Is your small business earning small profits? Have you tried brainstorming ways to give the bottom line a boost but came up with blanks? No need to worry. There are plenty of tried-and-true techniques for adding muscle to your business’ income. Here we will discuss several ways to supercharge your small business profits.
How to Supercharge Your Small Business Profits – Overview
The seven ideas below can work for entities of most any size or age. Plus, it doesn’t matter whether you sell a product or a service, are a high-tech merchant or one-person shop that does online reselling. The beauty of capitalism is that there are as many ways to earn income as there are people. Maybe that’s why free enterprise has been a long-term success everywhere it’s been tried.
Here are the essential details about the most common, and effective ways that owners of small businesses can earn more.
Do an Internal Efficiency Audit
Either hire an accounting firm or use in-house personnel to do an all-around efficiency audit. This is not just a financial exercise, but a comprehensive review of every department’s way of operating on a day-to-day basis.
Fortunately, you can download no-fee software that shows all the details of each step of the process. Expect to spend about a week going through the data collection and evaluation phases of the audit. Then, take at least a full business day for you and your team to evaluate the results and decide on what kinds of changes need to be made.
Get a College Degree and Pay for It
Another way to supercharge your small business profits is to get a college degree. In the long-run, a good education pays for itself. That’s why it makes perfect sense to get a college degree in an area that can supplement your entrepreneurial success.
There are multiple options, including management, IT, marketing, finance, accounting, and communications. But, getting a degree part-time or full-time, online or in person, is only part of the education equation.
The other part is paying for it. One way many working adults pay for higher education is with Earnest student loans, which offer competitive rates and reasonable repayment terms. Getting an education loan from a private lender is the most efficient, convenient way to cover all your schooling expenses so you can focus on coursework when the time is right.
Stop Using Free CRM Software
Customer service is a core component of the profit cycle. Managers frequently try to cut corners and save a few bucks by downloading free CRM (customer relationship management) software. This can be an acceptable approach for a brand-new company that only has a few employees and is low on funds.
If you’ve been doing business for more than six months, consider purchasing a CRM product that is suited to your company’s needs, size, customer demographics, and profit level.
There are dozens of excellent retail packages available for less than $100, and once you get them set up, they can not only save you time but also boost customer satisfaction across the board.
Partner With a Local Charity
Entrepreneurs typically overlook the value of building a relationship with a local charitable organization. It’s not just about doing the right thing, either. For-profit entities and charities have been working hand-in-hand for more than a century, and there’s a good reason.
The arrangement is a win-win for both entities. The business gets local publicity for helping a worthwhile cause, builds out its network of contacts, and reinforces brand identity at the same time. The charity gets free help with putting on events, doing community outreach, and collecting funds from willing donors.
These are not the kinds of partnerships that pay off or show results overnight. They’re part of a long-term plan for company growth and success.
Make Cold Calls Daily
Yes cold calls – these can definitely help you supercharge your small business profits.
Spend at least 15 minutes every day making cold calls to potential customers. Use a standard online phone directory and view the exercise as a way to hone your pitch and let local businesses and consumers know you exist. Don’t be surprised if you find several long-term clients this way.
Note, cold calling is more art than science, so be patient while you get used to the task.
Join the Chamber of Commerce
Joining the local chamber used to be something that every small business owner did on day one. Now, the practice has fallen by the wayside for a variety of reasons, which is unfortunate.
Chambers are like highly organized networks, within which you can make contacts, bolster your professional network, and get a decent amount of free advertising.
Costs are minimal, typically $30 per month for small firms, and the benefits are well worth the expense.
Consult with an Accountant with SME Expertise
If you’re willing to plunk down a few hundred dollars, consider hiring a CPA firm that specializes in small and medium-sized businesses.
What will you get for your one-time fee? Well, there are numerous package deals for new or small entrepreneurs, including mini-audits, tax reviews, consultations about growth strategies, and much more.
How to Supercharge Your Small Business Profits – Summary
As you can see, there are many ways to supercharge your small business profits. These include internal efficiency audits, going back to school for a degree you can use, as well as simple tasks such as joining your local chamber of commerce.
Have other ideas? Be sure to comment below!
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