The major reason businesses fail is the lack of knowledge, not the lack of capital (cf. ‘Where To Go When The Bank Says No’). Having a great idea doesn’t make it a business! What does it take to turn your unique idea into a commercially viable business that has the ability to scale? How do you go from providing an individualized service/product to delivering a consistent experience to hundreds and thousands of customers?
Know your numbers
An idea has no real life until you put it down on paper and translate it into numbers. It turns ambiguity into focused goals.
- How many customers do you need, and at what price?
- What is your conversion rate?
- What profit margins will support your operation’s growth?
Once you know your numbers, you can design the steps you need to take every day and measure your performance through your results (more numbers…).
You can only manage what you know!
Create and implement systems and processes
Systems and processes enable your business to run without you. Whether you onboard new team members to handle increased activity or expand into multiple locations, this structure prevents distractions and disruptions. Ownership remains focused on what moves their needle as growth strategies, daily activities and training are on paper in not in their head.
Evaluate your capabilities
In the same fashion you benchmark your business to evaluate your current success, it is critical to identify and understand your entrepreneurial potential. What role are you best fit for as your vision manifests? Scrutinize and question your abilities in every aspect of business, from motivation to financial management.
- How well do you perceive viable opportunities?
- What is your risk tolerance and how open to growth are you?
- What is your ability to develop product or services?
Every successful person has surrounded themselves with top talents to propel their vision to the next level, which is only possible whence you understand the intricacy of the game and the dynamics of every piece involved.
Author: Carine Dieudé, Strategy Director, Altima Business Solutions “Empowering you to focus”