21 Skills That An Entrepreneur Needs To Build A Successful Business
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21 Skills That An Entrepreneur Needs To Build A Successful Business

As an entrepreneur, you’re likely to encounter a fork in the road in your profession.

To start your new business, you initially relied on your vision and critical thinking.

Then, as your company expands, you discover that leadership and administration abilities are more important.

Some aspects of your new position may come naturally to you, while others may be more difficult.

You can improve your leadership abilities in these crucial areas with practice.

Communication Skills For Entrepreneurs:

Become A Great Motivator

A great motivator knows how to get the best out of everyone.

Good leaders make employees feel like they’re part of something bigger than themselves and their individual goals.

They also give workers feedback about their performance, such as what they did well and where they can improve.

Inspiration is key to keeping your employees engaged and motivated to achieve excellence.

Achieve High Employee Retention

As a business owner, you need to keep your employees on board.

A high turnover rate can decrease employee morale and affect productivity.

When it comes to retention, the way you treat your workers is crucial.

Be aware of cultural differences when managing a multiethnic workforce.

Ensure that everyone feels appreciated and respected.

If you motivate your workers and deliver on your promises, they’ll remain engaged in their work.

Accomplishing Goals As A Team

It’s important to acknowledge that not everything gets done by yourself.

Your employees need to know that you’re aware of the effort they put into fulfilling company objectives.

When everyone works together, hold group conferences about your progress.

This will allow employees to voice their opinions and ideas on how to move forward.

To become a better leader, you have to hone your communication skills.

Whether you’re giving presentations or addressing problems, practice handling different situations with poise and confidence.

It’s important for entrepreneurs to know when it’s appropriate to speak directly with employees or when to consult the team.

Learn To Work With Others

To achieve your goals, you have to cooperate with other leaders in your company.

You may not always agree with them, but being able to put your point across effectively is vital for accomplishing objectives.

If you’re looking for new leadership skills, then consider enrolling in a course.

You can also gain valuable information from training videos.

A local community college may offer a communications class that teaches you how to lead a team and work with others.

As an entrepreneur, you’re one of the most important assets in your company.

When you have improved leadership abilities, your business is more likely to prosper as well.

The people who work with you are important, so inspire them to achieve their best.

Recruitment Skills For Entrepreneurs:

Improve Your Hiring Techniques

Hiring new employees can be challenging for an entrepreneur.

While you want to find the best people, you also need to make sure your business is profitable.

A potential employee’s qualifications may meet all of the requirements for the position, but if he or she doesn’t fit with your company culture, then it’s probably not a good match.

It’s important to get an idea of how people will react in certain situations, so it helps if your interview process is thorough.

Make sure you’re asking the right questions during interviews, whether you’re using one-on-one sessions or group panels.

To avoid bias while doing individual assessments, ask each candidate the same questions.

Ask behavioral questions that give you insight into the way they work and whether or not they’d be a good fit for your business.

When looking at resumes, focus on whether someone has the specific skills you need for the job rather than extraneous information.

Focus on keywords related to their previous work experiences and successes in previous jobs.

You might want to have a third-party look at resumes as well, just in case you miss something.

Promote Diversity

Another advantage of doing things from the ground up is that you can be more intentional in your recruiting efforts.

Make sure your hiring teams are representative and that job descriptions are open to all candidates.

Encourage people to recommend you, and focus on sourcing methods that may help you reach a wider audience.

If you have a diverse workforce, all employees will feel appreciated and recognized.

Recruit from different backgrounds to bring fresh perspectives to your company culture, especially if your business is focused on a specific industry or niche.

To get started with building a diverse hiring team, look at current resumes that have been sent to you for open positions. If there’s a bunch of applicants who look the same, it may be time to improve your outreach.

You can get more people involved by contacting educational institutions and holding information sessions about what you do at your company and how they can apply for jobs.

Even if you’re not looking for new recruits right now, it’s still important to plan ahead.

Make a list of the positions you need filling and the types of people who would be a good fit for your business.

It can help to talk to advisors or mentors, even if they’re not in your industry.

Practice Makes Perfect

You’ll learn more about leadership as your company grows and expands.

A mentor may be able to give you guidance on how to handle difficult situations.

Review your past decisions and their consequences so you can be more effective in the future.

If you’re working with a team, be sure that everyone knows what is expected of them.

You can also identify each person’s strengths and weaknesses so that people are better able to work together. Communicate often with employees so there are no misunderstandings about what’s expected.

Every time you make a decision, consider its impact on your business.

What would be the worst possible outcome of this choice? Are you willing to take that risk? It helps to have some safeguards in place, especially if your business is still growing.

Delegation Skills For Entrepreneurs:

Why, When And How To Delegate?

Before you can begin delegating tasks to your employees, you have to learn how to set up a simple system that works.

While there are several ways to get work done, the best place to start is by analyzing what’s not working right now.

Take some time and really think about where there are gaps in productivity or processes that could be improved. You might be surprised by how many little things you can change to make your workday easier.

The first step in setting up the system is deciding what tasks you will be delegating and examining where they fit into your business plan. If these things don’t line up, then the process won’t either.

Be sure that whatever task you are delegating is in your employees’ skill set.

The delegation will not help if you give someone a task that they are neither trained nor qualified to do.

The next step is setting up processes and systems with accountability measures.

Tell them what is expected of you, the desired outcome, your timeline, consequences for missed deadlines or poor performance, and your expectations for communication. When you are delegating, it’s always best to give them more than one project.

This will help them gain confidence in their abilities and know that if they succeed with the first, there is another waiting.

The next step is learning how to let go of tasks that you can no longer do yourself or you are no longer skilled enough to do. If your business isn’t large enough for dedicated employees, you will have to let go of some responsibilities while learning to prioritize.

