Did you write your business plan?
Starting a small business is always risky, and the chance of success is slim. According to the U.S. Small Business Administration, over 50% of small businesses fail in the first year and 95% fail within the first five years. Whether you are starting a new Salon, are looking to raise additional capital to expand your currently profitable Salon, or looking to evaluate and value your Salon to sell, current statistics prove that you will do much better with a business plan than without.
The 4 Principles of Successful Inventory Management
Managing inventory is always a struggle. Too much, or too little is never good, and finding that middle ground seems next to impossible. Having too much inventory means our carrying charges will be higher as we will hold inventory longer. Having too little, and we’ll miss important sales that could generate gross profit. So, with both ends of the spectrum representing high costs and lost profit, how exactly does a company find that middle ground? Is there a way to balance out the scale? Well, there is no guarantee, but there are four principles that all companies should follow when it comes to managing their inventory. Doing so might just get your company that much closer to your ideal inventory levels. First, we’ll review what goes into your inventory costs, and then we’ll look at the four principles of successful inventory management.
