How to Master the Four Stages of Business Success.

A question I ask a lot of the Business Owners I speak to is “why did you decide to start a business?” The answers are diverse and typically include things like:

• “It seemed like a good idea at the time!”
• “I wanted freedom from a job.”
• “I was fed up working for an idiot!”
• “I’m unemployable!”

For some it was a change in circumstances, such as receiving a redundancy, or inheritance. Regardless of the reason why people start their business, the journey they set out on follows the same path. For some it is a resounding success, whilst for others it is a journey they would sooner forget.

Before I go any further I want to ask the question “What is a business?” and the reason for that question is, that for the people who would sooner forget the journey they have set out on, they never actually own a Business they own a JOB! Something that will keep them very busy and sometimes for very little reward. The problem arises for them because of their idea of what a Business should look like in the first place.  A business should be able to work without the Business owner and, if it doesn't, it’s a JOB!

A lot of you may now be thinking that’s an impossible dream, but if that is not the dream in the first place, you may well be destined to be always working IN the Business instead of ON it, because you are building your business around you and therefore it will always be dependent on you being there.

A tip I would offer you at this point is to look at your business and I ask, “What do I need to change so that it can work without me?” That switch in mindset alone will mean that you will have to go about building your business in a whole different way.                                                                

                                                                                                                                                                                                                   

There are 4 stages of thinking that every successful Business owner potentially goes through. The key word here is 

‘thinking.’ It is the biggest differentiating factor between Business owners that make it and those that don’t.

Stage 1: Self-employed (You wear all the hats)

There are so many jobs and only so much time in which to do them all. You become a ‘Juggler’ as the reality of business begins to set in. Suddenly, you are looking after sales, marketing, delivery of product, the numbers, customer care, etc and to compound things the more successful you are at this stage the more out of control your business becomes. Self-motivation is vital at this stage, as well as a sense of where you are going and what the Business will look like look like in the years to come.  Without these 2 key factors the excitement of running your own Business can soon wear off.
One of the great things about having your own Business is that you are answerable to nobody; you are your own Boss. However this comes with a downside and that is, you let yourself off with stuff, normally things you don’t like doing or don’t understand, and yet they are essential for your Business success.
The best ways to get through this stage are to Up your knowledge; the more you learn the more you earn and also have a plan. The aim of the plan is to help you prioritise so that you don’t always find yourself dealing with the Urgent at the expense of the Important.

Stage 2: Manager

The Business is growing and you now realise that because you have been doing some juggling; you may have dropped a few things and they need picking up again. So now it’s time to employ some staff and that (in and of itself) brings with it a whole new load of headaches.
For many, the recruitment process looks something like; the next door neighbour’s best mate’s cousin’s dog walker is out of work and available, so they will do.
Employing the wrong people is damaging and costly to any business, but especially to an SME business in this stage of development.
What is needed is a recruitment process geared to hiring people with the right attitude. People that buy into your vision and values.
Having great systems in place for a meaningful induction of all new employees is also a must and this should include a clear description of roles and responsibilities. A system for accountability is also non-negotiable at this stage. If you have no accountability you will almost certainly have a dysfunctional team and that will really hamper any future Business growth.
Get this stage right and you will have a Winning Team that will drive your business forward and release you to move up to the next stage of Business development.

Stage 3: Owner 

This can be a very scary stage because you will need to let go of the “Nobody can do it as good as me” thinking. You need to be on the lookout for people who may be better than you! Failure at this stage would mean you will have to micro manage your people and the more people you have the more time this will take. So you now become the biggest barrier to the growth of your Business!
Your contribution needs to be that of upholding the vision and culture of the Business, ensuring solid systems are constantly being introduced into the business, keeping the team focused and motivated through inspiring leadership.
As you improve your skills in this area, you will find that you are no longer integral to the day to day running of the Business and that will allow you to step away and move on to stage 4.

Stage 4: Investor

Your Business is successful and not dependant on you being there. Now you can use your profits to diversify. Essentially what your Business is now is a System and that makes it very appealing. It’s appealing to purchasers because it is not dependent on them being there so they can achieve a great ROI on their investment. It is very appealing to people who are looking to get into Business. It is in effect a “Business in a Box”, something you could franchise.
Another alternative at this level it to use your profits to purchase other Businesses. You now have the knowledge to grow a profitable Business that can work without you so you could choose to replicate that.
The ultimate aim at this level is to build income generating assets that mean you no longer have to work.
Questions you might like to ask yourself:

• What stage is my Business presently at?
• What do I need to put in place so that I can move up to the next stage?
• When will I get started?

 
Thoughts:

“The growth and development of people is the highest calling of leadership”…Harvey S Firestone

“Growth is never by mere chance; it is the result of forces working together”…J C Penny

“Conformity is the jailor of freedom and the enemy of growth”…John F Kennedy

“Growth is the only evidence of life” John Henry Newman

If you would like to explore the possibility of working with Kevin or Susan as your Business/Executive Coach or would like some training for team simply drop us an email at info@mpcforprofit.com or call the office on 0151 348 1202 and we can pop a date in the diary for a coffee and a chat that just might Grow your profit, Transform your business and Change your life.

Dedicated to your success
Susan
Business Performance Coach



"Would you tell me please, which way I ought to go from here?" said Alice
"That depends a good deal on where you want to get to" said the Cheshire cat.
"I don't much care where..." said Alice.
"Then it doesn't matter which way you go’

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