Questions for the New Year

Hamish Mexted Business Strategy & Planning, Odds & Ends

In case you missed it, the new financial year is here. Us Chartered Accountants spent the New Year’s Eve celebrating with a bottle (or two) of wine, wondering whether or not to set a resolution….like most people, we’re quick to set the resolution only for it to be forgotten a week or two later (guilty).

Instead of setting resolutions, we’ve decided it’s better to ask a few questions to help lift us beyond what we did last year.

We’ve put together a few questions you might not have taken the time to ask yourself:

For boot-strappers: Could you double your profit, without taking on a bunch of new staff? Sounds difficult, but it’s probably do-able. Think about increasing your prices, not cutting your costs. Is there something game changing you could do with the limited cash you’ve got to turn things on their head?

For consultants: If you had to double your rates, how would you cope? Would you half your customers? How would you justify it – by improving your customer experience, by changing the mix of services you offer? It sounds far-fetched, but give it a go.

For people selling time: You can’t just double your hourly rate and expect to double profits. What would you do if you had an extra 100 hours of staff capacity per month? How would this improve the quality of your services, and would it let you offer more services than you currently do?

For brand-new businesses: What would you have to do to get 100 people to give you $100? What services would you offer, how would you price then and how high would you jump? Once you’ve got the cash, what would you do with it?

For established businesses: What’s the one thing you should focus on this financial year to help you double your effectiveness with customers (tip: effectivness isn’t the same as efficiency)? What one change would help you increase turnover by a third?

For everyone: What sort of person is going to buy your business? If you were that person, what things would you look for in your business?

Got some other good questions we could be asking ourselves? Let us know!