Finally, remember that delegation is a process, not an event.

Like any other aspect of your business plan, it requires time and dedication to get right.

You may need to adjust your expectations along the way, but if you are patient and maintain clear communication, delegation can begin to improve productivity almost immediately.

Offer Training To Your Employees

It’s tough to take a step back after putting so much of yourself into your job.

Helping your staff to continue learning will allow them to assume greater duties, giving you more peace of mind.

As your company grows, you may hire more employees.

Not only will that free up some time for you to delegate responsibilities, but it will also mean that the new employee is not learning on the job.

They can watch what’s being done and learn from an experienced coworker which will give them a leg up before they assume official duties.

You should also consider offering formal training to your staff. Whether it’s on-site or online, there are many options for educating employees.

Be Flexible

Other individuals may approach the same job in a completely different manner. Allow others to thrive and modify their work to better fit their talents.

Don’t criticize them for doing things differently – after all, you wanted a worker with a different approach. Instead, look to how their work benefits the company and consider making it a part of your process.

You may even find that those employees grow into positions for which they will be better suited as time goes on.

Be Good At Outsourcing

Outsourcing allows you to expand your business without having to hire more employees. If you have a lot of work on your desk, this is the perfect opportunity to outsource certain tasks to someone else.

This will relieve some of the workload and allow you to focus on other areas of the business.

During difficult financial times, many companies are turning to outsourcing as an effective way to cut costs without affecting productivity.

Even if you are doing well financially, outsourcing can free your time to work on more important projects while still leaving some of the simpler tasks in the hands of trained professionals.

It’s important to find someone reliable and qualified for this type of position.

You should interview them just like you would an employee so that you know they understand your business plan and will provide the level of quality you require.

There are many different ways to delegate responsibility to employees or a service provider without compromising your ability to run a successful business.

The key is planning ahead, setting up systems, and sticking with a consistent process until it’s second nature.    

Delegation – The Bottom Line

Delegation is a key business skill that any entrepreneur must learn in order to grow their company efficiently and effectively.

The more skills you have as an owner, the better equipped you will be to make good decisions for the company.

There are several steps to delegating tasks effectively, but this process will go a long way toward making your job easier and leading your business to success.

The key is being organized, patient, and willing to change as you learn more about delegation.

Those who have mastered delegation skills tend to have far greater companies than those who have never delegated before.

Practice these skills as you learn them and you’ll find delegation becomes a natural part of your business routine, making it much easier to lead your company down the path toward success.

Other Leadership Skills For Entrepreneurs:

Develop Financial Literacy

Treat your company as a business. At the very least, make sure you can read a balance sheet and an income statement.

If you don’t know how to read a balance sheet, stop right now and go to the library.

Go to Amazon.com and order one of those business books that prepare you financially.

If you really think money is unimportant, I can assure you it is significant.

Even if your business fails, the loss in financial resources will be far less if you are financially literate.

You’ll also take more pride in your work, which translates into better quality and better customer service.

Develop Negotiation Skills

You can’t avoid all negotiations – so why not prepare for them?

This is the most powerful of the skills you can give yourself as an entrepreneur.

I personally feel that negotiation is the number one reason for getting into the business. I am astonished by how many people are afraid of negotiating, which is only natural if you have no experience or training in it.

Develop a Positive Attitude

You have to work for yourself or with partners. You can’t do it alone, so you had better learn how to motivate those around you.

This is easier said than done because entrepreneurs tend not to be the most positive people on the planet.

Once again, this skill resides only in your mind – but what a difference it will make in your ability to lead!

Develop Team Leadership Skills

Every person on your team is different. The job you hired them for may be the same, but they could not be more different if they were sent from another planet.

You need to learn how to harness the strengths of each individual while identifying their weaknesses and compensating adequately.

You must find a way to make each person work for you, not against you.

Team leadership starts with you and I suggest that all entrepreneurs start by signing up for an assertiveness or communication course (yes, this is a skill too!).

Now we’re talking about basics. If you cannot communicate, there will be no team – and if you cannot lead a team, your business will most likely fail.

Develop Emotional Intelligence

This is another skill that cannot be taught, but it can be enhanced.

Emotional intelligence is your ability to read people by their actions and how they are feeling at any given moment.

This is the basis for all effective communication skills.

Develop Productivity Skills

There are fewer of these types of skills than the others because every entrepreneur has a different set of tasks to perform.

You have to learn how to do things as efficiently as possible so you can accomplish a lot with a little time and effort.

This ranges from double-entry bookkeeping, which could take an hour a day, down to learning how to use that accounting software package in just six hours rather than six weeks.

Invest Time in Learning New Skills

Sometimes you have to invest time, rather than money. This is especially true if you’re developing a new entrepreneurial venture on top of your existing business.

The first thing I do is prepare my home office for the upcoming season. I’ll work Saturday and Sunday getting everything ready – then Monday through Friday, I’m working in my home office.

Develop Marketing Skills

This is another essential skill that’s so multifaceted, I can’t simply say “you need to learn about marketing”. It seems like everyone has his or her own ideas on how to effectively do this.

What may work for you is completely wrong for me.

That’s why the only thing I’ll do is list some of the major topics you should consider.

Give Back

Supporting a good cause and giving back to the community can only benefit your company and make your stakeholders happier.

Support worthwhile causes, and help your community grow.

A little goes a long way.

A small donation can help a big cause, and the impact your company makes will be felt for many years to come.


You may go from being a solo entrepreneur to an effective leader if you put in the effort and dedication.

Recognize your strengths and shortcomings, then assemble a successful team that will aid your firm’s development and success.

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