I took over as managing director at Informed Choice at the end of 2019 and have since faced numerous challenges.
Some of these are similar to those faced by a business of any size. Some are more keenly felt in a small firm.
From financial hurdles to operational complexities, small business owners/managers face an array of obstacles that require resourcefulness, adaptability and determination to overcome.
Covid pandemic
One of the first big challenges I faced was the Covid pandemic. My mentor and previous owner had never had to deal with such an issue in the 24 years he had owned and run a company, so available advice was limited!
Allowing remote working has allowed us to compete for talent in a much wider pool
Luckily, we had put some systems and processes in place over the few months prior, including a virtual filing system that included a secure portal with the facility for clients to sign documents digitally. We were also fully cloud based and had purchased new laptops to replace desktop computers.
We were able to work from home immediately and continue to provide a service to our clients, albeit remotely rather than in person.
Since then, we have continued to work in a hybrid manner. Allowing remote working has allowed us to compete for talent in a much wider pool. We also have some clients that prefer the convenience of video meetings, so can offer the choice between that or face to face meetings.
The last couple of years have taught us numerous lessons. Our use of technology has improved, our onboarding process for new staff is better, our staff retention is better and we work harder on communication both within the team and with our clients.
Human resources and talent acquisition
As alluded to above, recruiting, retaining and managing a skilled workforce can be a significant challenge for small business owners. In the past, while we were offering competitive salaries, we didn’t offer flexible working or a competitive package of benefits.
We have improved our overall benefits package, are currently trialling a four-day working week and continue to offer hybrid or full remote working.
One of the benefits of working in a small company is that you are not just a number
Part of the culture of our firm is to offer a share in the profits as well. We have monthly team meetings and have worked hard to provide a positive work environment, offer growth opportunities and foster a sense of belonging to keep the team motivated and engaged.
I think one of the benefits of working in a small company is that you are not just ‘a number’. You can have a direct impact on the business, have ideas heard more easily and ultimately have more say in the way the business operates and how your career develops.
Specific challenges for me include having two members of the team off on maternity leave at the same time. With a bigger company, the workload can be more easily absorbed, but this is more challenging when there are fewer of you. Thankfully, they are both now back working with us as they are important members of the team.
Competing with industry giants can be an uphill battle, as they have greater resources, brand recognition and market reach
We have also had a member of the team unfortunately diagnosed with a serious illness and, again, have had to absorb the workload. Thankfully, via the benefits package and his own insurances he is adequately covered financially, leaving him free to focus on recovery rather than having to worry about finances.
Competing with established players
Small businesses often operate in sectors dominated by larger, established players. Competing with these industry giants can be an uphill battle, as they have greater resources, brand recognition and market reach.
For small businesses, carving out a niche and finding unique value propositions are crucial to differentiate themselves and attract customers.
Operational complexities
Managing the daily operations of a small business requires wearing multiple hats. Business owners often find themselves overseeing tasks ranging from sales and marketing to IT to employee supervision.
The challenge lies in balancing these responsibilities effectively while ensuring each aspect of the business runs smoothly. As the business grows, operational complexities can magnify, demanding efficient systems and processes to maintain consistency and quality.
Managing the daily operations of a small business requires wearing multiple hats
Around 18 months ago we recruited a practice manager who has been vital in overseeing a number of these tasks, as well as the very large task of changing back office systems.
Running a small business is a journey fraught with challenges, but it’s also an opportunity for growth, creativity and resilience. It is a challenge I am relishing.
Shelley McCarthy is managing director at Informed Choice
