If there’s three things you should be doing in the middle of the year, it’s reflecting, reviewing and remapping your next steps.
In this video, I give you pointers on key numbers in your business that you should know and track closely. In fact these numbers, are always included in the dashboard that I review regularly with my business coaching clients.
These are not only important for measuring your level of success, but they are also critical for helping you align your compass to point towards even greater growth for the rest of the year.
Prefer to read rather than watch and listen? No problem – here’s everything I said in the video as text:
Hi this is Shweta from The London Coaching Group, this is that time of the year when doing this one thing can help you actually have the corrective measure in your business or build on the momentum that you already have.
And that one thing that I am talking about is reflection, reflecting on your business performance through the number lengths.
Now three simple things – three simple things that you can do to analyse your numbers and to see what needs to be done. And I would specifically focus on income statement, also called P and L – Profit of Loss.
So the first thing you need to look at is look at the actuals of the first six months compared to your budget. And the first thing to focus on is the overheads – see what is the deviation, because that’s easy to correct or easy to identify the areas of focus.
The second thing that you need to straight away look at is your GM – Gross Margin. How are your margins looking? They should be looking better, compared to your budgets or pretty much on track.
And the final thing that you’d want to look at is the sales. You understand, and you obviously want the upside on sales to make sure you are doing well. Let me just peel another layer of sales – when you’re analysing your sales, look at two other things. Break it down into your existing customers, or clients/sales. Because you want to make sure there is good amount of retention, and ideally more build-up on that that they are doing more business with you as far as your existing clients are concerned.
So that’s an important distinction to make, rather than lumping the whole sales in one thing. And the second level of analysis you need to do is new business sales. How many new clients did you acquire? What has been the average pound value? It should be healthy. And once you look at these three fundamentals to start off and then peeling the layers of sales further, to make sure you have some very clear input for moving forward – it will help you have more confidence, that your first half of the year has gone well and you’re in control of the next half of the year.
But make sure you do something about it before another year just passes by and you’re left wondering saying, “Where did those twelve months just go?” Because I’m sure you would want to end this year with a high note, and with a good feeling.
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