Business services are services that business enterprises use to manage their activities. They include but are not limited to banking, communication, insurance, transportation, and warehousing services.
There is tough competition in the business world today. Mediocrity and incompetence can no longer be tolerated and so businesses have drifted towards sticking to what they do best and depending on other equally as competent businesses to deliver quality in areas that they cannot in a bid to be competitive. Business organizations look towards banks for capital convenience, insurance companies for a semblance of security, transport companies to move their raw materials and end products, and postal and telecommunication services to get in touch with clients, vendors and each other.
Today’s globalized world has opened a big difference in the service industry of the world. UAE is not exempted. The country can gain a very competitive edge over other countries by providing these services.
Cleaning services, children’s services, designing services, car-rental agencies, moving services and all other service businesses fall under the following four categories:-
- Raw material and parts providers
Companies whose primary function is to create products hardly do so from scratch. Instead, they depend on other companies for the purchase of raw materials and component parts of their production material. Service companies could specialize in raw materials like pipes or rubber or iron or maybe cake frosting.
- Internet-based and e-commerce partners
Due to the digital migration, companies now rely on the internet for a big part of their operations. Additionally, they rely on web-based software, digital scheduling services, and applications to be able to run their business smoothly. Service companies that fall into this category provide services such as website and email hosting, fleet or field management systems, and online payment portals among many others.
- Business supply companies
These companies usually provide goods or materials but these goods are not for the company’s final product, at least, not directly. For instance, if your company sells printed t-shirts through an offline platform, you would need among other things ink pens and notebooks to record relevant business information. Office supplies are not necessary to finish printing a t-shirt but they are necessary if you are going to successfully run your business. Another example could include companies that supply toiletries or vending machine stock.
- General business services
Some business to business companies do behind-the-scenes work that helps other businesses save time and run effectively. Some of these services could include cleaning services, consulting firms, marketing services, corporate lawyers, caterers and many others.
Choosing a business service company that suits your company is important because it can make easier or complicate your production process and it needs to be done with diligence. You could consider factors such as cost, reputation, ease of use, and reliability of the customer service to mention but a few.
Ultimately, reliance on business services is an unavoidable cost of doing business especially more so if one is going to be successful as an entrepreneur.