Business growth beyond the bottom line
I don’t know about you, but I’ve got a collection of self-help books larger than I’d like to admit (even if it might not be that big compared to some “gurus” in the space).
I’m not a big fan of self-help content in general because I find more value in personal development through having conversations with people, taking time to reflect, and learning from life experience.
Because while growth is important to me as a person, I don’t necessarily like prescribing to other people’s ideas of what that growth should look like, or the “best way” to get there.
Growth within my business is also important – though not necessarily when it comes to the bottom line. And similarly to my personal growth and development, I don’t always enjoy reading about how much money I should be making to be successful, or how much my business should grow year over year.
I’m not independently wealthy, so I do have to worry about making enough money to cover my bills, maintain my lifestyle, and build a life I enjoy. But I’m not particularly motivated to strive for much more than that.
And you know what? I think that’s totally fine.
The dirty little secret about business
When it comes to business growth, there is no end to the number of articles out there providing advice, admonitions, and encouragement.
The advice covers all sorts of growth types, too. From growing a team to expanding your skills to increasing revenue.
Growth is often referred to as an indicator of success; a way to gauge how your company is doing and to predict long-term sustainability.
The reality though is that this focus on the bottom line is rarely relevant to small businesses.
Pressures around profit margins and team expansion exist mainly to satisfy the stockholders of publicly traded companies who demand answers regarding their numbers and investments.
For those of us who live in the solo, micro, or small business worlds, the line doesn't continually go up – nor should that be an expectation! (Otherwise, you're guaranteed to be disappointed.)
Large corporations have teams of finance people and accountants that can help them work with the numbers in their business to meet targets. They also have greater funding, larger marketing and sales teams, and access to specialized tools or resources.
You likely don't have these advantages, so avoid comparison and be cautious in attempts to emulate what these companies do.
Even with these teams and additional resources in place, large corporations’ business revenue doesn’t always only go in that one desired direction (up).
Revenue plateaus, decreases, goes up again, then drops back down; a cycle that is largely dependent on and in response to our volatile economy, and the average consumer’s perception of the state of the economy.
Over time, there’s still pressure to have a growth trajectory, but given how unpredictable things are year in and year out, it’s so bizarre to me that any organization operates with a continuous-growth expectation.
It’s simply not sustainable.
So, why are we comparing ourselves to these businesses or trying to mimic their strategies?
Instead, let’s find and embrace practices that align with and are suited to our values and way of working.
Let’s push back on the idea that our business needs to continue to expand or grow year over year. And let’s avoid comparing our unique business to any other.
A different way to think about growth
I prefer to think of growth as a multi-faceted process, much like personal growth. And since I’m the boss of me, that’s what I embrace in my business.
Well, if growth isn’t about the line going up, Karen, then what is it about?
Great question! I’m so glad you asked.
1. Focus on sustaining your business long-term
Since I began working full-time in my business, a main area of focus for me has been setting up systems and processes.
(To be clear, this is something I’ve prioritized within my own business and something I love helping my clients with as well).
To me, that’s a critical growth area for long-term sustainability.
I have templates, I’ve established standard operating procedures (SOPs) to streamline and standardize tasks, and I’ve implemented relevant technology and tools that ensure any repeatable tasks are easily automated and completed without having to think through the steps every time.
I’m not meticulous to the point of complete rigidity, but I’m fairly regimented and a bit predictable. And while this might sound boring, it makes my work easier!
The structure and guidelines I have in place boost my performance, efficiency, and creativity.
The tech optimizes my daily workflows, the standardization keeps me on track, the tools and tech save me time and energy, and each of these elements comes together to ensure that I’m able to sustain my business long-term, without succumbing to burnout.
All the while, I remain flexible enough to adapt when needed in response to changes within my own life, with my clients, and/or with the economy.
2. Information is valuable
On a call with a client once, we got to talking about their customer database and all of the details they have documented going back to when they started their business.
It was music to my ears.
I’ve built databases of information about my business that I can use to further streamline my work.
