One of the first things I do when speaking to business owners is to try and understand their business model. It’s surprising how hard some business owners find it to summarise what their business does and explain it simply. How did things get so complicated? When did the business owner lose track of what happens day to day, who everyone is and what exactly do they all do!
The business model is one the Five Fundamentals I believe is key to business success, and below I set out the key questions to ask yourself when you look at your own business. If all of the below works, even when you’re not there, you have the foundations in place to achieve the success you want.
- Does your marketing generate leads that you can convert to sales?
- Do you know where your leads come from?
- Do you know who your core customer is?
- Do you know exactly what your USP is and why people should buy from you?
- Do you tell the market why they should buy from you?
- Do you have a defined sales process?
- Do you use sales pipelines that contain accurate and up-to-date information?
- Do you know your sales conversion rates?
- Does the rest of the business understand how they can help the sales process?
- Do you deliver on-time every-time?
- Do you provide the delivery services your clients need?
- Do you know how much money your delivery service contributes to the bottom line?
- Do you have monthly MI that tells you how the business is performing?
- Do you have an annual plan that allows you to measure performance?
- Do you have control of cash to allow you to make business decisions as needed?
- Does everyone know what their own job is?
- Does everyone know what each other’s job is?
- Do your people contribute to how the business operate?
- Do you have regular team meetings for all the company?
Products & Services
- Is everything you sell profitable?
- Do you have a process to review what you are selling and look for new products and services to sell?
- Do you know what your customer wants and needs?
- How do your products and services add value to your client?
- Do you have documented processes and systems?
- Do you understand how well your processes and systems work?
- Do you constantly review systems and have a process for automation of legacy systems?
- Do you work more than 50 hours a week?
- Do you take holidays without checking e-mails?
- Does the business work without you there?
Every business is different and every business has different goals. As a business owner you need to make sure your business model is set-up and working give you the success you want.
I work with businesses to help them ensure their business model works effectively. It is not just identifying what needs to change, but making sure the change happens and sticks.
Have a think about your business model, what could you change?
At ys-ms I help business owners clarify what success looks like and then work with the rest of the company to make it happen. My people-led approach to business success means when you work with ys-ms your business will be in a better place with more confident and empowered employees to take you forward.
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