Are you running your business or it is running you?

If you could take a step back and look at your business, who is really running the show?  Are you running the business or is the business running you?  Some of you know exactly what I am asking and some of you have your head buried in the sand.

VALUE YOUR TIME

I see it all the time with companies with less than $1 million in sales and sometimes in companies up to $20 million in revenue.  The owner is so busy working, whether it’s the case load at a law firm or a contractor visiting clients, in the beginning sometimes we are so focused on making money that we take whatever job we can get, run all over like a chicken with our head cut off and don’t have much to show for it at the end of the day.

It is not about bringing in more money (although sometimes it is), a lot of times it is about making the most of the resources your have.  Taking every job that comes your way is not the smartest thing to do.  But Deb, it’s more money.  It’s not worth it if the time you have to put in lowers your hourly rate to the point where McDonalds workers made more than you.

More work is not always better.  If the profit isn’t there, don’t take the job.  My one client was so frustrated and disappointed.  She took a job at a 10% profit margin to keep her employees working.  Then the company kept asking for revisions and more revisions.  By the end of the project she realized she had given away all of her time and talent for free.  She didn’t even make money on the project.

I have a rule of thumb for all clients now.  You can be high maintenance if you pay a high price.  You can have a lower price if you are low maintenance.  But the high maintenance individuals that want cheap price – walk away.  If they are already your client, fire them as soon as possible.  These are the nightmare clients that are not worth your while.

You need to value your time first.  Then you can make sure that others value your time.  If they can’t or won’t, there is no business.  Don’t waste your time.  Oh, how I wish I understood this in my 30’s.

So, how do you make sure that you are running the business and not the other way around?

1. Value your time.
2. Value your product/service.
3. Install systems.
4. Hire good help.
5. Get a good mentor or two.

VALUE YOUR TALENT

After valuing your time, you must value your talent.  Too many of us take for granted the work that we do.  If it comes easy or natural for us, we tend to discount it.  Or we were raised to not brag or be arrogant so we think that includes not acknowledging our greatness which is pure baloney.

After valuing your time and talents, what is next?

SYSTEMS, SYSTEMS & MORE SYSTEMS!!!

Yes, I am a systems girl.  Systems not only make your life easier, they are what will allow you to scale.  Sometimes small business owners are afraid to have systems place or they don’t know where to start.  Systems will not ruin your creativity.  They will take care of the back end of your business so you can focus on the good stuff like working with clients/customers and developing more products.

 

BUILD A GOOD TEAM

I started managing teams when I was a teenager (17-18).  By the age of 20, I had 35 people my parents age working for me on an assembly line at General Motors.  At age 26 I was running the trucking division of an oil company managing 29 truck drivers and 4 customers service reps.  In both instances my supervisors did not expect me to do well.  In both cases, most of the employees said I was the best boss they ever had.

As a controller in apparel companies, I usually had a team between 1-2 (at the small companies) to 15-20 at a larger firm where I ran accounting and operations.

Flash forward 10 years and I am a solo-entrepreneur with 2 part-time contractors.  It is such a strange world when you are a solo-entrepreneur.  It is much harder to find good help when working online.  It is an issue I never had when I was in a brick and mortar business.

I hired a VA (virtual assistant).  She lasted one week.  I have since hired 3 more.  I realized that asking for an admin assistant and graphic designer/social media person are in one was too much.  They are completely different skill sets and I am better off having two people instead of one.  Would it make it easier for me to manage with one?  Yes, but it would also mean less specialty and less skill set in both areas.

Finding someone who can live in the unknown, constantly changing world of an entrepreneur is not that easy.  In addition, you need to find a good skill set along with the right temperament.  You need both in the same person.  Someone who feels more comfortable in an organized, stable 9-5 job should not be your virtual assistant.  It is much better to find this out sooner rather than later.

Don’t be cheap.  One of my clients had to go through 4 assistants before he finally realized paying for an older, more experienced person was worth his while instead of the younger person that couldn’t come through half the time.

Fine someone good and loyal and take care of them.  If you take care of your team, they will take care of you.

GET A GOOD MENTOR

No one builds a business alone.  No one.  The smart people realize this quickly.  Find some one who has gone through what you want to do.  Some one who can save you time and save you from making the mistakes that they made.

Some things are trial and error in business.  Some products may not do as well as others.  Some marketing campaigns will stink.  You will make pricing mistakes.  We all make mistakes.  The solution is to rebound as quickly as you can.

But find someone or two or three someones who can guide you.  The coaching business has taken off for a reason.  Hiring a coach can save you time and money.  It can also save you from making some major mistakes, which can cost both time, many and opportunity.

Another benefit is that you have some to talk to at your level.  Someone who has gone through what you are going through.  They can also hold you accountable when you need it.

Don’t try to build your business on your own.  The sooner you can hire help and get a mentor, the quicker your business will grow.

Until next time,

Deb