Essential Steps to Assess Your Business!
What should you assess? You must assess all aspects of your business.
- How much did your business grow over the previous year?
- Did expenses remain steady, increase, or decrease? By how much?
- Are your profits being lost or remaining in your business?
- The debt ratio: how much your business owes versus how much your business is worth.
- How much was your product cost?
- What profit margin did you achieve for the year?
Were you happy with the year-end financial results? If so, congratulations! If not, why? What do you need to improve?
- Did you increase traffic flow and capacity?
- Did you raise your prospect-to-client conversion rate?
- What was the cost of acquiring a single client?
- Did you invest more in marketing over the last year?
- Did your image and brand help you attract new consumers to your medi spa or spa?
- Did you attract more affluent consumers to your business?
Marketing is all about finding and enticing people to purchase and repurchase from you. Did your marketing efforts pay off last year, or do you need to improve them so you can increase your capacity?
- Did you generate enough revenue to pay yourself your true worth?
- Did you save money?
- Did your consultation process hit your revenue targets?
- Did you hit your retail sales targets?
- Did you hit your overall sales targets?
- Did your guest retention rate go up?
Your operation should include the 4 S’s: Systems, Structure, Strategies, and Solutions. When you have the 4 S’s in writing, your life will be much easier, and your business can be on autopilot.
- Is your operation and business model in writing?
- Do you have a manual for each department?
- Do you have protocols for each treatment?
- Do you have all the necessary consent forms required to protect your business?
- Do you manage your inventory and your turnover rate?
- Do you have a method to measure guest satisfaction?
The team can be the most difficult part of owning a business. You need a team to generate millions. It pays off to invest in your team’s education and training.
- Do you provide technical and business training to the team?
- Do you host team training on a regular basis?
- Are you hiring the right people?
- What is your team’s retention rate?
Setting Your 2020 Goals!
The best way to set your business goals is by taking last year’s numbers (such as the number of guests, or your revenue by department for both treatments and retail) and increasing them by the rate of growth you desire. My target for this year is to double my business again. We have clients who doubled their business last year and are planning to double again this year. If we can do it, so can you! Set big goals and create a plan to achieve them!
Need help? We are here for you.
Reserve a Success Planning Session and let us guide you to a multiple seven-figure year!