Matthew Curtis
As we enter the final month of 2020 inevitably we will be reflecting and reviewing the year that's been and looking towards the new year..
It's been a year without comparison for us all due to the pandemic, if you haven't been touch by the virus, then without doubt your life and business will have been touched by the containment measures that have been taken by government. You may or may not have been able to receive some mitigation from the raft of support packages put in place. Your business may or may not have delivered the results you had planned for in terms of hard £ metrics, but what condition are you, your people and your business in to face 2021?
In your appraisal of 2020 make time to consider not only how your £ capital has fared but importantly how your human capital has fared.
Hopefully throughout the year you have managed to stay close to your people & teams, never accepting that working remotely being on furlough meant becoming remote & distant. It's well researched and documented that humans thrive when they have a sense of purpose, feel they are part of something bigger than themselves and their contribution is valued.
In the VUCA (volatile, uncertain, complex & ambiguous) world that we live in creating & communicating a clear vision for your organisation, so that every team member can feel a part of something bigger, have a sense of purpose and know that their personal contribution is important - can provide greater certainty and improve well-being as well as performance.
In your review of 2020, how well did you keep people engaged, informed & feeling that they had a purpose & a valuable contribution to make to the business? Were they included in shaping new plans & ways of working... or did time pressures mean that they weren't consulted as you would have liked?
Were the decisions & the communications that you made truly consistent with the vision, values & culture of your organisation that you are striving for? If you believe they were intended to be ... have you checked that's how they were received? Do you have the courage to find out & can your people let you know the truth without fear of repercussions? These are some of the searching questions that you might need to ask & answer.
How can you set up your people, teams & business up for a successful 2021, harnessing all the learnings of 2020, to be a more resilient organisation, better equipped to withstand the challenges ahead?
Does your organisation have the neurodiversity (or if yours is a micro business are you) to effectively put in place systems & processes to mitigate the damage caused by negative events (business continuity planning).
Are you working to optimise current operations to eek out a competitive edge versus the competition or to secure and additional % point of margin (continuous improvement/lean thinking).
Are you spending time & resource on imagining new futures and creating new products & services to satisfy the needs of customers or to solve the problems that exist in those new futures? (Creating / innovating) and are you empowering your people and teams to deal with the challenges of today from your existing markets, responding to customer feedback, reacting to competitive pressure & threats, are your team effectively deployed, empowered, engaged & equipped with the tools & tactical thinking to maximise the return on the moment. (empowered teams)
M4C is working with businesses & leaders, helping them to assess their organisational resilience, create more robust plans & strategies for the future. Coaching leaders and owners in creating and communicating their vision & roadmap for the coming years & to build the capacity to deliver the vision.
The Case For Bootstrapping Your Business: The Path to Profitability and Independence In the vibrant, ever-evolving world of startups, the decision to bootstrap or seek early-stage investment can significantly shape the trajectory of your business. Bootstrapping, the art of building a company from the ground up using personal savings and revenues, often gets overshadowed by the allure of venture capital. However, the benefits of this self-reliant approach are profound and, in many cases, essential for long-term success and sustainability. 1. Complete Control and Ownership One of the most compelling advantages of bootstrapping is the retention of complete control and ownership. When you rely on your own resources, you’re not beholden to investors who may have their own vision or agenda. This autonomy allows you to make decisions that align with your mission and values, fostering a culture that reflects your authentic vision. It’s your business, and you call the shots—an empowering position that can lead to innovative and unorthodox solutions that set you apart from the competition. 2. Financial Discipline and Efficiency Bootstrapping necessitates a stringent level of financial discipline. Every dollar counts, and this constraint drives entrepreneurs to optimize every aspect of their operations. This frugality often leads to more efficient business practices, ensuring that resources are allocated to initiatives that directly contribute to growth and profitability. By focusing on generating revenue early and efficiently, bootstrapped businesses build a solid foundation that can withstand market fluctuations and economic downturns. 3. Strong Customer Focus Without the cushion of investor money, bootstrapped companies must prioritize their customers to generate revenue. This customer-centric approach often results in better products and services, as feedback is directly tied to the company's survival and success. Building a loyal customer base not only drives profitability but also creates a community of advocates who can help propel the business forward through word-of-mouth and organic growth. 4. Sustainable Growth Bootstrapping encourages sustainable, organic growth. Unlike venture-backed startups that may experience rapid, unsustainable growth driven by the need to satisfy investors, bootstrapped companies grow at a pace dictated by their actual performance and market demand. This steady, measured growth often leads to more stable and resilient businesses, capable of weathering industry shifts and economic challenges. 5. Creativity and Innovation Constraints breed creativity. When resources are limited, entrepreneurs are often forced to think outside the box to solve problems and achieve goals. This inventive mindset can lead to groundbreaking solutions and unique market positioning. Bootstrapped companies frequently develop innovative business models and creative marketing strategies that give them a competitive edge. 6. Higher Valuation When a bootstrapped business reaches the point where it’s ready to seek external investment, it often commands a higher valuation. Investors recognize the value in a company that has demonstrated profitability and a viable business model without external funding. This higher valuation means less equity dilution for the founders and a stronger negotiating position. 7. Personal Satisfaction and Confidence Finally, the journey of bootstrapping a business instills a deep sense of personal satisfaction and confidence. The knowledge that you’ve built something from scratch, relying on your own ingenuity and perseverance, is incredibly rewarding. This self-confidence can be a powerful driver for future endeavors and challenges, fostering a resilient entrepreneurial spirit. In conclusion, while seeking early-stage investment can provide a significant cash infusion and resources, bootstrapping offers a unique set of advantages that can lead to a more robust, customer-focused, and innovative business. By embracing the challenges and rewards of bootstrapping, entrepreneurs can build companies that are not only profitable but also aligned with their core values and vision. The path of bootstrapping is not easy, but for those who choose it, the rewards can be immense and deeply fulfilling.
Crafting a Winning Pricing Strategy: Balancing Cost-Up Pricing, Market Pricing, and Value Perception to Align with Customer Experience
Book your road-trip to success - via Take-off@m4cltd.com