Yes, 2018 is already well underway but it’s not too late to commit to some exciting New Year’s resolutions that will transform the way you live – for the better! In fact now is probably a better time to make some New Year’s commitments rather than right at the beginning of January. By now – after the season of good cheer – you should be better placed to make some realistic resolutions that you can implement throughout the year.
If you’re under the impression that New Year’s resolutions are only for your personal life you’re wrong! There’s no reason why you cannot apply the same process to your work life. In fact there is a delicate process to evaluating your workload so you can create realistic targets and plan ahead to push your business to the next level.
With this in mind we thought we’d put together a few hints and tips – from an accounting perspective – to help you out with putting together your resolutions. Of course the goals are entirely up to you, these are just to give you a helpful nudge to set you on the right course to determining your own goals for the year.
1. Fluctuating Markets
You won’t be surprised to learn that markets do not remain consistent. It also won’t have escaped your attention that recent issues such as Brexit are having a major impact. This means that getting a grip on the situation represents a huge challenge. It’s always great to be optimistic but it is also smart to prepare for a not-so-rosy outcome too.
With that in mind it is best to set aside a good level of savings to take you through any points of low demand that your business might experience. You might even consider putting together a contingency plan or exploring other markets.
2. 20% = 80%
For many businesses it is 20% of their clientele that generates 80% of their revenue. The figures may differ for you but generally the finding is that 20% of your customers or clients will represent 80% of your business. If you want to be negative about it you could say that the other 80% of your client base will represent only 20% of your revenue. However, on the bright side, there may be ways to escalate your activity with that more productive 20% of your clients to secure a greater return.
It may seem like a daunting thing to contemplate but you may consider narrowing your client base to just those super-productive clients. Actively giving your attention to the most profitable clients may mean a smaller client base but it will also mean more quality time with the ones that generate your greatest revenue.
Some people see accounting as a chore. Ok, most people see accounting as a chore. For others, business chores consist of paperwork, scheduling insurance, relevant training.
Yes, chores can be a pain but keeping on top of such chores is a good practice that makes and keeps businesses in good shape. No matter how boring or annoying you may find your chores you need to keep them all up-to-date for a business that runs smoothly.
4. New Business
We mentioned exploring new avenues earlier and this is a key factor to driving new business. Although you might be busy with existing clients and not really in the market for new ones, you need to be prepare for clients of the future. Such preparation will go a long way to ensuring long-term business growth.
Your business type might mean seeking new clients online. Alternatively you might need, or want, to find clients the good-old-fashioned offline way. Figure out what works best for you and keep doing it regularly to build up a solid base of contacts.
5. Good Work
“Do good work and you’ll always be busy.” This is a phrase that does not cease to be true and is fundamental to a good business year. It’s not difficult, just pay attention to your work and make sure you get everything done as well as possible. It’s important to keep clients and customers as happy as possible.
Don’t forget that it is also your job to turn a profit so while it is a good thing to over-deliver to keep clients happy, it needs to be within reason.
New Year – New Happiness
The best way to ensure your happiness in the new year is by planning your work and then working your plan. The hints and tips mentioned above are important if you want to formulate and then achieve your goals and resolutions. Implement the above ideas into your daily work to efficiently increase your turnover.
It’s good to be ambitious and have high hopes for your business. However you need to keep your goals realistic. To do this you need to keep your attention on all the fine details of how your business works and what changes you can make to drive revenue. Don’t be afraid to grab some pens and paper and just jot down the first ideas that come to mind. Do this for a little while and then narrow down your list to determine what changes you can realistically implement to change things for the better this year.
Able Accountants are local accountants with an active blog to help all private and business interests manage accounts cost effectively.