Do you know what your competitors are up to?

Do you know what your competitors are up to?

Whether you’re creating a new business plan or revamping an old one, knowing what your competitors are up to can save your business. Opinions expressed by Entrepreneur contributors are their own. Every business plan needs to include information on competitive analysis.

Can you name a successful business that does not have competition?

And don’t ever say you don’t have competition. Quick: Try to name a successful business that doesn’t have competition. I bet you can’t do it. But I’m amazed at the number of business plans that claim there’s no competition for their new business idea.

Do you know how your business is doing and where it is going?

When talking to any investor (or a lender for that matter), be prepared to talk about your business’s revenue and growth. I tracked this number on a daily, weekly, monthly, quarterly, and annual basis so I could compare how my business was doing today to last year, last month, last week, and so on.

What happens when you compete with another business?

Indeed, you could find yourself competing with businesses from other countries. Your competitor could be a new business offering a substitute or similar product that makes your own redundant. Competition is not just another business that might take money away from you.

Can a company be indicted for a criminal offence?

However, there is a concept known as ‘piercing the corporate veil’ through which the people behind the company, the directors who owe a fiduciary duty to the company may be indicted for criminal offences committed by them in the name of the company.

How can I find out if a company is under sanctions?

The U.S. government imposes sanctions and restrictions on trading with certain nations and their companies. Companies are responsible for checking which nations and companies they are not allowed to engage in business interactions with. You can look up a person’s or company’s name in an OFAC search on the U.S. Treasury’s website.

How can I find out if a company has a problem?

Then check with your state attorney general’s office and state and local consumer protection offices to see if they have a record of complaints about the company. Again, a lack of complaints doesn’t mean the company is problem-free.

When does a company have to wind up?

Until there is any reason to wind-up, it will continue to run. In fact, even if the company has no funds and is not doing any business for a while, the company continues to exist until an order for winding up has been passed.