You quit your job and have entered your first month as a small business owner, or perhaps you’re in the planning stages of starting up your own small business. From having a virtual assistant to making use of effective marketing techniques, we bring you the top seven keys to achieving small business success in your first year.

1. Networking

Networking is essential for business success. But it’s not just any type of networking that will bring your business more clients and useful contacts. Being a small business owner, your time is limited. If you’re in a niche retail area, knowing all the major builders in your state or territory won’t help bring in the right kind of business. Practice selective networking – research the industry areas, pay attention to medium and longer term trends, and make a narrow list of professional and industry groups that will provide useful links. Don’t waste your time chasing irrelevant contacts.

2. Smart Marketing

Smart marketing is crucial for your first year and well-beyond. Make use of internet marketing and free marketing (for example, social networking) where possible. The reach of the internet when compared with traditional media such as radio and television is broader and more suited to the small business budget. It’s easy to spend your entire annual budget on unrewarding marketing, while using narrowly focused internet marketing tools can help you fine tune your campaigns to create selective channels targeting the right markets.

3. Keeping Overheads Low

Small business owners should be careful about keeping overheads and expenditure low. One of the simplest ways to do this is to outsource wherever possible. Using a virtual office will impress clients while allowing you to work from home for the majority of the time, saving you commuting and rental costs as well as additional outlays associated with having employees. An answering service adds an extra degree of professionalism and credibility.

4. Strategise

One of the easiest ways to strategise is to have a detailed business plan and update it regularly. Having your annual, two-year, or five-year goals definitively set out forces you to think about your business in a strategic way and allows you a chance to consider the issues that can arise so that your business can adapt more quickly.

5. Find a Good Accountant or Tax Lawyer

It’s easy to forget about tax and compliance with your busy schedule. Make the process smooth by finding a trusted accountant and/or tax lawyer. This will not only give you a clear picture of the financial position of your business, but save you many hours of hair-pulling when reporting time comes.

6. Maintain Liquidity

As the saying goes, “you have to spend money to make money.” This is true if you spend money wisely rather than impulsively. Don’t underestimate operating costs: maintain sensible stock levels and don’t be afraid of spending money on marketing and technology associated upgrades where necessary. Where these expenditures result in returns for your company, they are investments rather than costs. So maintain liquidity by budgeting well, spending sensibly, and ensure that you have access to short-term funding where required.

7. Don’t Overdo It

Finally, remember you’re in it for the long haul. Don’t overdo it in the short time. The first years will be an exciting challenge. Stay focused and positive; remember that persistence and tenacity is essential for a business owner and make sure you recharge mentally and physically on a regular basis.