I'm sure it comes as no surprise, having a
small business and making a profit are two
different things. The difference is a matter
of executing a basic set of business steps.
To maximize your small home based business
profits compare your current performance as
a small business owner against the following
checklist.
Clarify Your Objectives:
1. Understand what you want your
business to help you accomplish as an
Individual.
2. Clearly state your Business goals
regardless of your personal talents or
skills.
3. Schedule activities for each
Lifestyle area: individual, family,
spiritual, career, financial.
4. Plan your use of Time in 30 minute
increments with an emphasis on mandatory
items.
Enhance Your Management Skills:
5. Develop a step-by-step action Plan
for each of your individual and business
goals.
6. Report the results of your action
plan activities on a scheduled basis.
7. Evaluate your results against the
targets you set in your action plans.
8. Develop alternative steps for
areas of your action plans which are under
performing.
Improve Your Finance Opportunities:
9. Select a business Entity which
reflects your personal goals and facilitates
funding.
10. Create a Budget and compare your
actual numbers to your forecast numbers.
11. Setup, maintain and regularly
review an accurate set of Statements.
12. Project Cashflow using a time
frame which allows you to prepare for
shortfalls.
Review Your Personnel Needs:
13. Diagram your business Structure
by identifying the jobs required to meet
your objectives.
14. Only Hire people who capabilities
and interests match your job description.
15. Compensate people based on the
revenue or savings they generate in their
positions.
16. Motivate people by understanding
why they are working and what they want from
their jobs.
Increase Your Marketing Effectiveness:
17. Identify why people or companies
buy your Products and services and how they
use them.
18. Understand who your Customers are
and how they make buying decisions.
19. Develop a strategy for
differentiating yourself from your
Competition.
20. Use Sales and promotional methods
you can consistently and persistently
execute with results.
Streamline Your Operations:
21. Adopt an efficient Administration
system for keeping your business records.
22. Make sure every square foot of
your business Facilities is working for you.
23. Invest in Equipment and
technology only after determining its ROI
(Return On Investment).
24. Identify and meet the expense of
all business Requirements in a timely
manner.
Reduce Your Production Costs:
25. Breakdown each of your products /
services into their basic Components.
26. Outline the steps and costs of
your production Process for each of your
products / services.
27. List the steps and costs for the
Distribution activities for each of your
products / services.
28. Add up and add on margins to all
of your steps and costs to determine your
profitable Pricing.
Leverage Your Resources:
29. Make use of the Internal people
and information resources you're already
paying for.
30. Don't be afraid to pay for the
appropriate External experience required to
grow your business.
31. Take full advantage of all the
Industry information offered by organization
you've paid to join.
32. Universal business knowledge is
all around you - ask questions and listen.
See your small home based business as jigsaw
puzzle. What picture would be on the box
top? How would you put all the pieces of
your small business profit puzzle together?
For each piece you put in place you can
expect an increase in your level of
profitability. When all the 32 pieces of
your profit puzzle are put together you'll
have maximized your small home based
business profits!