For example,
Information related to contacts I engage with. What does my network look like? What are my clients working on? What relevant conversations have I had recently? What do I need to follow-up on? Being able to reference this information whenever it’s needed supports me in staying organized and maintaining strong relationships with my clients and network; making my interactions more meaningful and efficient.
A secure database of passwords and login information. I don’t ever want to be in the position of needing any of this for an emergency reason, but it’s sure helpful to have this information easily accessible when I need it.
Documentation organized regarding ALL of the marketing content I produce. Having a place to record my thoughts, whether they’re fully fleshed out or simply a spark of an idea that may or may not ever come to fruition is key for planning out my content and aligning my marketing efforts with any launches or relevant calendar events.
Documentation of my tech and software tools. Part of my current growth plans actually involve streamlining my tech stack in an effort to reduce unnecessary expenses. There’s nothing less efficient than redundancies between business tools. Keeping track of my systems helps ensure they remain aligned with my goals, as my company continues to evolve.
This documentation helps me to simplify the work I’m doing, streamlines decision making and, frankly, makes it easier to find things.
Of course, some of the information held within these systems isn’t relevant to my business today. It’s outdated or is no longer aligned with my current business operations.
But you never know when you might need a seemingly random login. You never know when browsing your old notes or these “sparks” of ideas might ignite an entire new service offering or marketing campaign. You never know when an old client will reach out asking for your support, and when a quick refresh of their file will support you in maintaining that relationship.
This upfront data collection and organization will help you to sustain your business long-term – preserving your resources and streamlining your efforts so you can work smarter rather than harder.
And, when built out properly, these databases can help with the addition of team members down the road, if you do decide to hire support.
3. Consider client experience and relationships
Every time I work with a client, I’m thinking about ways to improve the experience. I’m thinking about my individual impact, and how I can bring meaningful change to their life through my offers.
Sometimes, my efforts might be a little selfish – maybe I want to make specific tasks easier for me (a very valid and important motivation, especially if it means you can conserve your resources or get more done in less time).
But, I’m also eager to ensure my clients aren’t overwhelmed by how I approach the work we do together. I try to be flexible and adaptable to my client’s needs so that they feel supported throughout their journey – a luxury I have as a solopreneur.
What are their goals? Are they clearly communicated and is our plan to achieve them realistic?
How do they best learn? What kinds of resources are most beneficial for how they learn?
How often do they desire (or need) check-ins? Can these be automated or do they need to be more personalized?
What tech and tools would support their experience?
What data collection would support them? (And what might support me?)
What values are important to them? How are these aligned with my own goals and values?
My work with each client teaches me something new. Each interaction with my customers (or potential customers) provides new information to consider. And based on these insights, I will often incorporate what I’ve learned into my regular operations.
If my clients aren’t having a good experience with me, they might not come back or want to keep working with me. And it’s true what they say about it being easier (and more economical) to sell to an existing client rather than finding a new one.
Is there any better reason to stay on top of the client experience?
As a small business owner, you have the ability to offer a level of personalization that larger businesses often struggle to match.
Focusing on customer satisfaction through loyalty, trust, open communication, and transparency supports long-term relationships, referrals, and contract renewals.
This kind of growth is easier (and more fun)
If your focus is solely on your business bottom line, you’ll always be selling instead of building lasting momentum.
You have the flexibility as a business owner to craft a personalized approach. You have the creative freedom to experiment with new ideas or offers. You have the opportunity to build a business that not only supports your clients and their goals, but your life and business as well.
You get to decide when and how to scale.
So, does scaling look like profit and bottom line growth to you? (It’s okay if it does! As long as you’re realistic in your approach.) Or does it look like greater efficiency? Long-term sustainability? Meaningful customer relationships?
All of the above?
The choice is yours. But, it’s a choice that needs to be made day in and day out. It needs to be reflected in your day-to-day schedule, your processes and procedures, and how you show up for your clients, and yourself.
And it’s a decision that shouldn’t be swayed because of an unfair comparison to a larger corporation, or because of a “guru” who claims to know a “one-size-fits-all” approach that simply doesn’t exist.