Every small business needs financial assistance at one time or another. Whether you are just getting your small business off the ground or have been in business for some time, you decide to apply for a small business grant and are excited when your application gets approved. Some business-owners feel inclined to spend considerably as soon as they receive the grant, but it is more beneficial to look at your expenses and see where the money will be used best.
Below are several things to spend your small business grant on that will give you an opportunity to be competitive in your industry and take your company to the next level.
1. Inventory
Keeping your inventory well-stocked with products is one of the simplest ways to be competitive in your chosen industry. While you probably pride yourself on appearance and customer service, potential clients will go elsewhere if you do not have what they need in stock. This is an especially smart move as there will be short turn-around from when you invest in new products to the point where you sell them. This means you may see profits almost immediately which will help immensely in the event you need to repay other loans and debts. Setting some of the loan aside for inventory purposes will also allow you to purchase products that are selling quickly and be able to respond to customer demands.
2. Marketing
Marketing is crucial to any business as it makes potential customers aware of your business and any sales they may be interested in. Spending your small business grant on social media ads, website ads, television commercials, and ads in newspapers and magazines makes perfect business sense as this will allow the public to get information about your business and how it can meet their needs. To avoid overspending, keep an eye on which ads are being noticed through analytics software and asking your customers where they have noticed your ads. That way, you can focus your marketing efforts on what is working and stop ads that have proven to be unsuccessful.
3. Web presence
In this age of technology, the first resource that people use when looking for a business or product is definitely the internet. Therefore, if you are not online, you will not be noticed easily. Some of your small business grant will be well-spent on an elegant, new-age website that is up-to-date on all of your products. If you are a new business and have no online presence, your first step shortly after beginning operations should be hiring a web developer to design you a website. If you have been in business for a few years and do not have a website, getting one designed is essential and should be looked into as soon as possible.
4. Operating costs
When you are too focused on the bigger things you may need to operate your business, you may forget about the small things. Saving some of the small business grant that you receive for day-to-day operations is beneficial as this will guarantee that you have funds for heat and hydro bills, products, office equipment, and administrative supplies. Also, as your business grows, you may need more staff to help you and you will need money to pay their wages. If you are just starting out, it is difficult for you to imagine but one day you may need more space or eventually entertain the idea of expanding. You will need money to act on either of these options and small business grants can play a role in helping you to achieve these goals.
