We’ve finished what was hopefully a great year for your businesses. Now it is time to be looking forward to the upcoming year. My wish that you all have a prosperous new year. So, I am offering my list of top 10 New Year resolutions that will help you grow and succeed in your businesses.
1. Establish specific goals for your business.
Set long term goals and then establish short term goals to achieve your long term goals. These become your road map for building a successful business. Then, communicate these goals to your staff so they are all working in the same direction.
2. Make your business unique.
Look for ways to differentiate your products or services from your competitors and focus on developing these qualities.
3. Expand your customer base.
Many small businesses have one customer who constitutes a large portion of their business. Losing that customer would have a huge impact on the success of the business.
4. Focus on increasing profitability.
A lot of businesses focus on increasing sales many times at the cost of profitability.Profits are necessary to grow the business, but increasing sales at the cost of profitability can be disastrous.
5. Manage cash flow. Cash is the lifeblood of the business.
Generate a cash flow statement regularly and review it.
6. Maintain accurate financial records and review your financial statements regularly.
This is important for evaluating performance and helps to reduce risk of fraud.
7. Monitor key performance indicators.
Performance improves when it is measured. Track trends to identify issues that would negatively impact the business.
8. Document processes and procedures.
Allows for more efficient training process. This identifies ways to streamline processes.
9. Work with professional advisors.
They will help you avoid making costly mistakes.
10. Work on your business, not in your business.
Build a strong management team and empower them to handle the day-to-day operations so you can focus on moving the business forward.
Contributor: Terry Frisk is a partner with B2B CFO. Terry has over 25 years of business experience as a General Manager, Controller and Chief Financial Officer. He is a CPA whose career has been focused on small to medium size privately held companies. Terry’s extensive background and experience have given him the skills to assist in many different aspects of a business’s financial needs. He has helped companies manage growth, forecast cash flow, increase margins, reduce employee benefit costs without compromising key components, improve their banking relationship, and obtain favorable pricing and terms from vendors. For more information about Terry Frisk, please visit his website.