Open a newspaper, switch on the TV or listen to the radio and the world seems like a very uncertain place at the moment for businesses. Brexit, looming trade wars and a general unease about the economy all add up to fear and hesitation. So how does a small to medium sized business respond, and more importantly, how do they grow.
The answer is not that complex but it does take some discipline and a little nerve to keep your cool when when it looks like the world might be falling apart. A few things to remember:
1. The media thrive on new stories and are always looking for an angle which is not always positive - if you were to believe only the UK media you would think that the UK has completely lost the plot when it comes to the Brexit negotiations but if you look at what some of the other European countries are saying about the state of the union ( the Europen Union that is) things are not so rosy and we can see that the mood music coming out of Brussels is finely orchestrated to pressure the UK into a deal that will secure funds for the EU and ensure that the EU leaders do not lose face. So lesson 1 is 'turn off the TV, apart from a basic update once a day or a couple of times a week' so that you don't suffer from the bias of the UK media.
2. Talk to your customers and talk up business - when I speak to a lot of small and medium sized businesses they are frustrated when people talk down the UK economy and our resilient track record in maintaining one of the lowest unemployment rates in Europe - if anything the challenge today is finding good staff. So lesson 2 is be confident and celebrate your success as a business and listen to how other businesses are perfoming; in my experience the ones that have determination and a plan are doing extremely well.
3. Have a clear plan for your business- prepare written goals and have clear sales/turnover and profit targets. Revisit your plan on a weekly basis to see how you are perfoming against the original targets an, if you are not achieving your goals review every area of your business to find out why. So lesson 3 - A man who does not plan long ahead will find trouble at his door.” Confucius
4. Invest in good people to grow your business. So many small businesses hold themselves back because the owner won't let go or want to micro-manage his or her staf. If you believe in someone give them the headroom to achieve and perform - let them push the business forward for you and just manage with a light touch rather than a heavy hand. Lesson 4 - "If you always hire people who are smaller than you are, we shall become a company of dwarfs. If, on the other hand, you always hire people who are bigger than you are, we shall become a company of giants." – David Ogilvy, founder of Ogilvy & Mather, one of the world's most successful advertising agencies.
5. Know where you as a business owner are going. So often business owners get so wrapped up in their ventures that they simply don't know when to stop or where to take their company. The key to growing a company successfully is to have a clear end in sight, or as the accountants will tell you have an exit plan. This may be for the business owner(s) to retire when they sell the company; build the business into a national or global corporation; merge with another similar business to create a major force. Whatever the objective is is vital that business owners are clear about it and have a concrete timeframe for achieving it. Lesson 5 - don't continue partying when everyone has gone home and you could have a serious hangover.
Paul Vousden is a business growth expert and heads up Corporate Counsel which helps small and medium sized companies to achive rapid growth.
www.corporate-counsel.co.uk
