A Guide to Business Degrees

If you're considering enrolling for an undergraduate business degree, it's possible that you may find yourself inundated with choices. While it's always good to have too many choices rather than too few, it can sometimes make the decision harder.

Should you consider general business degrees or go with a major in accounting? Should you opt for an unconventional business career like personal property management or is it safer to stick to a more tried and tested field like human resources?

There are tons of questions, and finding answers can prove to be an uphill task. But don't worry, because you are not alone in your effort to find the right business program for you. To help you in your decision-making process, we present a complete guide to business degrees.

Types of Business Degrees

The first thing you need to understand is that universities and colleges offer different types of business degrees. At the undergraduate level, there are essentially two types of business degrees:

Associate's degree in business: An associate's degree in business is an approximately two-year program designed to provide graduates with a basic-level understanding of different business functions. The skills imparted by an associate's business degree are generally rudimentary and may qualify graduates for entry-level business roles such as administrative assistant, customer care executive, sales rep, bookkeeper, etc.

Bachelor's degree in business: For strategic and responsible business roles, it may be essential to complete at least a bachelor's degree in business. This is typically a four-year program, of which the first two years are focused on general education courses and the next two involve an intensive business-related curriculum. The skills and knowledge provided by a bachelor's program is more comprehensive and advanced as compared to an associate's business degree.

At the graduate level, the most traditional business degree is the Master of Business Administration (MBA) program. There are different types of MBA programs such as the accelerated MBA, which can be finished in less-than-normal completion time and the executive MBA, which is designed for individuals in middle- to senior-level management roles. The classes for executive MBA programs are generally held over the weekend. In addition to these two programs, online MBA degrees are an option that many working professionals turn to for career development.

Some business professionals who are voracious academics don't just stop with an MBA. They go on to earn doctorate business degrees, which include the DBA and PhD, and which usually involve four years of intensive coursework and research.

Popular Business Majors

Once you've chosen the type of business degree you'd like to enroll in, you will have to decide on a particular major. Your personal interests, strengths, and career objectives should take precedence over any other consideration when deciding on a business major. Here's a list of some popular business majors:

Accounting: This business degree will prepare you for accounting roles like public accountant, management accountant, government accountant, and internal auditor. It is one of the most challenging business roles, albeit less glamorous than functions like finance and marketing.

Business Administration: This degree will provide you a solid foundation in different business disciplines and prepare you for a variety of careers including management and leadership roles.

Human Resources: Graduates of this business major can join the human resource department of an organization and may be involved in activities like staffing, training, talent retention, benefits and compensation, organizational policies, etc.

Entrepreneurship: There was a time when entrepreneurship was an untouched and unexplored area for a vast majority of the middle-class population. Not anymore. Encouraged by the success of young entrepreneurs and the willingness of investors to pump money into promising ventures, many young individuals are now taking the plunge to start their own company. A major in entrepreneurship is designed to shape such budding entrepreneurs.

Finance: Of all the business degrees, a major in finance is perhaps the most distinguished and rewarding option. From banking to insurance and from corporate finance to the stock market, the finance major can open up some very exciting career possibilities for graduates. And according to payscale.com, finance managers can earn an average of $41,959 to$131,025 per year in total pay, depending on experience, education, and location.

Now that you have some knowledge of business degrees, it's time to start exploring your options and request college information about business programs from schools of your choice!

Thinking About Selling Your Business



Here are several tried and tested keys for owners contemplating selling their business:

Seek advice from a knowledgeable business broker about the value of your business.

Use a professional Business Broker to sell your business. Your business Broker should belong to a professional organization such as the IBBA (International Business Brokers Association and in Florida, Business Broker of Florida (BBF). These organizations have established professional ethics and rules for their members in addition to training for members to make certain they are knowledgeable, competent, and abide by the highest professional ethics.

Support your broker. Your broker can't help your business without your help. Your continued support during the buyer meetings, negotiations, and due diligence is absolutely crucial to closing the deal. A business owner selling their company needs to respond quickly to inquires, offers, and with paperwork because timing can make or break deals.

Allow adequate time to sell your business. Selling a business is significantly more difficult and complex transaction for both the seller and buyer. The amount of time your company remains on the market is impacted by a number of factors: the current market both nationally and in your state, the type of business or industry, and the size of your company. Yes some businesses sell quickly, however most business owners should anticipate up to six months and allow up to a year to finalize a sale.

