Developing Accountability And Measuring Key Numbers In Your Business
These were some of the firms who advertised during Tom Brady's first Super Bowl victory (with the Patriots) (thanks to Bloomberg's Jon Erlichman):
It was the year 2002, and things were a little different, eh? BUSINESS appeared to be different. And, well, we've all had to adjust to some things over the last year.
The CARES Act, the second stimulus... and (coming soon) new tax code tweaks and regulations from the Biden administration are just a few of the things we've all gotten used to.
The next few years are going to be fascinating... It's also beneficial to have someone in your corner who can pay attention to the details that you can't.
Even though the IRS does not accept electronic tax returns until Friday, February 12, as I just reported, we are already in active discussions with Charlotte clients to get started. Even if you don't have all of your paperwork together yet, we can still get things started for you.
Do you want to get ahead of the game? Is it yes or no? Here's how to get in touch with us:
It's a significant part of my profession to assist Gastonia business owners in "picking up the pieces" of their finances, and regrettably, it's often too late.
Of course, we work with a lot of successful organisations, assisting them in spotting hidden opportunities in a sea of data.
That's because my team and I swim in a sea of numbers every day, and we've gotten very good at figuring out what's going on in a company by looking at where the "currents" are leading (if you will).
But, because too many Charlotte business owners don't have a system in place to bring those figures to us promptly, we're often forced to look at historical data rather than real-time data. When they do, though, we can rapidly figure out how to assist them.
So, today, I'm putting tax difficulties aside for a while to help you discover certain statistics that don't always appear on balance sheets — and why they're potentially even more essential than what you see on a P/L statement...
Developing Accountability And Measuring Key Numbers In Your Charlotte Business
“You have been blessed with a mind that can direct your actions in any way that you choose.” -Ramon Luis
When a company can pluck the low-hanging fruit in a simple marketplace, it's easy to become complacent.
But isn't that not always the case?
Markets contract, money becomes scarce, prospects are harder to come by, and profit margins fall. So, how do you go about it? Many business owners are unsure of how to alter their marketing and sales systems so that they can track figures at each stage of the sales process and expand in new ways.
Businesses that build an accountability culture, hold weekly sales meetings, measure their data, and hold team members accountable have been successful in my experience (in multiple industries).... Those who guess and "assume" are almost always out of business. It'll just be a matter of time.
The key is to understand the data – what is the average expected result for each step in the process, and how you compare to that result. This is where the responsibility begins.
Many people, however, are afraid of having to accept that they aren't performing their job and are letting their teammates down if they track the numbers. Others just lack the procedures or the understanding of how to track those metrics or the benchmarks of average, good, and exceptional business.
Many self-employed business owners believe their methods are “working” without having tested them or keeping track of their progress. Unfortunately, this demonstrates a level of naivete that will come back to bite you.
You have no idea whether you are improving or regressing unless you have taken valid measurements and received statistically reliable results.
It's critical to keep ahead of the curve and not rely on sluggish technology for your business, especially in this crazy tight economy.
So, here's the unpleasant truth: if you don't know how to test scientifically — or if you do but don't believe it's vital - your company is on its way to extinction.
Here's what you should be looking out for...
It all starts with direct marketing and sales experience if you want to establish business mastery. That entails developing the ability to measure and build accountability for the following factors:
- At each level of the sales process, statistically valid testing is performed.
- Using pricing, term, refund, and premium testing to see what works and what doesn't.
- Identifying each new customer's full lifetime value.
- Getting a handle on "allowable acquisition costs" (what you can spend to get a customer).
- Measuring receptivity based on the source of the advertisement.
- Identifying a new offer's or customer's "doubling date" or "half-life."
- When is the best moment to get rid of ineffective prospects and employees?
- How can you spot prospects for different revenue streams in your company? (the numbers should tell you).
Consider your Charlotte firm to be in peril if you don't have the ability to measure these areas — or if your key staff can't.
Having said that, these are the types of discussions we enjoy having with you. We'd be delighted to serve as a resource and assist you in identifying the prospects — as well as the pitfalls — in your company.
We're here to assist you. Please contact me if you have any further inquiries. Use this link to create a calendar:
I appreciate our collaboration and your recommendations.
Kohari & Gonzalez PLLC
Please feel free to forward this article to a business associate or client in the Charlotte area (or beyond!) who could benefit from our help. While most of these articles are about company strategy, as you may know, we specialise in tax preparation and planning for families and small businesses.
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