Managing and Running a Small Business

Managing and Running a
Small Business

TABLE OF CONTENTS
INTRODUCTION...........................................................................................................................1
MAIN BODY...................................................................................................................................1
LO 1.................................................................................................................................................1
P 1. Evaluating the main considerations a small business or social enterprise needs to address
when planning and allocating resources to achieve business objectives....................................1
LO 2.................................................................................................................................................2
P 2. Evaluating different processes of customer relationship management for a small business
or social enterprise......................................................................................................................2
P 3. Examining small business can develop transnationally and determine the benefits and
drawbacks....................................................................................................................................3
LO 3.................................................................................................................................................4
P 4. Producing annual specified monthly cash flow forecast......................................................4
P 5. Explaining break-even analysis with specific organizational situation...............................5
P 6. Interpreting key financial statements which helps in contributing to success of the
company......................................................................................................................................6
LO 4.................................................................................................................................................7
P 7. Examining key legislation that have implications on small businesses...............................7
CONCLUSION................................................................................................................................8
REFERENCES................................................................................................................................9

INTRODUCTION
Small business is usually owned independently which is limited in size in order to gain
operational performance and productivity. This study will evaluate how a small business
allocates resources to achieve business objectives. This study also examine various processes of
customer relationship management for a small business. However, it also helps in developing
transnationally and determine the benefits and drawbacks. Moreover, this study also analyse a
cash flow forecast, budget and break-even analysis and interpreting key financial statements.
Moreover, this study also evaluates the key legislation and regulations that have associations
with small businesses. Assael Architecture Ltd. is an architectural firm which has been
established in the year 1994.
MAIN BODY
LO 1
P 1. Evaluating the main considerations a small business or social enterprise needs to address
when planning and allocating resources to achieve business objectives.
Small business is usually owned independently which is limited in size in order to gain
operational performance and productivity (Burns, 2016). Small business objective helps in
effectively maintaining the profitability by ensuring that the revenue of the business tends to stay
ahead of the cost business. It helps in controlling the cost and helps in maintaining the profit
margins for the company. Planning adequate degree of resources such as premises and
equipment which helps in effectively allocating various range of resources in order to meet the
small business objectives. It is very useful in effectively identifying the key resources and skills
in order to develop high degree of job specifications. The key consideration which in turn has to
be taken into measure by effectively articulating the goals, vision and objectives of the company.
Effectively understanding the key aspects associate with the employment legislations is one of
the most prominent measure to carry out small business or social enterprise which helps in
addressing, planning and allocating resources in order to attain business objectives (Tidd, and
Bessant, 2018). Establishing the optimum organizational structure and effective human resource
management helps Assael Architecture Ltd. to allocate resources in order to attain business goals
and objectives. Project management techniques such as Gantt charts, timeline, work breakdown
structure and critical path analysis are considered to be the key prominent measures which in
turn helps in effectively attaining the goals and objectives of the business. Developing an
1

effective business plan and evaluating the key resources to carry out the business is of utmost
importance which eventually leads to high degree of operational goals and objectives. However,
use of key networks, outsourcing and key external advisers are considered to be of utmost
importance (Gruber and et.al., 2015). Team building and performance management, retention
and recruitment of the employees is very useful as it helps in addressing the needs of the small
business to attain the goals and objectives of the company.
LO 2
P 2. Evaluating different processes of customer relationship management for a small business or
social enterprise.
Customer relationship management for a small business is considered to be of utmost
importance because it helps the team and individual in effectively managing the sales effort and
customer communication (Crane and et.al., 2019). An effective customer relationship
management is considered to be of utmost importance as it helps the team in effectively
evaluating the shortening sales cycle and effective repeated sales process. Effectively assessing
the value of the customers and also retaining and acquiring customer’s needs is one of the most
prominent of the most prominent approach in building customer relationship. The company must
focus on developing customer care programmes and also affective channels for customer
communication in order to analyse the needs and problems (Storey, 2016). Effective customer
communication and resolving their issues helps in building higher degree of customer
relationship which in turn eventually leads to higher operational growth and sustainability.
Moreover digital platforms are also one of the most Prominent measure because it helps in
developing effective customer relationship which includes email marketing, online chats,
forums, mobile devices which helps in providing real-time solutions and responses to the
customers. Online ratings and testimonials are also one of the most prominent feature which are
very useful for developing customer relationship management for the Assael Architecture Ltd.
small business and social enterprises. Use of effective social media platforms such as Instagram,
Facebook, Twitter, et cetera considered to be the key prominent platforms which helps in
building high degree of relationship with the customers which eventually leads to higher
profitability and sustainability of the small business. Customer relationship management is used
within a small business in order to manage clients, contracts and also create high degree of sales
lead. It is very important and helps in tailoring the market needs and also eventually leads to
2