Steps to find out what you
don't know about your business
By Sharon Alpi

It has been said that it is not what you know but who you know that helps an entrepreneur be successful. Although there is some truth in that statement, I believe it's what you don't know you don't know that will end up hurting your business. If you are a business owner looking to survive and grow, its time to find out what you don't know and create strategies to act on the information.

Reflect and document: Recall the dream and vision you had for the business when you started. Have you accomplished what you set out to do? If you have missed the mark on any of your goals, write down what it is that you didn't get done and then ask yourself if it still needs doing. If the answer is yes, get started on a plan to get it done.

Find the money: Cash is king in small business. Look for ways to keep as much of it as possible. Review your budget and financial goals for the year. Realign business expenditures so that they are in line with your revenue projections. Look for ways to increase customers and increase the volume of business from present customers.

Listen to your office: Sometimes we get so busy that we forget to "hear" what our business is saying to customers. Take time out to listen to the people in your business. Are they asking the right questions and giving the best answers? If not, help them learn how to do so.

Stay informed about your industry: Changes are going on all the time. Make it a priority to know the latest technological improvement or the most current industry practice. Attend a trade show or a professional association conference. Get out of your own backyard.

Solicit Feedback: Find out what your employees think of the business and the way they contribute. As a business owner a lot of people have a stake in your success. Make time to really hear what they have to offer as suggestions and share with them your goals and expectations.

Cultivate and Reward: Knowledgeable people who work hard in your business and help you achieve success need to know that they are valued and supported. Don't wait for an annual review to give feedback. Look for ways to reward and give positive support all year long.

Review vendors, suppliers and service providers: Key suppliers possess information that could be useful to you. Identify the networks that are most valuable to you and make time to meet with them. Identify those where you may be vulnerable and shore up the relationship.

Assess Risks: Recognize the risks in your business and investigate ways to reduce the cost of coverage but be sure to develop an insurance-management program that supports the objectives of your business. Make decisions about what perils to insure against and know what you might suffer from each. Develop a technology plan. Analyze the business practices in your firm for ways in which technology would make the practice easier, more efficient and cost effective. In particular look at the accounting and record keeping function of your business.

Know your market: Know who you have been selling or providing service to and what they expect for the coming year. This means you need to really "know" whom you served. Analyze your customer records. Look for trends and demographic information that will be help you better serve their needs. Develop a customer database if you don't already have one.

Become the expert: Know how to solve the problems your customers may encounter from products or services they purchase from you. Become knowledgeable and develop a network of problem solvers that will give your referrals priority.

Plan for business continuation: The skill reputation and management ability of the business owner is the lifeblood of the business. Start now to develop a plan for replacing these human life values. Without them, the business is worth only the liquidation of the tangible assets.

Assess your passion for the business: If you still have it, moving forward will be rewarding. If you don't, then start working on another career option.


Sharon Alpi is Director of the Center for Entrepreneurship in the Tabor School of Business at Millikin University.