OK, when we left your intrepid business you had worked out your minimum revenue figure, but how much do you 𝘄𝗮𝗻𝘁 to earn?
Now you can start writing some super awesome $$ numbers on the whiteboard, think about the timing of that income. Mmmmm about actually generating that revenue stream... Right, let’s talk capacity - how many (people + equipment hours) do you have available to generate revenue? How many are you using now, and how effectively are they being used?
Ok, we now have a baseline - how many hours do you need to hit your new revenue targets? Are your available ‘effective people hours’ the amount you need to hit your new revenue target? Do you have the working capital to utilise them all? If so 𝗬𝗔𝗬!
Let’s move on to the marketing plans which are going to drive all these new high-value clients your way. No? Ah, so we need to either find more people and/or more equipment to deliver the magic number. And… we need to factor that cost into the cash flow to assess the practicality of the planned expansion. And we probably need to build your working capital position to the point of supporting the planned resources. In either case, my recommendation is to engage a recruitment firm for the people, and a commercial finance broker for the money. Use the skills that are in the marketplace to get the best results.
Now we get to devise and execute your very cool marketing plan, which we will dive into in the next post 🙂
Chat soon 😀
#smallbusinessmarketing #smallbusinessadvice #cashflow #planning #smallbusiness #smeadvice #finance #smefinance
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