Help for struggling businesses
Are you struggling with new competitors? Are you losing customers? Is technology overtaking you?
When your business is being challenged you need to recognise and accept that you have a problem, and then think clearly and rationally about how you are going to resolve it.
Work out what is going wrong
Don’t put things off hoping the problem will go away. Look at the situation, analyse what’s happening and why, and brainstorm some potential solutions. To do this you need to identify what the problems are and then assess each one’s impact on your business. Then you need to get creative about what can be done to get you back to where you want to be.
Consider your options
The solution to your problem may be very straight forward, for example installing a freephone telephone number or changing your opening hours to make sure you are more accessible to your customers when they need you. You may want to consider raising your prices or renegotiating costs with your suppliers, or adding a small delivery charge. You may, however, need to make some more fundamental changes such as lowering your cost base by changing suppliers, reducing the number of staff you employ, or investing in some new and more efficient plant and machinery. Or you could look at another area and make changes to the way your product is sold or where it is sold, or changing your target market.
Consider the financial impact
You’re in business to make money so don’t lose sight of that fact. Consider the financial implications of reacting to the challenge, compared with the impact on your bottom line of taking no action. It may make more sense to carry on as you are, or at least this will direct you to the most cost effective solution.
Set yourself measurable targets
If change is necessary and desirable you need to create a plan of action. The plan should set clear activities that will need to be undertaken in order to deliver the desired end goal. Make sure you set measures of success so you will know when you’ve reached your goal.
Give your solution time to work
Don’t forget the time-lag between action and reaction. Things you put in place now may take a while to have any effect so don’t expect immediate results. This time-lag factor can often bring pleasant surprises from business contacts you’d long forgotten about.
Trust your instincts
You are an expert in what you do and on a small scale you’ve been adapting to change ever since you started in business, so trust your own judgement, get enough information to enable you to make a decision, and then go do it.
Be prepared to make mistakes
Most successful business people have made heaps of them. If you do make a mistake the most important thing is to learn from it. Be constructive rather than despondent, think about why you made certain decisions and what other options were open to you . . . . and vow never to make the same mistake ever again!
Help for struggling businesses
Are you struggling with new competitors? Are you losing customers? Is technology overtaking you?
When your business is being challenged you need to recognise and accept that you have a problem, and then think clearly and rationally about how you are going to resolve it.
Work out what is going wrong
Don’t put things off hoping the problem will go away. Look at the situation, analyse what’s happening and why, and brainstorm some potential solutions. To do this you need to identify what the problems are and then assess each one’s impact on your business. Then you need to get creative about what can be done to get you back to where you want to be.
Consider your options
The solution to your problem may be very straight forward, for example installing a freephone telephone number or changing your opening hours to make sure you are more accessible to your customers when they need you. You may want to consider raising your prices or renegotiating costs with your suppliers, or adding a small delivery charge. You may, however, need to make some more fundamental changes such as lowering your cost base by changing suppliers, reducing the number of staff you employ, or investing in some new and more efficient plant and machinery. Or you could look at another area and make changes to the way your product is sold or where it is sold, or changing your target market.
Consider the financial impact
You’re in business to make money so don’t lose sight of that fact. Consider the financial implications of reacting to the challenge, compared with the impact on your bottom line of taking no action. It may make more sense to carry on as you are, or at least this will direct you to the most cost effective solution.
Set yourself measurable targets
If change is necessary and desirable you need to create a plan of action. The plan should set clear activities that will need to be undertaken in order to deliver the desired end goal. Make sure you set measures of success so you will know when you’ve reached your goal.
Give your solution time to work
Don’t forget the time-lag between action and reaction. Things you put in place now may take a while to have any effect so don’t expect immediate results. This time-lag factor can often bring pleasant surprises from business contacts you’d long forgotten about.
Trust your instincts
You are an expert in what you do and on a small scale you’ve been adapting to change ever since you started in business, so trust your own judgement, get enough information to enable you to make a decision, and then go do it.
Be prepared to make mistakes
Most successful business people have made heaps of them. If you do make a mistake the most important thing is to learn from it. Be constructive rather than despondent, think about why you made certain decisions and what other options were open to you . . . . and vow never to make the same mistake ever again!