Increasing Your Bottom Line Even In Challenging Times Focus On Your Foundation
Nov 23, 2009
Is a 10% loss the new "breakeven"? Many companies have recently experienced a significant reduction in sales and the natural reaction to cut costs. However, the timing of the cut-backs has left many businesses in a less then favorable situation. How do you bring the business back into balance - aligning costs with revenue without limiting your ability to grow? The answer is to understand how to optimize the key fundamentals of your business that allow you to increase your bottom line!
If you have recently cut back or made changes, now is a perfect time to get a business check-up. B2B CFO® partners offer a free business check-up to provide you with a confidential written report of our findings and recommendations. With fewer resources you need to operate more efficiently and implement the proper tools to manage your business to increase your profitability.
Here are key suggestions to improve the fundamentals of your business:
· Identify your target market and know your customer needs!
· Determine profitability by customer and by item to assist in decision making
· Differentiate yourself, know your competitive advantage
· Identify the areas where you are most profitable – uncover target areas
· Build your brand and stay relevant in your target market
· Focus on building your market share in your targeted growth areas where you are most profitable and can win new business
Take advantage of your competitors cut backs in marketing and advertising by knowing your business and customer fundamentals!
Outsourcing is a great option to expand with the flexibility to grow and contract as needed. Outsourcing provides a higher degree of expertise at a lower cost than hiring. In a smaller company it is even more critical as outsourcing internal functions allows you to get out and grow your business, which is what you do best.
History shows that recessions are followed by periods of expansion. Take advantage of the economic downturn to get back to basics and optimize your foundation. Your efforts will pay dividends - the market share you gain today will grow significantly as the economy improves.