How Well Do You Know Your Company?
Running a company no matter its size is a big undertaking to say the least.
With that in mind, do you know all the ins and outs of your business or is there more you could and need to learn?
By being a knowledgeable owner, there is less chance you will go out of business sooner than later.
So, what should you focus on when it comes to knowing your company like the back of your hand?
Be up to Speed on Your Business
In knowing as much about your business as you can and why it is critical, here are a few areas of focus:
- Having a healthy business – You can’t expect your business to do all that well if it is not financially healthy. That said do you review the financial numbers on a regular basis? Doing so allows you to look for any negative trends that should be of notable concern. If sales and revenue have been trending downward for a period of time, do not wait too long to act. More times than not you can get things turned around. By being pro-active and not reactive, there is less chance for permanent damage to all you have worked for.
- Hiring and keeping the best folks – How well do you know the individuals you bring into your company? Are you confident in fact you are hiring the best and the brightest? While you might get a few hires wrong here and there, you do not want it to become the norm. If it does, it can do damage to your business as time goes by. The goal is to take time with the interviews and get a good sense of who you may be offering a job to. Once you have an employee on board and they are doing a good job, make sure they are properly rewarded. From commissions for the sales team to moving up in the company where it exists, treat your workers well. Doing so goes a long way in having a healthy and engaged staff.
- Understand what consumers want – You can’t drop the ball in knowing what the public wants from you. Failure here can be a real negative for your business. So, take the time to get to know your customers from the first sale you make to them to those staying with you over time. Hopefully that number of those folks being with you as time goes by continues to increase. Consumers tend to have a lot of choices. As such, you want to be their choice when it comes to your particular line of business more often than not.
- When it is time to move on – Finally, knowing your company in and out is key when you decide to put it on the market. As an example, do you run a SaaS (Software-as-a-Service) business and intend to sell? If yes, you could use a SaaS company valuation calculator to help in the process. This allows you to break down all the various facets of your company. In doing this, you have a much better sense of the value of your business and what you should expect to get for it.
When asked how well you know your company, what answer would you give?