If 2019 wasn’t the great shake you had hoped for in your business then bigger profits, greater efficiencies and better performance are most likely on top of your agenda for 2020. There are ten resolutions that every small-business owner should consider to help make their business become more profitable in the year ahead.
Get a grip on the financials
Before you can start looking at increasing your profits, you must have clarity on where you stand. Put systems in place to track expenses, income and even where time is spent.
Make resolutions to stop wasting time and energy on low value activities, products and services. Consider 2020 the year where you prioritize your time and energy to work on your business not in it.
Ditch bad customers
Determine which customers are raving fans and focus on providing them with the best service you can give them. Don’t try to service too many customers in order to generate revenue especially if it means straying from your core business or overextending your resources.
Refine the customer experience
Optimise your customers’ experience by improving communication with them, making it easy for people to source and pay for your products and services, getting to know your customers better and personalising their interactions with you and your business.
Get the tools you need
If there is a piece of equipment or technology you have been meaning to get to make your work easier, get it now. Stop trying to get by with old, substandard or inefficient equipment because it is probably costing you more time and money than it would if you invested in proper tools.
Put up your prices
Once you understand the true costs of delivering a product or service, you might find that your prices are too low. Do some market research to find out what other companies in your field are charging. If your products or services are of a good quality and you are delivering a great service, you should be able to easily increase your prices by 10 per cent without alienating good customers.
Identify what your big costs are and investigate ways of reducing them. Could you save on monthly costs by reducing electricity usage, or getting rid of service providers or vendors that aren’t necessary.
Market your company
To attract new customers, you need to be marketing your business consistently. Make sure your website is attention grabbing and use social media, advertise online and list your business on networking sites.
Host regular meetings with your team. These meetings can be daily or weekly. Planning is critical for nurturing a growing business.
Get a mentor and up-skill
Last but not least among your resolutions, resolve to invest in your own personal development and education. Self educate by reading, listening to audios or watching videos. You can also attend workshops and training sessions. Consider working with a business coach to better understand your market order to make informed decisions about your business in 2020.
Paul Henshall, CEO, ActionCOACH