Last week we covered some of the basic elements of running a business, this week we look more to the growth of the business and keeping that growth sustainable. Remember, running your own business is hard work, but having a sustainable organization that adds to the lives of others and protects the environment is well worth the effort!
6. Structure your business to maximise profits. This is an obvious one that should not be misconstrued. You want to reduce redundancies and superfluous activities, while maintaining high levels of quality and morale. Make sure you are doing the most important actions effectively and efficiently. Remember to appreciate your people and deliberately have fun!
7. Save a portion of your profits. Liquidity will provide your business with the stability that it needs to get through any tough months that you may encounter. Having this ‘safety net’ will grant you the freedom to pick quality clients and not become desperate for business.
8. Invest a portion of your money. You should make sure your money is working for you, not the other way around. After savings, be sure to invest in progressively higher levels of risk to sustain the levels of growth that your business has become accustomed to.
9. Communicate to the highest values of your employees. Remember, nobody goes to work for the sake of work. You need to cater and communicate to your employees highest values, or what they are inspired to do. If you can communicate the company’s vision in terms of your employees highest values, they will be motivated to work by their own character and values instead of yours.
This strategy also works for clients. When it comes to sales, advertising and marketing try and take your target market’s highest values into account. Keep in mind that these values can change constantly, getting feedback from customers will help you determine how successfully you are fulfilling their needs. Don’t live on assumptions.
10. Develop, innovate and research. Keep looking for new avenues and opportunities and ways in which you can service those opportunities. Investing in research and innovation will keep you ahead of the curve and open you up to untouched markets. Progress is led by innovation.
Every business is unique, these fundamentals should serve as rough guidelines and not a strict recipe for success. As Tony Hsieh said, “Chase the vision, not the money, the money will end up following you.”