Is Your Business a Small Business in the Government’s Eyes?
In our world, there are two basic ways to describe a business, it is either small or big. Though these two words sound like rather basic adjectives to describe an entity. Small and big have deeper meanings in the eyes of a government. For budding entrepreneurs, looking big in front of the general public and the government’s eyes is of utmost importance.
What exactly does the government define as a “small business?”
According to the U.S. Department of the Treasury, small businesses can be defined by its size according to the different industries it belongs to – be it agricultural, manufacturing, transportation, service, retail & wholesale, real estate, merchandising, hybrid businesses, etc.
For up-and-coming enterprises, being big by the government’s standards is not as easy as it sounds. There are various factors to consider when a small business wants to become big and it takes a lot of progress and growth to do so. However, looking big is a different matter. There are ways for budding enterprises to come off as a bigger entity in the eyes of a government body.
Young businesses and entrepreneurs have their work cut out for them thanks to the surge of the internet and the digital community. In hindsight, the best way to walk tall among giant enterprises is by using the internet and other modernistic marketing methods to approach the consumers.
- Keep websites fresh and updated
- Engage consumers through social media
- Allot money for a marketing
- Use creative and dynamic promotional items
Basically, what small businesses need to do is to become more aggressive with their digital marketing campaigns. The time for billboards, posters, radio ads and other traditional marketing practices is no longer suitable for today’s environment. That’s because people today have more access to the internet and all of its content.
There is no doubting that smartphones and the internet are taking over our lives. Small businesses can use this newfound venue as a way to not only engage with more consumers, but it’s also a way to engage consumers beyond the confines of the city or even the country.
Once the government sees that a business has a massive following that goes beyond its borders; that business is going to look a lot bigger and more professional than it already is. And of course, this marketing approach will be a good way for businesses to boost its revenue.
The Pros And Cons
Why look big in the eyes of the government and why do entrepreneurs want it?
Like with most aspects of the business world, there are pros and cons to looking big in the eyes of the government that entrepreneurs should consider knowing first.
- Stronger brand recognition by governing bodies
- Becoming a viable candidate for benefits
- Easier to build connections with major corporations and other enterprises
- Better image in the eyes of the general public
- Tougher competition will be attracted
- Consumers are most likely to look for more offerings from the business
- Cost for marketing goes up as customers look for more exciting ads
- Attract a lot of demands that could be too hard to handle.
The pros and cons of looking big in the eyes of the government are pretty well balanced. But of course, smart entrepreneurs can alleviate the cons if they play their cards right and are prepared for the toughest challenges ahead.
Why Stay Small?
To be fair, there are a few advantages of being considered as a small business. For starters, small businesses can get a little help from set-aside contracts. These are contracts the government primarily gives to businesses that are considered small by their standards. This set-aside contract program gives small businesses a way to operate without having to clash with larger corporations that have more assets, manpower, and resources. We highlighted this in a previous article, the benefits of set-aside programs for small businesses & veterans.
Progress By Going Big
There’s a reason why college basketball teams take their chances in the big leagues like the NBA and that’s because they want more success. Small businesses should strive to become big in the eyes of the government if they so ever want a shot at propelling into a big enterprise. As long as the proper plans are made and doubts are set aside, budding entrepreneurs can make it big without exactly being big.
Keeping these points in mind with the business decisions you take, will help your business take the leaps of growth you’re working hard to achieve.