Over the years as a business and profit coach, I have worked with many companies from many industries, and as I mentioned in my opening article, one of the biggest challenges facing owners of small to medium size business is leadership.
The reason for this is that to significantly improve the performance of a business, for example to grow and improve profit, we require significant change, and significant change requires a mindset shift from the top down-Leadership.
To assist business owners, I have provided a short summary on what I consider are the biggest mindset shifts owners need to make to improve the performance of their business.
1. Increased Dissatisfaction
An under performing business is not ok for you, your family or employees. Owners need to increase their level of dissatisfaction to a point where they are motivated to want to do something about it before they have to. They need to develop a clear WIFM (what's in it for me).
2. Laying blame
Owners need to have a constructive look at themselves as often this can be where the problems lay and where the solution starts and finishes. We all know it’s easier to blame others for under performance however the majority of business problem root causes are under the control of the business and its owner.
3. Your business is not worth what you think
One of the biggest mistakes business owners can make is that they genuinely believe that their business is worth a lot more than it is. The reality is 90% of business don't sell and the other 10 % won't achieve a price close to the asking price. Owners may need a major mindset shift and start thinking like a prospective purchasers, not an emotional vendor, in order to significantly achieve a higher price for their business.
4. We don't have to change
Yes you do, a business cannot survive long term without accepting they have to make continual significant change. The quote which sums it up for me is “in business today there are two types of business, those that change and those that disappear” - which one do you want to be?
5. The business can't run without me
Well often yes it can and sometimes even better, a business that runs without its owner is worth a lot more on sale than one which has an owner in control. And a significant side benefit is an owner with management in control has a much better work life balance.
6. I can sell my business when I am ready
In reality unfortunately you cannot! Statistics clearly show that, and the reason is that most businesses are not ready to sell when they go on the market, therefore they either don't sell or the price offers are nowhere near what the owners wanted.
Why? The businesses simply were not sale ready and or the owners were simply not ready. The process to get a business and its owners sale ready could take anywhere from 2 to 5 years, the secret is start now.
These are the areas I believe leaders need to make the largest mindset shift, if they do there will be significant financial rewards, in addition to life balance improvements.
Yes it is all about the need to have a high level of dissatisfaction to make changes, having the motivation to make them, knowing what the changes are, and especially how to implement the changes and achieve the associated financial rewards, and work life balance improvements.
If you having trouble with any mindset shifts or making the changes you know need to be made, please do not hesitate to contact me email@example.com for a no obligation meeting.