Being a business owner is incredibly demanding. The constant pull in multiple directions can easily cause you to lose sight of what truly matters for your business’s success. But what are those critical objectives? Every business owner should be focused on four key goals.
The Four Essential Goals for Every Business Owner
Goal #1: Get Control of Your Business
This isn’t just about general oversight; it’s about establishing concrete control in four vital areas:
- Money: Take charge of your finances. Know where every dollar is coming from and going.
- Time: Master your schedule. Effective time management is crucial for productivity and focus.
- Destination: Define your goals. Clearly articulate what you want for your business and personal life. Knowing your destination allows you to make better decisions that keep you on the right path.
- Master Your Delivery: Consistently deliver your product or service with exceptional quality. This lays the groundwork for future growth and profitability.
Goal #2: Get Profitable
Sales are great, but profitable sales are the name of the game. You need to understand the fundamental formula for profitability:
- Leads x Conversion Rate = Customers
- Customers x Number of Transactions x Average Dollar Sale = Revenue
- Revenue – Costs = Profit
Focus intently on your margins. Unprofitable sales won’t sustain your business in the long run.
Goal #3: Get Yourself Out of the Field
It’s time to shed the “doer” hat and step into the role of a true business owner. Whether it’s taking off your tool belt or stepping out of production, your aim should be to stop being the primary producer in your business. The ultimate goal is to spend at least 50% of your time working on your business, rather than in it. Ideally, you’ll reach a point where you’re working 90% on the business and only 10% in it—allowing you to keep your hands in just enough to stay connected. Move from the field to the office and focus on strategic growth.
Goal #4: Define Your Business’s Completion
This might sound counterintuitive, but it’s essential: decide when your business will be “complete” and what that looks like. The clearer your vision of a finished business, the faster you can get there. This clear definition will guide your decisions every step of the way, from hiring the right people to organizing assets, ensuring everything aligns with your ultimate objective. Set a clear date and a detailed picture of your ideal, completed business.
Achieving these four goals can transform your business. If you’re ready to accelerate your journey toward these objectives, consider exploring the ActionCOACH Business Operating System (ABOS), which is designed to help you get there faster.
Author: Mark McNulty, Business Coach in Louisville, KY