Measurements through the ages

Different measures for different stages of your business – Business Essentials 50

I attended a multi-unit event on Thursday last week in Sydney. There were a lot of take outs and reminders and I thought I would share this one with you today.

Many business owners who we come into contact with in the first instance are unsure what to measure and when.

I was reminded of this last week and I wanted to remind you also that the key to developing a business is to have the business measures understood for each of the different stages of development of that business.

In practical terms let’s look at an example.

When you start your business your key measures are simply put; new contacts made, new quotes provided, new sales made, revenue in, costs out and profit left over. Pretty simple metrics for the start up in all of us.

When you get to the next stage – there are no more rules. The measures must connect to where you want to take the business. So for example, if you are someone who wants to be in the business fully, immersed and not ever be out of it, your measures will be different from someone who is looking to be the owner and not the operator.

In another example, the business owner who wants to employ staff against someone who needs to have contractors in the group will also have different measures that need to be applied.

So think of where you are in your business development and think about the way you are measuring. Are the measures right for the time of life the business has reached?

Of course as usual you can always catch me on my mobile on 0434690275 here in Australia or at my website www.businessessentials.com