Small businesses are being forced to make a number of difficult investment choices in order to survive the tumultuous changes brought about by the digital revolution. Entrepreneurs are finding some of these investment choices easier to wrap their heads around than others, however, while other business owners are allowing important opportunities to slip by without taking advantage of them.
Don’t let your small business suffer because you didn’t recognize a great investment opportunity or know which choice to make when the moment arose. Here are two key investment choices a small business can make that will bolster its commercial future.
Learn how to invest in your employees
The most key investment choice a small business can make is whether it’s going to invest in the longevity and wellbeing of its employees. Some businesses find it necessary to cut costs wherever possible, including and especially when it comes to the luxurious treatment of workers who are viewed as nothing more than company assets. Luckily, more small businesses that want to stick around and earn a profit in the long-run are waking up and realizing they need to treat their human workers with respect if they want a smooth-running business.
It may seem contrary to logic but spending hefty amounts of cash on the wellbeing and improvement of your workforce is actually a fantastic long-term strategy for your company. Such initiatives as paid family leave, company sponsored vacations, or a business helping workers purchase the digital devices they’ll need are frequently dismissed by small business owners as being too expensive. In reality, however, helping your employees be as productive as possible in their working hours is one of the best investment choices you can make when it comes to operating your own business.
Certain pro-family company policies like paid sick leave enable workers to attain financial security and personal wellbeing, which is important if you want them to stick with your small business for long. Over time, you’ll come to realize that it’s only possible to develop a stellar team of commercial gurus if you recognize your workers as real people with problems that you can help with.
Being good to workers doesn’t come at the expense of productivity, either. As a number of worker models from Europe illustrate, company policies that focus on providing extensive vacation plans to employees traditionally lead to major boosts in productivity. This is because workers who are given time to rest and recharge their batteries after a brutal season feel more comfortable returning to the office and getting serious about work when their vacation is over.
Learn how to invest in your digital infrastructure
The next key investment choice that most small businesses face is whether they’ll be adequately investing in their digital infrastructure and making IT assets a primary concern of theirs in the forthcoming years. For many this is daunting because of the huge cost and sometimes the need to turn to an investment bank for funding. Regardless of which industry or niche market your small business is in, there’s likely a huge benefit that can be derived from further digitizing your operations and making your employees more tech-savvy. Some small business owners continue to think that the tech revolution is a short-lived phenomenon that can be waited out, however, which is a sorry mistake to make that will cost you dearly over the years.
Small businesses should choose to invest in their digital infrastructure and take radical steps to help their workers make adjustments and stay relevant amidst the digital transformation. Sometimes this means time-consuming and lengthy employee training seminars, but if your workers aren’t receiving thorough training on how to use digital technology all of the IT investments your company makes will effectively be wasted. Furthermore, you should be helping your employees become as flexible as possible, as while we cannot predict future technological changes we can know with certainty that adaptability will remain important for companies going forward.
Choosing to make the key investment in your digital infrastructure could be what prevents your small business from suffering a data breach, too, which is increasingly becoming a central concern for businesses everywhere. This is because modern consumers are now fretful about data privacy, and those companies which don’t take IT security seriously are going to be paying dearly when their customers leave them in the wake of a server meltdown. Coming up with a comprehensive digital strategy is going to be an important role for small business owners in the near-future.
Don’t make the crucial mistake of ignoring key investment opportunities that could help push your business into a new, more prosperous era. Ignoring the potential of your employees and thinking that training initiatives are a waste of time will backfire and result in a lackluster workforce. Similarly, ignoring the IT revolution and failing to adequately digitize your company is a surefire way to lose ground to your competitors. Make these two investment decisions as early as possible, and your small business will be thriving in no time.