To efficiently increase business turnover, I suggest you take at least one day out and totally dedicate it to looking at your business from the outside.
You need to make a list of as many areas as possible you can look at in your business, and I suggest initially you do this alone – as you are the only person who truly knows your business.
I want you to look at each area as critically as possible.
I am going to look at the most obvious first point of reference, and this of course is your finance within the business.
Firstly look at the money you have coming in.
- Is it stable amounts or are there huge fluctuences from day to day or week to week? Try to work out ways in which you could look to maximise and make the week flow better.
- Are there any days where you can’t accommodate clients? It may be that on certain days opening later and offering later appointments may be better.
- It could be that you could offer a special offer every Tuesday if that is a quiet day leaving more space for appointments on busier days.
The more ideas you come up with, the better your chance is to increase business turnover.
They may not be your most popular options but you are in a service business and you need to work to fit in with what is best for your clients.
Your staff may have a bit of a moan too, as no one likes change. Make sure they understand WHY you need to make changes and that it is helping to secure their employment too, and they will soon understand.
Once you have a clear picture of what you have coming in and where you can make improvements, then you need to look at what is going out – your costs. You need to evaluate if everything is necessary…honestly!
The bonding staff night out once a month to the local restaurant may have to be a girl’s night in!
You need to really grill down your stock too.
Check with your suppliers to if you can reduce your minimum orders, or extend your credit terms. It is so much better to sell your stock before you have to pay for it. Always pay your suppliers on time too to maintain the best relationship.
This also may be a golden opportunity to look at your utility suppliers. It is so easy to carry on paying for gas, electricity, phone etc but changing companies can save you literally hundreds of pounds.
You can do this yourself, or you can use an independent utilities consultant who can give you no obligation quotes. It’s all far easier than you think. Once you have looked at utilities then knuckle down every expense and where you can change and improve.
This exercise can be very liberating, but it initially can be very daunting – and even upsetting.
Once you have compiled your improvements then you may feel comfortable to move forward with them or check with your accountant the best ways to implement them.