Why Are You in Business?

Have you ever stop to consider the question as to why are you in business? Typically the answer to that question is something like, “I was tired of working for and making money for other people” or “I wanted to be independent” or “I thought I could make more money with my own company.” While all of these may be valid, I believe each of them leave a business owner exposed to making crucial errors in operating their business.

Customers

Let’s face it. Even if you are in business to control your financial future, avoid working for someone else or a host of other reasons, without customers you will have no business. Each customer is looking for something and your goal is to fulfill it. All the other things (financial rewards, independence, etc.) are secondary to fulfilling customers’ needs or desires. If you can manage to meet customers’ expectations, whether they are for serious needs or frivolous desires, the other things you want will follow.

Partners

Regardless of how well you satisfy your customer, there are always other stakeholders who also need to be satisfied. If you have suppliers or service providers, you will have to meet their expectations as well. That includes paying on time and effectively communicating with them. The same goes for banks who lend to your company. Of course, we should not forget employees. All these are relationships that are about more than financial activity. These people and companies are really more of a partner to you and will have significant impact on you success.

Bottom Line

Yes, I know you want to make a profit. You want to have healthy cash flow. And, you want a sense of personal satisfaction from your business. But, if you are to realize any of these or other goals, you must also consider others who have an interest in the success or failure of your business. That is why it is important not to get carried away with realizing business goals that are to your benefit only; you must consider others when asking the question, “Why are you in business?”

If you want to know more, contact AimCFO – Contact

As always, your comments are welcomed.

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