As Ann King from MYOB writes, although business growth is generally at the forefront of every business owner’s mind there are a few key management practices you can adopt to ensure that growth is sustainable, despite economic or environmental instability.
- Maintain good books
To ensure long-term business growth, you need to monitor more than just your sales figures. Your profits, budgets, cash flow and costs all need to be measured and analysed regularly, and your books kept up to date so that you can respond quickly to any negative situations that may arise.
- Set measurable, realistic goals
Business goals shouldn’t just be focused on money, and they shouldn’t be confused with budgets. Business goals should take into account your skill set and that of your team, and should be specific enough that they can be measured. A great example might be ‘I want to improve my time management so I can see two more customers each week’. Setting achievable targets keeps you motivated and ensures you get a sense of satisfaction from the work you’re doing.
- Diversify your business
While it’s great to specialise in one aspect of your business, limiting your income stream to just one source can be risky. Offering a package of services or products that complement each other ensures you stay competitive and able to adapt to any changes in the market, and also helps to make your business a more valuable asset for your customers.
- Look after your customers
This might seem like a no-brainer, but the value of happy customers is often underestimated by business owners. Loyal, satisfied customers can be your most efficient marketing channel – not only will they become repeat business, they will refer their friends and family members to your business as well.
- Enjoy what you do!
The final way to achieve sustainable business growth is to enjoy yourself! Securing long-term customers, achieving your goals and being in control of your finances will translate into sustainable business success and give you the drive to keep improving.
For more detailed advice tailored to your circumstances, please make an appointment with a member of TJL’s Accounting team.