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Small and medium enterprises (SMEs) are advised to use September as a time to reflect on how their businesses have performed and what needs to be done to prepare for the end-of-year rush.
Elvandre Brooks, Area Manager at Business Partners Limited says it is important to pause and review the main aspects that keep operations moving forward.
“Spending time taking stock of where you are or how far you have come as a business and what you need to do next is critical to long-term success.”
He acknowledges that running a small business can be chaotic, while there is a lot to think about.
Brooks therefore gives four ways someone can clean their small business. He believes this can help one streamline operations, refocus goals, and set the stage for growth in the months ahead.
Brooks sees one’s financial well-being as the most vital aspect of running a successful small business. The biggest challenge every entrepreneur faces, whether they’re well into the growth stage of their business or in the first few years of getting off the ground, is effective cash flow management.
He advises entrepreneurs to keep a close eye on the inflows and outflows of capital in the business to prevent overspending, missing opportunities to earn additional revenue, making unnecessary debt or spotting costly inefficiencies before it’s too late.
“Your financial spring clean should involve a review of your most important financial statements, which are your income statement and your balance sheet.”
By reviewing these documents, one will get a good overview of what fixed and variable expenses are monthly and where it is possible to cut costs.
Brooks says running a business must not only be about profit, but also about people. It is important from time to time to check on the health of one’s team.
A team in a small business usually means people have to wear many different hats and offer assistance on tasks that fall outside their job description.
“As a business owner, your spring clean should therefore involve touching base with the key individuals on your team, formally or informally.
It is the ideal time to use incentives to give top performers a boost before the busy end-of-year rush sets in.”
This time can also be used to catch up on team building or have a group activity, this can be done to reestablish connections between team members and make sure that people feel valued and appreciated.
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He advises business owners to review and refresh business goals, as this can be vital in ensuring that there is enough momentum to carry through the remainder of the year.
“Setting measurable objectives is crucial to running a successful business. It’s equally as important that each team member is made aware of what your vision for the medium- to long-term is, to allow for single-minded focus and a united effort”
He says if one’s initial goal was growth, now would be the time to check in on the metrics put in place to measure growth and to decide whether ongoing growth is still feasible.
“Sometimes, you’ll need to switch your focus to other more pressing needs, such as product or service development, improving your company culture, expanding your business network or upping productivity.”
He adds that it is important to consider your personal well-being as a business owner.
“Surprisingly, amidst the often-manic activity of running a small business, entrepreneurs forget the most important factor, which is their own physical, mental and emotional health.”
Burning out, feeling exhausted and neglecting your own needs may seem like a worthy sacrifice, but in the long term, not being in the position to give the business your full attention and energy can become a drain on your resources.
Brooks says now is the right time to look at what needs to fuel the next leg of the journey.
“The more relaxed, self-assured and mentally in-tune you are as the head of your business, the more confident your team, your suppliers and your customers will be in your abilities to deliver on your promises.”
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