In order to survive in the current economic state, small-business owners need to be like a SwisscArmy knife: sharp, to the point and diverse enough to take on many tasks.
Small-business owners must also be adroit managers, which is something a recent study states they often lack.
According to a survey from Staples, the world's largest office supply company, 40 percent of small-business owners said they wished they had known more about management before starting their company. Staples conducted the survey of small-business owners to investigate some of the troubles and concerns pertaining to smaller companies and business performance.
The survey revealed some interesting statistics.
Nearly 19 of 20 respondents stated they were confident when managing their finances, but less than half of those, 45 percent, were able to define basic accounting principles such as accounts payable and accounts receivable.
Meanwhile, 23 percent of respondents admitted to bouncing a check in the past 12 months.
"A firm understanding of finances and business performance is crucial for a small business to be successful," said Steve Strauss, a leading small business expert and president of TheSelfEmployed.com.
But the study from Staples discovered nearly one-third of all respondents have a feeling of "drowning in receipts." Another 28 percent admitted to financial and cash flow problems, which postponed hiring.
"Managing finances is a challenging process and many business owners are often unaware of the tools and resources available that can help them make smart decisions and, ultimately, improve their bottom line," Strauss added.
Here are a three tips for small-business owners to consider:
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