Keep good records and have them prepared for your broker and prospective buyers. Good financial records and other business documentation can help expedite the buyer's due diligence process and increase the chances of a victorious and lucrative sale.

Run the company as usual or better. It is critical that your company maintains the level of operation as usual and continues to produce the financial results shown in the business profile during the selling process. If your performance declines, it will turn up during due diligence and either impact the deal closing or affect your selling price.

Remember, in most states business brokers are paid a "success fee." Meaning - there are no customary upfront fees, and the business broker is paid at the closing table when a transaction closes. Also, statistics consistently indicate that business owners that use a business broker received 10% to 20% more than those who sold their business themselves.

Why? Think about any negotiation. When a business owner is negotiating with a prospective buyer, and the buyer walks away from the negotiations, what happens to the business owner's negotiation position when they chase the buyer? Well, a broker can chase buyers while maintaining a level negotiating position for both parties.

Key Constraints That Stop Small Businesses From Becoming Big Businesses



Recently I met a group of Small and Medium Sized Enterprises (SMEs) business owners who were sharing who were sharing their experiences and exchange ideas on how to grow their businesses. They were entrepreneurs at various stages of running businesses from one year to over ten years.

One lady who has been running a seemingly successful SME for over a decade brought up an interesting question that occupied most of the discussions. She asked why most SMEs struggle to grow into large enterprises. She explained that despite hard work, capital injection, strategic planning majority of SMEs are unable to break some confining walls that ensure the business remains at certain level of turnover and profitability. This happens after some years of exciting growth that plateaus at certain level. I jokingly called what he was describing the being held in the prison of smallness.

Why would theses enterprising, hardworking, passionate and ambitious entrepreneurs be held in this prison? I kept on thinking.

After evaluating my working experience with many SMEs I picked the following factors as the key constraints that combine to create this prison.

1. Unscalable Business Models.

The biggest limitation to SME growth, from my observation, has been unscalable business models.

No business can outperform its business model. A business model describes the integrated means and processes through which you are trying to achieve your business objectives- creating and delivering value to the market for profit. When the perfect combination of such means is put to the highest test they could only give a certain result at best. However hard you work your model will not get any higher results after some point. At this point we say your business model can't be scaled any further.

Let me explain this with an example. If you were a dairy products processor you could have the following factors as some of the elements that form your business model. You keep dairy cattle, which provide all the raw milk you require. You then process and package the end products in your family run factory. You own two trucks with some delivery people who take the milk to various shops in your neighboring city. As the business keeps on growing you increase your cows, you expand your factory, buy more trucks and hire more delivery boys. But you will only be able to do this to a certain level.

At that point you won't be able to keep more cows and therefore your raw materials will become a constraint. The factory could only expand to a certain level and the market will only be able to absorb a certain amount of your products. However, much capital is injected into this business for expansion the business will become a prisoner of its own business model. Unless the model is changed to a scalable one, the revenues and profits of this firm will plateau.

A change in model may mean a change in how the firm gets its raw materials - from self production to buy from other dairy farmers; it may also mean selling semi-processed products to other dairy products, it may mean sourcing out its excess capacity to competitors, add other products into its fold rather than focusing on dairy products only, develop a different channel of distribution among many other factors that affect its business model.

As you evaluate your business model you need to fully appreciate all the factors that drive your business and how they relate to each other. If you are a prisoner of smallness then you need to have a thorough look into your business model.

2. Over dependence on new customers

All start up entrepreneurs have great stories of their first customers. The excitement of getting someone to believe in your product or firm is essential to keep you going in the early days of the start up. Unfortunately for most SME entrepreneurs this excitement becomes an obsession and it becomes the only purpose of all its business efforts.

It has been widely believed that the most successful business is the one that has the highest number of first time customers. This is a partial truth. I evaluate business success by the number of repeat customers, how frequent the orders are and whether they are increasing with time. As a growth strategist, marketing consultant and business owner, I know how costly and difficult it is to get a customer make the first purchase. This is incomparable to the easiness of keeping a customer and getting him to make a repeat purchase.

Many SMEs owners will agree with this logic in conversations but in practice the opposite happens. You hear and see the inscription, 'Lose them once they make the first purchase!' In their customer dealings. You see it in the customer service, the quality of its products and weak after sale follow-up. After a customer buys don't ask, "How do I get the next one." But shout to yourself, "How will I get him to come back!"

