Statistics show that a staggering 90% of start-up businesses fail within their first year. What’s more, of those that make it past month 12, just 9.6% of businesses will reach that magic 7-figure mark, with the majority remaining small enterprises.
What small businesses owners fail to realise is that managing a ‘micro-business’ is painful, where very long days are filled with menial tasks, instead of focusing on the bigger picture.
That said, how exactly can struggling small business owners accelerate growth and achieve a £1 Million plus turnover? It comes down to how you set your goals:
goals and then set them again
Most people set achievable goals, breaking them down into smaller, bite sized chunks that they work towards over a period of days, weeks or months until they reach their desired end point.
Sounds logical, right? However, to succeed in business – to really succeed – you need to set your goals higher. The more ‘achievable’ you make your goals, the more limited your success will be. For example, if your ultimate goal is to turnover £1 Million, you will only turnover £1 Million – or, if your goal is to have a high 6-figure income, you will never reach 7 figures.
In setting bold, almost unrealistic goals, your will constantly strive for more – pushing yourself to be the best you can be.
Whilst it’s vital to set high goals, it’s just as vital to be crystal clear on what you want to achieve within a certain timeframe.
For example, how big do you want your business to be in 3, 5 or even 10 years? What will your turnover, profit and headcount be within those timeframes? Have you made a clear exit strategy?
Just as professional goals are important, so are personal ones. In reaching higher levels of turnover and profit, what level of income will you receive? What type of house will you live in or car will you drive?
Materialistic items may not appeal to you, but the point here is to become crystal clear on your goals, understanding exactly what you want to achieve within a specific timeframe. In doing this, and focusing on it daily, you will have a far greater chance of success.
Once you have set clear, bold goals, you need to remain focused. Those who have achieved incredible things in business, all share the common traits of diligence, focus and hard work, putting in whatever hours it takes to succeed.
Put it this way, if you’re working 9-5, Monday to Friday, achieving high levels of revenue are simply unobtainable. As the saying goes, the successful spend many
years living like others won’t, to live the rest of their life like others
don’t, meaning you have to put in the work and make sacrifices time and time again to be in with a chance of achieving high levels of success.
How often do you measure your progress? Weekly, monthly, annually? So many business owners don’t spend enough time reviewing their progress and, as a result, have no accountability.
You will never be successful if you don’t measure any form of progress. If you don’t know where to start, implement monthly Management Accounts – aside from showing you how you’ve performed in turnover and profit against previous months, monthly accounting enables you to look at all areas of the business, allowing you to see and understand what is or isn’t working.
From here, you can make informed decisions on things like suppliers, recruitment or marketing, enabling you to continuously build growth in line with your goals.