{"id":63716,"date":"2024-07-30T10:00:00","date_gmt":"2024-07-30T02:00:00","guid":{"rendered":"https:\/\/www.imoney.my\/articles\/?p=63716"},"modified":"2024-08-01T11:47:03","modified_gmt":"2024-08-01T03:47:03","slug":"tips-starting-a-business-with-confidence","status":"publish","type":"post","link":"https:\/\/www.imoney.my\/articles\/tips-starting-a-business-with-confidence","title":{"rendered":"Take The Leap To Start Your Business With Confidence"},"content":{"rendered":"

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With small and medium enterprises (SMEs) recording double-digit growth<\/a> and initiatives like the Bumiputera Transformation Acceleration Fund<\/a> to encourage Bumiputera entrepreneurs, the timing seems great for Malaysians to start a business.<\/p>\n

Still, there remain challenges that new business owners or entrepreneurs face that can make achieving success harder.<\/p>\n

<\/span>What makes starting a business so challenging?<\/span><\/h2>\n

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The spark of an idea is all it takes to jumpstart the journey towards building a business. But that\u2019s only half the battle won. It\u2019s also important to know what other challenges lie ahead so you are prepared.<\/p>\n

Accessing finance and cash flow<\/h3>\n

Access to finance and cash flow<\/a> remains a major issue for SMEs as financial institutions need to look at their credit history, business performance records, and market experience to approve a loan\/financing application.<\/p>\n

As most small businesses tend to use their personal banking account to manage their finances, it makes it harder for them to get loan\/financing approval and build up cash flow as they do not have proper records of their business finances.<\/p>\n

Rising costs of doing business<\/h3>\n

With 88 per cent of businesses expecting costs to increase in 2024<\/a>, rising costs will continue to be a major challenge for SMEs.<\/p>\n

When it comes to rising costs, it has been a challenge for not just small business owners, but also the entire nation as it means that the costs of goods and services have risen as well.<\/p>\n

For business owners, they need to be prepared to take action to mitigate these rising costs. Some of the ways that businesses have done so are by introducing cost-cutting measures, expanding products and service offerings, as well as expanding the business to new markets.<\/p>\n

Lack of business financial tools<\/h3>\n

One of the most significant financial tools that small businesses lack is a dedicated business banking account. This is often attributed to the idea that a business banking account is only meant for big businesses.<\/p>\n

The truth is that regardless of size, any business should have a dedicated business banking account as it can help in numerous ways.<\/p>\n

While it\u2019s possible to run a small business without a business banking account, it just makes it harder for the business to manage its finances efficiently or apply for a business loan\/financing.<\/p>\n

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Adapting to digitalisation<\/h3>\n

Given that 47.7% of Malaysians made their purchases online in 2022<\/a>, more and more consumers are using digital channels to buy and make purchases.<\/p>\n

Adopting and adapting to digital tools (e-commerce, digital payments, etc.) remains a key challenge for SMEs as many of them still rely on brick-and-mortar methods. But beyond just having digital sales channels, small businesses also need to digitalise their financial tools and banking solutions.<\/p>\n

By using digital business banking solutions, they can streamline their financial management by having it all done in an app or not needing to visit a bank physically to fulfil all of their banking needs.<\/p>\n

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Providing Solutions For Your Business Banking Needs<\/span><\/strong><\/p>\n

OCBC eBiz Account<\/a> and the Shariah-compliant OCBC eBiz Account-i<\/a> offer a fully digital application process which makes your transition towards digital banking solutions as seamless as possible.<\/p>\n

Here\u2019s why you should open a business account with OCBC:<\/p>\n