How to grow your business with a Profit First Mindset
Note From Larissa…
In our last article, we discussed how Profit First can help us distinguish between bad and good growth and how to avoid the former. This week, we're delving deeper into what constitutes good growth and exploring strategies for creating new services and attracting clients across different industries. Additionally, we'll touch on the concept of "Getting Different" with our growth to maintain a consistent brand image.
Every time we add a new service or client to our business, it's like putting a rubber band around a watermelon. With each addition, pressure builds. Proper planning, resources, and a budget act as reinforcement, helping our business withstand this pressure. Having Profit First accounts is essential; they assist with unforeseen expenses, training needs, and expansion opportunities.
However, as business owners, we must grow to secure fresh clients and build a robust support network. The challenge lies in growing healthily. So, how do we achieve this?
Developing Healthy Growth Habits:
Cyclical Growth: Plan your business activities in cycles throughout the year. Allocate specific periods for releasing new products, services, and acquiring clients. Ensure your team and operating expenses align with your growth goals. For example, accountants can target clients after tax season and before year-end, avoiding overwhelming periods.
Creating a Niche: Establish a niche for your business to avoid clients that cost more than they're worth. A niche allows you to explore adjacent industries with similar workflows. This approach reduces strain on your resources, enabling consistent profit-first strategies and shaping your brand image.
Think creatively about your skill set and assets. Consider unusual combinations of products or services. For instance, the blend of "Therapy" and "Financial Advisor" might pique someone's interest. Abstract your skills and assets to identify unique offerings. An expert sidewalk mural painter could expand into floral art and even wildlife management, showcasing a distinctive brand image.
When you're ready to grow, approach it intelligently. Embrace the idea of "Getting Different" while prioritizing your profits. By maintaining a Profit First mindset, strategic planning, and creativity, you can achieve sustainable and unique growth for your business.