Hi Jim Melville with StartUpWiser.com.
I am going to keep this short and sweet.
It is my belief that if you wish to succeed in business you will have to focus from day one on… No wait. Before you even get started, you will need to focus on one over riding objective.
Yes, I know you might have the best product or service. I know you might be the best sales organization. And I get it that you are going to offer the best customer service experience.
But guess what.
If you do not focus on making profits – then all you will have is this:
Sales and no ability to convert the sales in to the necessary cash flow to support them.
A great product or service that no one will get to enjoy because you ran out of money before you had a chance to show your customers how great this product or service was.
And customers who rave about your service but only in the past tense because you are gone, gone, gone.
Focusing on profitability does not mean you offer poor customer service, or lousy products, or put the price of your product or service out of reach of your customers.
No – focusing on profitability from the beginning means that you understand that to survive you need to succeed – and to succeed means you need to make money. Therefor you need to understand from day one – what it will take for your business to make money. And then you need to focus on using this understanding in your operations and the decisions that you make each day.
Too many businesses wait till the end of the year to find out if they made any money. That is a recipe for disaster.
So remember – focus on profitability.
Because after all – you are in business to make money!