What Everyone Ought to Know About Building a Great Business

1.Some people are watching their business grow.

2. Some are watching their business plateau.

3. Some are watching their business slump.

If you are in that first group, congratulations!  Hard work and smart decisions are rewarding you, just as they always do.  However, don’t get complacent (see below.)

If you are in the second group, you need to make some changes.  It’s tiring and extremely stressful when a business is spinning its wheels.

If you are in the third group, you need to immediately focus your resources on pulling your business out of the nosedive.  In my experience, most people don’t!  They get so used to doing things a certain way, that they decide to carry on “as is” and hope things “just get better.”

From growth to a slump

The reason for this post, is that many of the people who end up in that third group, started off in the top group!  They found a way of running their business and marketing their products or services, which worked.  Then, as the marketplace changed, they didn’t.  Things started to dip and they went from growth, to stagnation.  After a while, stagnation was replaced with a drop in revenues and profits.

The good news is that this can’t happen to you.  At least not without your cooperation.

Wherever you are in that process right now, you need to be vigilant.  You need to be on the lookout for areas of your business that are under-performing.  You need to be looking for signs of possible future problems, such as:

- An over reliance on a small number of clients for too much of your revenue.

- Poor or erratic cash flow.

 - Ineffective sales and marketing, which is generating too few qualified inquiries or sales.

- Toxic business practices, which could be damaging your reputation.  These range from under delivering on the service you offer your existing clients, through to spamming prospective clients with unsolicited email.

The answer?

We need to study and listen to our marketplace.  If we do, it will tell us what it needs.  For example, by listening to the challenges and problems facing them, we can develop products or services, which answer a pressing need.  It’s a lot easier to grow your business, when your service is in demand!  If you are smart enough, you will spot the opportunity first and have the marketplace to yourself – At least for a while.

Don’t stand still: No matter how things are with you and your business right now, look for ways to strengthen your position.

Originally published on Jim’s Marketing Blog