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Grow your business in the new year

Article provided by Business Doctors

The beginning of the year is here and for some businesses, the beginning of the year is the best time of the year. For others, things start slowly. This is not necessarily a bad thing.

How will you use the time you have?

This time of the year is the best time to reflect on the past year and to rethink what happened throughout the year. Some of the questions we need to ask ourselves are:

  • What went great? Can we do more of that and focus our attention on what works in this new year?
  • What went completely wrong? What was the reason for that? It might have just been bad timing for your new product, money was spent on the wrong things, etc.
  • What went slightly wrong that we can fix? What will change the wrong into a right? Is it a small change that will turn a loss into a profit?

At Business Doctors we work with eight drivers that play a big role in your business. We go through a process that takes you through the drivers one by one to make sure that you increase productivity and better the outcome of each before going into the next one.

The eight drivers of company value are:

1. Financial performance
Your history of producing revenue and profit combined with the professionalism of your record keeping.

2. Growth potential
Your likelihood to grow your business in the future and at what rate.

3. Switzerland structure
How dependent your business is on any one employee, customer or supplier.

4. Valuation teeter-totter
Whether your business is a cash suck or a cash spigot.

5. Recurring revenue
The proportion and quality of automatic, annuity-based revenue you collect each month.

6. Monopoly control
How well your business is differentiated from competitors in your industry.

7. Customer satisfaction
The likelihood that your customers will re-purchase and also refer you.

8. Hub & spoke
How your business would perform if you were unexpectedly unable to work for three months.

What would you say is the key focus area you need to focus on this year? Although all of these drivers are important, there might be only one or two that will turn your business around.

What is your goal for 2020? Is it SMART?

SMART goals stand for the following:

S: Specific
M: Measurable
A: Achievable
R: Realistic
T: Time related

If your goal is only to work on one of the drivers or all eight, make sure you break your goals into monthly, weekly and daily activities that you can track and achieve. Small achievements every day will get you to your goal 100% of the time.

If you need more clarity on any of the eight value drivers, let us know. It will cost you an hour of your time and you will get a coffee on the house. Contact us today.

Business Doctors are a proud Partner of the NSBC.