3. Flawed Marketing Mindset

For big companies marketing seem to be at the heart of everything they do. They do as much marketing as money can buy. A friend who owns a SME once told me that the market budget of a competitor was more than his company's annual turnover (not profit). SMEs are limited in financial resources. But that is never an excuse for not marketing.

Marketing is not a nice to have thing when you have money it is an essential for growing your business. Today's business battles are worn or lost in the marketing arena. Many people seem to conclude that you have to invest all your capital into marketing. That is a fallacy. One guy who has been able to start SMEs and convert them into large organizations is Richard Branson. In his book, "Screw It", he says that since he discovered early that he didn't have a lot of money for advertising he had to become a publicist of own companies by becoming a news character. By appearing in the media he gets free advertising. I have just given him free advertisement in this article. You get the point.

Unless you want to remain small forever, you have to think of ways of getting marketing leverage for your business at low cost and ensure you get the highest returns possible from your marketing investments. You don't have to be a marketing guru to do it. In our marketing course for entrepreneurs we cover various aspects of marketing your business with minimal budget- and there are limitless ways of doing so.

4. Lack of Quality Human Capital

You wish I said financial capital. This may be a challenge to some businesses. But, for those that remain small this is more of a consequence than the cause. I have consulted and trained for large organizations and SMEs and the most visible difference between the two is the number of quality of people they have in their team.

While large organizations have a large number of talented, skilled and passionate people, SMEs particularly the ones whose growth has stagnated have only one such person - the owner. That is why minus the physical and mental health of the owner many SMES end up closing doors.

When you hear of a guy who single handedly started and grew a small business into a large multinational just know that is a lie. Businesses are grown by having a wealth of skilled, talented, loyal and passionate employees. Many entrepreneurs running SMEs complain that getting and retaining great people expensive and almost an impossibility. It is difficult but not impossible.

Early last year I advised a client to go for the right attitude and develop skills with time. And for sure they are starting to experience great results from this. You need to craft a strategy and develop a culture that will attract, develop and retain the best people you require for your business. Your business will be as great as the quality of people working in it.

5. Lack of Innovation

Closely related to lack of human capital is lack of innovation. The two are directly proportional. One true measure of business growth is its innovativeness. Majority of the businesses highly admired for their growth from small start ups to success companies are not doing what they started out doing and if at all they are, they are not doing it the same way they did it in the beginning.

The yester-year giants that have stagnated are doing exactly what they started out doing. I don't want to mention names. The world we live in is continuously changing. That which was a genius idea yesterday will not be appealing tomorrow. That which your customers fought to have last year will be highly inferior compared to what your competitors will introduce next year. How do you grow in this environment?

INNOVATE! Innovation is what fuels of business growth. You have to develop new products, create more selling channels, give your customers more flavors, more service options, different ways of communicating to your customers. Innovation will be possible only if you become more outward looking. Then align everything in your business to the external happenings and prepare for the future. Innovation thrives in a business culture that allows, even encourages, mistakes. Unfortunately this culture is a major deficiency among many SMEs.

The only person who can get away with a mistake is the owner. As a consequence no new ideas come up in the business for fear of failure and the result is being a prisoner of smallness. You will not grow the business if there is a monopoly of idea generation in the business.

6. Lack of systems that support growth

Systems are the skeleton upon which growth is built upon. Too much growth with without strong systems will result into chaos and ultimately the business will tend to shrink to the level that the system can support. Talk of Business Body Mass Index. To move from biology to architecture systems are the pillars upon which the business is built on. They can only hold as much weight as they can support.

I have been involved in assisting SMEs put in place business systems and in most cases the only system that exists in some form is the accounting system all else is dependent on whims, know-how and temperament of the people. People move, people forget, people get sick, people get bored, and all this become your business.

While systems may not completely eliminate the effects of these occurrences they drastically minimize them. You then have a predictable business that can always deliver what it is supposed to deliver regardless of the mood of the moment.

In SMEs mistakes happen all the time. Some are never discovered and corrected, some become habits. While dressing downs, reprimands and firings are the methods used to deal with these problems they are hardly the most effective ways on their own to ensure mistakes are not repeated. Systems go along way to help. If you want to break away from the prison of smallness you need to work on removing all these constraints.