03 Jan 2 STEPS FOR BUSINESSES TO START THE NEW YEAR
Happy New Year!
You have created your budget for the New Year.
You have finished your year-end process to close out your books.
You have now made it to the next step. Yes there is a next step in the process; there is always a next step. The next step is evaluating your business – where is it at right now and where do you want it to go ….
Where is your business right now?
This is not a step to be taken lightly. This is the first step in truly evaluating where your business is. There are a few possible outcomes – not growing at the rate you would like, staying at status quo, or growing beyond what you had expected.
All of these options involved taking a deep dive into your financials. Knowing your numbers – evaluating your numbers – crunching your numbers. This means knowing where all of your money came from – which departments are excelling and which ones are a burden on the others. This means knowing where are you spending your money – what are your cost of goods sold and expenses. This means knowing what both your short and long term debts are. This also means knowing your Accounts Receivables.
All of these options also involve taking an in-depth look at not only your financial resources but your human resources. Do you have all of the right employees in the right positions? Are those employees properly trained to provide the level of customer service your customers have learned to expect? Are there processes and procedures in place to ensure proper training and job completion? Your employees are the greatest resource your business has available to it. They along with you – are what create the social environment for your business. Don’t discredit them or yourself – evaluate and utilize them to the fullest potential at all times. Create an environment that welcomes confidence and advancement.
But above all else it is knowing and learning limitations, not only for yourself but your employees. Realize when you have reached your level of expertise. Realize when you need help. Business owners from the day they open their doors are basically expected to know everything – it’s when you realize that you don’t that you open the doors to new opportunities and learning. This in turn creates new paths to profitability.
It is completely up to you!
Above you have learned:
- Where your business is financially
- The impact your employees have on your business
- What limitations are restricting your business
The next step is the most critical step if you want to move your business forward. It is taking the information you have learned and using it. What exactly do I mean by that – if you don’t understand what your financials are telling you – learn. If you don’t know if you have processes and procedures in place to train your employees – find out. If there are areas where you need help – get it.
There is such a wealth of information available at our fingertips at all times, there really are no excuses. You can learn just about anything you want from just Googling it! As business owners we all do it, we Google it. But the biggest problem with that is it may not tell you all that you need to know – it may tell you what you need to do but it doesn’t tell you why you’re doing it or what the logic is beyond it. Don’t get lost in quick fixes!
We created Applied Management Group to help you grow your business, all aspects of your business. To train you and/or your employees in whatever areas needed. If you don’t know how to read your financials, we can help with training and mentoring. If you need processes and procedures created, we can help create those by working with your employees and training. We are here to help you grow your business, in whatever areas you need. Our mentoring and training programs are focused on Management, Administrative, Sales and Technical Services.Join the Seven Summit Series Journey Try Our Burdened Labor Costing Tool