How to find your Business Strength
There are many things you can do to make your business strong and find its strength and this blog is here to identify those areas for you.
When you have read this blog if you need help in any areas Kelly Robinson is here to help. As a business adviser, the key areas are business structure, business financials and business marketing. If you discover you have issues in these areas please be in contact today.
A small business, moving forward requires a strong set of business skills and the ability to make assessments and then respond to current business conditions.
It is important to always be looking into the future.
Your business can be assessed by looking at your current performance, against the goals that you have for your business. You then need to review the current conditions and determine key factors that you can focus on to achieve the goals that are in your business plan.
When your business is strong down times will not adversely affect your business if you follow best practices. When cash is tight, small businesses need to find ways of ensuring survival without putting extra stain on the tight cash reserves.
Many small businesses go out of balance when owners focus on single factors; just turnover or just costs or just growth. The health of a business is determined from a variety of perspectives and in difficult times it is all these perspectives that need to be looked at and reviewed or challenged.
A strong business will have business owners who use their time to improve their business and seize every possible opportunity, rather than waste time worrying, they are the ones who will make it through.
[Tweet “Business Strength”]
A well-balanced business model has best strategy based on the following:
- Build the strongest business you possibly can
- Concentrate on areas such as having a strong value proposition
- Management in a financially responsible manner
- Providing great service to get and keep important customers
- Never letting talk surrounding an economic slowdown distract you from keeping the basics in place
- If you’re successful, you’ll come out on the other side of any economic downturn, miles ahead of your competition
Here are the key areas for your focus that can hurt your business if they are not in check. Take notes as you are reading about the areas you need to work on.
- Underestimation of the start-up costs
- No access to top up funds
- Wrong mix of funds
- Too much reliance on trades credit
- Mistaking profit for cash flow
- Initial projections that were too favourable
- Not researching the size of the market correctly
- Overestimating growth in the market
- Overestimating possible penetration into the market
- Not having distribution channels
- Underestimating the strength of your competitors
- No formal or clear structure
- Lack of promotion
- Lack of customer knowledge of your business
- Lack of business experience or knowledge
- Lack of functional knowledge or experience
- Unrealistic expectations
- Sourcing or supplier issues
- Lack of financial control
- Underinvestment in equipment
- Excessive overheads
- High operating costs and low productivity
- Poor location of business
Product or Service:
- Lack of profit margin
- Low standards in product or service
- Restricted range on offer
- Lack of innovation
- Lack of distribution
- Product does not match customers’ needs
What areas do you need to strengthen in your business today so that you are successful for the long term. My Sassy Business and Kelly Robinson can help!
Call 0416 053 865 Kelly Robinson
Or fill out the contact form and Kelly will be in touch.
If you enjoyed this blog make sure you are signed up to our mailing list.