The question is, can I be rich and still have a small intimate business that I am comfortable with leading and directing? The average small business owner adores the intimacy of their little company and oftentimes their dedicated customers do too.
But there is money to be made, and in efforts to increase profits many businesses equate that with growth. But is growth (in the traditional sense) always our friend? Companies can literally grow in size with more employees, more buildings and more overhead expenses. But this is not the only way, and to some it’s not even the best way. If you are prepared to think outside the box, then here are three key smart ideas for any savvy small business owner:
1. NICHE IT OUT. For many of you, if you have heard it once, then you’ve heard it one-thousand times. And here it is again: Don’t try to be a jack of all trades. Choose your focus and work that niche to life. Just be sure to choose an area that is small enough for you to be the big fish and large enough to support your success. In other words, if you sale travel, then consider focusing on luxury or trips to Jerusalem or family vacations, and then become the quintessential expert at it. Every entrepreneur has to figure out what makes them different and your niche helps to distinguish you from the crowd.
2. OUTSOURCING. If there’s one trap that the typical small business owner falls into, then it’s trying to do it all yourself. But in the spirit of niching consider focusing your energy on what you and your core team do best and then outsource the rest. And before your mind jumps to The 4 Hour Workweek and your new Indian assistant half-a-world away, consider local manufacturers too, as well as marketing and consulting firms, printing companies that you can get your hands on if something goes wrong. And if you are more adventurous, then there are a world of resources just waiting for you including that Indian assistant half-a-world away. Help is a good thing. We recently started outsourcing some of our printing at the church and it is a time and money saver.
3. TECHNOLOGY. Your number one money saving and time saving tool will easily be the technology that you choose to use. You can hand address 200 hundred envelopes or you can print labels and save time and hand cramps. You can keep a Rolodex (you know like the 80s) or you can keep them in your Blackberry and sync them to your laptop. You can track your clients manually or you can use a smart database to make it easier, faster and more thorough. These suggestions are not new, but sometimes we just need a reminder and a nudge. And yes, technology comes with a learning curve, but after you do learn how to use your new tool, it adds color, freedom and time to your business life.
Just remember to do your homework and then dive in with both eyes open, but dive in.
If you haven’t had enough of this kind of “office talk” then check out Mina Kimes’ article from the November 2008 issue of Fortune Small Business. She highlights how four smart entrepreneurs increased their profit margins, dramatically, while remaining small in size. And for your convenience, it is available online: When Less Means More by Mina Kimes.
-Ms. J-
