Small Business Week: Understanding Your Strengths
With Small Business Week underway, it seems fitting to take a step back and a deeper look at how you and your business are faring. Are you wearing too many hats? Or are you playing to your strengths? Oftentimes business owners try to head up too many areas of the business and end up falling short. For example, our Managing Director Josh knows how to brew beer. So if he went into a brewery he could brew beer on their system. However, the results he gets likely won’t be great since he isn’t a brewer by trade. He might get something that looks like beer, but it won’t be of the same quality and in fact, might end up being pretty terrible in the end.
The same goes for business owners doing tasks they aren’t trained to do or aren’t their area of strength. When considering your strengths and deciding if you should outsource a task, take a look at what the task costs you, both in dollars and time. You may think you are saving your business money by doing the task yourself. However, if you don’t know what you’re doing and you’re not playing to your strengths, you could end up making mistakes that cost you money such as increased taxes, penalties, or the cost to clean up the mistake.
Consider the cost of time as well. As a business owner your time is best spent in moving your business forward. And while it may make sense when your business is first starting out to handle all of the tasks yourself, at some point it no longer does. You should also give thought as to whether the task would be better outsourced or handled internally by hiring another team member. By hiring internally you may be able to have more control over the task, especially if you handle the training process. However, then the issue of time comes back into play, as you will spend more time managing the employee compared to if you were to outsource the work to a professional.
To get you started, the key areas in your business to consider outsourcing include: bookkeeping, marketing or graphic design, and human resources. By outsourcing a bookkeeper, for example, you will not only have clean financial records, but you will also be able to use those financials to make better decisions for your business in order to reach your short and long-term business goals. If you are having trouble identifying your strengths or which areas of your business you should outsource, we can help!