In last month’s newsletter I shared a program, BUILD A BUSINESS YOU LOVE: Build Your Business, Protect Your Assets & Leave a Legacy presented by one of our Mind Masters members who is a Business Broker. The premise of the program is to get you, the business owner thinking about making sure you are building a business with a smart foundation. In order to do that, you must create a systematized business. It’s absolutely critical to the future growth and success of your business.
Why? Well according to the Michael Gerber organization (The E Myth),” systems are essential to:
- Build the asset that will generate the greatest ROI should you choose to sell your business someday.
- Create the order and structure that will produce your intended product or service.
- Produce consistent, reliable results each time, every time, exactly as promised.”
Focusing your business functions on the 4 major areas of business, management, marketing, financial and leadership (personal/personnel) you will be able to better identify the necessary systems. There is no one system that works for every business, they are unique to how you want your business to show up to customers, prospects and even employees.
For instance, how many ways do you have of generating new leads? Are you using at least 3 lead generating vehicles that are consistent and automated? Marketing demands a structured and easy to duplicate system to attract attention and turn leads into sales.
Typically, some of your systems will be in these essential business processes:
Management: Position Profiles, Position Agreements, Recruitment process, Onboarding and Orientation, employee training, information technology systems.
Marketing: an assessment form, a proposal template, a communication system, Client fulfillment Process, a simple system for generating qualified leads, a system for working through the sales (or lead conversion) process.
Financial: a Cash flow system, a system for invoicing, a system for tracking costs, a system to allocate costs to projects.
Leadership: a system of accountability for Company Values/Behaviors, Goals/ Results and Planning.
Now that you have an idea on systems that need to be documented, there’s an important step to be added. Using solid repetitive systems, and activity – are utterly essential to building and sustaining a great business. But they must be used and continually evaluated. At the end of the day, they should help you by minimizing costs, maximizing profits and ultimately increase the value of your business.