Small business owners need to nail their value proposition in order to add value to their businesses, according to long-time marketer and Sydney Small Business Centre founder Amanda Falconer.

"A VP - better known as a value proposition - is the bedrock of your entire marketing strategy, which is why it's essential to spend the time absolutely nailing it," she says.

Stand out among the crowd

One of the main reasons why many small businesses fail in the early stages is because they fail to distinguish themselves from their competition by not having a rock-solid value proposition.

Writing a value proposition for a business comes from examining its capabilities and needs, and then determining the unique value the business provides to consumers and how it aligns with the needs of the target market.

Get things clear

Writing a value proposition for a business comes from examining its capabilities and needs, and then determining the unique value the business provides to consumers and how it aligns with the needs of the target market.

Having a solid value proposition in place sets the foundation for all the activities of a business, and is essential for sales, marketing and advertising.

"The value proposition isn't something you'll ever use outside your business, but it is the basis of everything you will say," says Falconer.