Tips for rediscovering your ideal customer

BEFORE COVID-19 WERE YOU READY TO STEP DOWN FROM THE BUSINESS?

IS TODAY THE HOPE For a Better Tomorrow…..?

‘Today’ we are confronted with huge challenges, greater than we have ever experienced before. These result in ‘Tomorrow’ becoming even more difficult than usual to calibrate. We all have more uncertainties than we have faced in the past. Would a private conversation be helpful on the specific concerns you have that are affecting you and your business?

Such a conversation would, at an absolute minimum, serve to clarify the specific issues you and your business have ‘Today’ and will be facing ‘Tomorrow’. This may even begin to shape some potential answers in your mind.

As an Example

If you were thinking of stepping down before COVID-19 but now one or more of the following apply to the numbers of your business:

· Price performance is -25% + in past 52 weeks

· Five-year growth record is -0% -5%

· Five-year average return on investment (ROI) is negative

These are identifiable and track-able, and they create a benchmark. Over the next 12 to 24 months you may want to update the numbers every 6-months, so you know where the business stands. Is it possible your business will rebound on its own?

ACTION STEPS TO TAKE IN 2021 OR 2022

What will winning look like? Is there a hill in your way? What is the hill , the Red light that is in your way?

How will you conquer this hill and then plan to deploy resources to move you forward towards what your winning looks like. Your green light to success.

Some of the ways to give this purpose are the following steps: 1) a framework 2) a strategic plan, 3) a project that lays out the deployment in a clear and understandable way.

If after 12 months there is not sufficient signs of improvement, the next step will be to have a resource who can evaluate those elements that influence value, revenues and risks in the business. This may include evaluation of marketing strategies, target audiences or even a need to pivot.

As with any important matter such as this, shared clarity with staff, advisers and family is key.

Correcting the status of the business in times like this, is an activity that falls more to the ‘planned’ side of this diagram. Letting things ride in the hopes of recovery are more likely to fall to the ‘unplanned’ side of the diagram which is more likely to result in disruptions, dispute and damage control.

So, if you are an owner or adviser to a business owner and results matter if you sell your business then it is not advisable to sell the business until these matters are fixed or resolve to your satisfaction. They will have a negative impact on offers, often considered to be “low ball” or “fire sale”. These can significantly influence on the amount of capital you and your family may receive.

Alternate, more creative financial solutions may also be possible.

The worries of the business comes next……..