a topic along with great presentation skills can conduct webinars and turn it into a successful business model for them. For example ’ if you are a professor or a subject matter expert, you can get yourself registered with educational platforms like Bada Business, where you can create content for entrepreneurs and solve their business problems through your lecture. 

6. E-Book Author:

If you have an interesting storyline which can be converted into an e-book that could attract huge audience, you can work towards getting it published on online portals such as Amazon.

7. Stock Market Trading:

There is an orthodox mindset among a group of people who confuse trading with gambling. Online trading is one of the best online businesses one can think off. You risk some capital to gain some. One can make a good return on capital by just following these two simple  rules:

  • Buy low & sell high
  • Sell high & buy low. 

There are a variety of asset classes available in India to trade, like Equities, Forex and Commodity. All you need is just to open a trading account with a good broker and you are all to set to start your online business.

These businesses do not require too much money to be spent, just a bit of thought and strategy and you are all set to become an entrepreneur by switching or opening a new online business in India.