5 problems of new business owners and how to solve them

5 problems of new business owners and how to solve them


UnionBank Publication

UnionBank Publication

5 Oct 2020, 13:00 — 5 min read

The thrill of being an entrepreneur is like no other – that feeling you get when people just get your service and products. It’s so exciting when after several marketing tactics, you start gaining more customers. 

But being a new business owner is difficult. It takes more than just a couple of months to get the hang of things. There are so many technicalities to owning a business – employee benefits, government requirements, taxes, keeping up with the market, etc. And there’s always new learnings that can come in like a smack in the face. 

Typically, we learn from fellow entrepreneurs by meeting up or through networking events. But how do we go about that today, when everything – mentoring and networking included – are being done remotely? 

Here are some problems that many entrepreneurs can relate to, and a few tips on how to address them. 

Separating business and personal bank accounts

Accidental business owners – we’re talking about businesses that weren’t meant to become formal – still often use their personal bank accounts for business transactions. 

But when your business is growing, it’s time to open a separate bank account – especially now that the majority of customer transactions are happening online. This will also help you track the income you’re earning solely from your business.

For as low as  P5,000 initial deposit, you can open a Biz Starter or Business Checking account from the comfort of your own home using the UnionBank GlobalLinker (UBGL) app.  Another option for opening business accounts is the UnionBank SME Banking app, where you can make mobile check deposits, as well as fund transfer to international banks through SWIFT payments. Some other perks of having a UnionBank business account include check printing, Enterprise Resource Planning (ERP), and SME microlending loans through UBGL partners.

Also read: Introducing Biz Starter: Checking account for MSMEs, exclusively for UnionBank GlobalLinker members

Surviving the monthly payroll season and government submissions

Another headache as a business owner is the monthly payroll season and government-mandated employee contributions. Typically, payroll crediting has to be done manually and needs multiple paper sign-offs. 

Using the UnionBank SME Banking app, however, will allow you to set up your company approval matrix. Once that's done, you can use the batch funds transfer feature and credit payouts to your employees. The business account also has e-government services for your monthly contributions. 

Streamlining supply chain

Coordination and logistics are one of the trickiest tasks in most industries. Luckily, UBGL’s Financial Supply Chain (FSC) feature gives businesses a chance to streamline supplier and distributor transactions through digitized document presentment, collection, and payment. 

These data and transactions are also the basis to avail of certain financial services at UnionBank, particularly loans.

Also read: How to take advantage of short-term loans to jumpstart your business

Networking in the right industry

More than the technicalities and backend features, at the end of the day, the most important factor in successful businesses is being able to make the right call, which is why mentorship and peers are so valuable as an entrepreneur. 

With UBGL’s Network feature, even while we are physically distanced, business owners still have a chance to connect through a specific platform and learn from each other. 

Aside from this, UBGL also has other digital tools specifically for business owners: 'Knowledge,' where users can learn about various industry updates and market trends; 'Offers,' where special deals for entrepreneurs are available; and 'Calendar' and 'e-Briefcase,' where users can collaborate with their team or business partners by sharing schedules and documents.

Jumping to e-commerce

The decision to go digital has become inevitable to many small businesses the past few months, but the problem is, many don’t know how to get started. UBGL can help you easily set up your own online store using LINKER.store, an e-commerce store creator for traditional brick-and-mortar stores.

Also read: Create your own online store on UnionBank GlobalLinker for free

With these applications and tools from UnionBank, small business owners can now streamline many of these headache-inducing processes and focus on bringing their innovations to the rest of the world.

Image source: Freepik

Article source: Rappler


Posted by

UnionBank Publication

We are a team of professionals providing relevant content to startups, micro, small and medium enterprises.