Small Business Owners: The Building Blocks to Increase Profits

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The foundational building blocks of every business are Processes (procedures/policy), People (employees), Customers and Resources (ideas/capital). Leaders, who strengthen and understand each of these blocks, build their business. Those who weaken or neglect these building blocks, find themselves with declines in both their top and bottom lines.

Believe it or not, organizations can sometimes forget that creating and delivering top quality products and providing excellent services is their main objective. Organizations keep ineffective processes in effect because it is comfortable, safe and familiar. Leaders must regularly set aside time to define and redefine their processes, track defects and poor service, and make improvements to solidify these (5) major building blocks.

Owner Mindset

You’ve got to make the mental shift from running your businesses as a self-employed job/good employee to building a business you can one day sell, scale or own passively to fund your retirement.

This means consistently reminding yourself that you are just a temporary producer, and that your business must eventually replace you from its day to day operations.

Be Clear in Your Mission

There’s a reason you started a business and left your job (or didn’t try to find a new one). Why are you doing this? Keep in mind that your personal mission and your company’s mission can be different, as long as they’re aligned and can co-exist. You did the mission statement in the business plan and it’s on the bookshelf collecting dust.

Network and Get a Mentor

Get a business advisor or coach. It doesn’t have to be someone professional, just someone who can share experiences to bounce ideas off of and tell you when you are losing teams, money and the mindset.

Get your Business off the Road to Nowhere

When the money gets tight and the momentum fades, you are left with day to day work of the business, this is when you learn how to make your business run. It can become grinding because sales are slow and you are learning how the business actually operates, to acquire customers, market products, understand how changing processes and products affect your financials, and every idea you have does not automatically work as you envision it to increase profits.

At some point while running a business, your likely to experience that burned out or uninspired feeling. Work-life balance is important; there is a truth, in working hard and playing hard to unwind. Reading a daily devotion and taking a daily 30 minute walk can assist in relaxing the mind, etc.

Customer

Customer acquisition is expensive in order to acquire new customers, companies must effectively target, market to and convince customers to try their product or service.

Many business owners do not take time to figure out who is their target customer. What are their target customers’ likes, dislikes, needs and wants? Which types of media do they consume? What is the cheapest way to reach them? How much is the target customer willing to pay for their products or services? Where and how should we sell our products?

Remember, it is cheaper to keep a customer than it is to acquire new ones.

Master the Art of Engagement

Being engaging is important in every part of your business, whether its communicating through email marketing, social media, blogs, videos and other commercial formats

Grab social Media Attention

Social media marketing plan should include Instagram, Facebook, Twitter and the company website to communicate with your customer. Use the same theme, pictures (banner pages) and similar products.

Understand importance of Business Logos

It is the first thing potential customers will notice about your brand, make sure it is presentable, professional and polished. Make sure the Logo connects with your customer needs and wants.

Create an experience for your Brand

Create fun and informative environment to solve your customer problems

The Right Clients are more Important than the Most clients

Most business strategy is get the cash in the door by any means necessary to get most clients in the door. Problem is you achieve all of this at the expense of quality, profit and sanity. The right clients will allow your company to do better work, build a better reputation, generate more profits and retain better employees.

Focus on Your Goal, Objectives, Theme but most of all Profitability

Don’t try to be all things to all customers. Specialize in solving your ‘target audience’ problems and have fun doing it. Even the largest companies do their best when they focus on keeping the ‘main thing the main thing’.

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