Fellow entrepreneurs: do you feel like your business can be more productive? More profitable? More successful?
It's the fat. There are things in your business weighing it down. As success driven entrepreneurs, you have to learn how to "cut the fat" out of your business. It makes for a healthier, leaner, successful business.
Here are 7 cut fatting tips to help you improve the productivity of your business:
Tip#1 Cut the Slackers
Ever tried to run with a backpack full of rocks? That is the experience you will have when you carry "dead weight employees." Attempting to grow a productive business with unproductive and unmotivated employees will lead to failure. Just get rid of the employees who do harm, cut the unnecessary fat.
Tip#2 Cut the clutter
Your office can get really cluttered if you don't have the habit of removing unnecessary items. Too much paper? Too much furniture? Too many phones? Cut them all out. How, you ask? Use things like e-fax, magic jack, or light furniture with storage bins. Get organized and cut the clutter out.
Tip#3 Cut Unnecessary Expenses
How do you know they are "unnecessary?" Simple. Make a list of all general expenses in your business. Next to each one, write either: Review it or Cut it. Work down the list. Cut the ones labeled cut. This will produce immediate savings. Then on the review expenses figure out if you can get better deals on it. ‘Trimming the fat’ every 3 months can help you create profit.
Tip#4 Take on Less Work for More Profit
“One project for $30,000 or 10 projects for $3,000 each?” If you want to make more money in less time, and less headaches, take on the whales. When you have time, take on small projects.
Tip#5 Apply the 80/20 Rule
20% of your activities produce 80% of results. What does this mean? It means focus on the 20% of business building activities to produce maximum. Get rid of or procrastinate on tasks that will yield little to no results. For example, taking 3 hours designing your business card is a waste of time. Instead, focus your efforts producing more income for your business through marketing and sales.
Tip#6 Systemize Everything
Always ask yourself, “how can I do it easier, faster, and cheaper?” Make it habit to be "lazy." Yes, you have permission to be lazy. Go ahead, be lazy. Create templates for emails, forms and other documents. Have auto email responders, auto payments, etc. List out job rules and put it together in a handbook. This makes it easier for anyone to take over your duties.
Tip #7 Use Remote Employees
Only pay for what you use. Every employee not only costs a salary, but also a chair, a desk, a computer, power, etc. By using remote employees and contractors who work from home, you’ll save money and maybe you won't need a huge office. Less overhead on the little things really add up to savings.