What problem do you solve?
Herb helps businesses scale impact, reduce drama and unless the potential of the people in their company.
Show Notes:
- We all started our business with a dream to help people. Then as our business grows, complexity sets in and starts to cause drama and nightmares. Then the business owner might fall out of love with their business. All because no one helped them learn to navigate the scaling of their business.
- Scaling may not be for everybody. Only 4-5% of companies make $1M or more. Many businesses are lifestyle or single entrepreneurs.
- Herb sees 3 big barriers for business owners to get to the next level.
- First, Many businesses face challenges when they go from a few employees to several. When they had a few employees, they were able to directly manage them. Now with several, they have not developed their team to help others manage and share their message. (Scalable leadership)
- You can also have scalable infrastructure challenges. The organization chart, decision making and communication breakdown. (Scalable infrastructure)
- A third challenge may be when market dynamics change and you have not pivoted your business to move with the change. (The ability to navigate changing market dynamics)
- 3 core things to look at for great leaders
- The ability to repeat your core values and your purpose.
- The ability to delegate.
- The ability to predict.
- Look at 7 simple but very effective levers to move your business. These 7 moved in the right direction can make a huge impact.
- Price lever. Have you looked at your pricing? Have you updated it? Consider bundling. Have you considered inflation?
- Volume. Not all volume is good.
- Cost of Goods Reduction
- Overhead Reduction
- Reduction in AR days
- Reduction in inventory stock days
- Increase in accounts payable days
- Read the Scaling Up book
Herb Cogliano’s Best Small Business Tip:
Herb wants every business owner to be running their business not their business running them. To do this business owners need to learn to scale up the right way.