4.5 The role of external professionals when establishing a business Flashcards
What factors should a business consider when deciding whether to utilize external professionals (such as accountants, solicitors, and bank managers) or internal employees for various tasks during both the establishment phase and ongoing operations?
External professionals such as accountants, solicitors and bank managers can support owners undertaking business planning by providing financial and legal services. These same professionals as well as others, such as bookkeepers, recruiters, sales professionals, marketing consultants, IT technicians may continue to act as a source of support for a business in its establishment phase and beyond. A business must evaluate whether it has the employees available to complete various tasks internally or whether it should recruit additional employees or engage the services of freelance professionals as outlined below.
What is a Freelancers? What do they usually do?
they are independent workers who charge businesses or individuals for work on a per job basis. There are many different types of freelancers. The term ‘freelancer’ does not apply to a type of work, but rather the employment relationship with the businesses they work for. Businesses often engage the services of freelancers that specialise in photography, design, copywriting and web design.
What is the role of a bookkeeper as an external professionals when establishing a business?
Bookkeepers assist a business in keeping and processing a business’s financial records. Professional bookkeepers often charge an hourly rate for their services. The rate varies depending on the skills of the bookkeeper and complexity of the task, at an average of $40 per hour.
What are recruiters?
New and growing businesses may not be able to effectively address human resource needs on their own. Human resource and recruitment professionals are often used by businesses to find the right staff, often charging a fee based on the salary of the person employed. In this way, the most important and often quite complex aspect of the business, staffing, is handled by a professional who understands what the business needs.
simple: what is the role of sales professionals?
technical: What are the pros and cons of hiring external sales professionals on a commission basis compared to developing an internal sales team for a business struggling to find and attract customers?
Often businesses are great at producing valuable goods and services but find it difficult to find customers. Sales professionals are trained and experienced in finding and persuading people to consume a product. External sales professionals will often charge a business a percentage or commission for every sale they bring the business.
simple: what are market consultants?
complex: How can a business determine when it is more advantageous to hire marketing consultants for running advertising campaigns versus developing an in-house marketing team to raise brand awareness and drive sales?
Marketing consultants are responsible for raising awareness of a business’s products and brand with their target markets. Such consultants often run campaigns that involve advertising and other forms of communication with potential customers. Successful campaigns will increase brand awareness among consumers and result in increased sales.
what is the external profession when establishing a business called that revolves Information technology?
Information technology (IT) technicians.
Virtually all businesses today use information technology. Often, the IT needs of a business are beyond the capabilities of the business owner. Many IT service businesses exist to support the needs of other businesses, with everything from the setup of servers and software to troubleshooting problems that arise on a daily basis.
