As we have noted on numerous occasions, forming your own company and managing your own business requires a number of key skills; from marketing and accounting to distribution and sales. However, according to a recent report by IT specialists HP, company formation owners are so concerned about the day to day running of their company that they are failing to plan for the future.
One the most important aspects of running a business is negotiation. From bartering with suppliers to getting the best deals on premises and vital equipment, have excellent negotiation skills can make a marked difference to your bottom line. However, a survey conducted by the Forum of Small Businesses revealed that many small business owners don’t feel that their negotiation skills are strong enough.
The report also found that while over sixty five per cent of all the small business owners asked felt that negotiating with suppliers is key to improving cash flow, only thirty per cent actually did so. Of all the reasons given as to why they didn’t, time constraints ranked highly.
Richard Sawyer, business advisor to the FSB comments; “While the UK is now officially out of recession, the economy remains unstable. For small businesses to survive they must insure that their cash flow is controlled and well managed. One of the most important aspects of this is negotiating with suppliers to insure they are getting the best deal possible.”