Wednesday, 8 March 2017

Where to get your GROWTH FUNDING

To SME Owners

YEP growth takes cash/ funds , go look into the following.

1 Get ride of your low margin products, which also have low sales volumes

2 Re look at your advertising budget/ promotion budget, can you reduce, depends on many things
ie how well known is your business brand, how long have you been in business, do you have to find more new clients each period, year etc vs current clients

3 If you have SBU's can you re allocate resources to areas that are having, need growth.

4 Obtaining outside funding.

5 And obviously from sustainable profits and cash management re your debtor's book and stock management.


Till next time may the Force be with You

Thursday, 2 March 2017

How to tell Good Growth from bad Growth

To Sme Owners

Yes, growth of any kind, shape, or form will increase sales, BUT is it

Profitable, sustainable and creates wealth over time for you the Sme owner.

Sure go do price cutting, reduce your price below acceptable gp%, but then you must have a corresponding cut in costs, if not big big risk.

Your gp% benchmark, ask how did I calculate what we must charge, yes you know the calculation, so do not do business under your benchmark, really better to walk away from the deal.

remember your main functions as a leader of your business, is to
- develop strategy, and implement through your team
- position your business as different
- ensure your client needs are met
- develop and inspire your team