Eight out of 10 small businesses will fail within five years of starting.
Yet, in the last five years, small businesses generated more than 16 million new jobs, while Fortune 500 hundred companies eliminated over 2 million jobs in the US.
Every statistic you hear on small businesses reinforces how critical we are to our communities. We are the growth and employment engines in our economies. And yet, we are failing at an astounding rate. Why? And how do we fix this trend?
These are the facts shared during Clate Mask’s keynote address at Infusionsoft’s ICON event in Phoenix. This event is solely focused on small businesses and creating ways to increase the success of small businesses.
So how do you make sure you don’t become part of this statistic? The answer may come from some of Infusionsoft’s most successful customers. In watching these companies present their exceptional results, there were a few things that were consistent with each company.
First, each had owners that were passionate about their business. Regardless of the business type, it is obvious that the most successful businesses have owners that believe in what they are doing and are passionate about their purpose. This passion comes through in watching them talk about their businesses. It comes through in the energy and vigor that they invest in their businesses. In my experience, this is the number one factor in determining if a business will be successful. Passion is a requirement, but it is not the only factor in predicting business success.
Second, each realized that there was a better way to market their business. One gentleman talked about how he used to market his business by going door to door. He thought this was working just fine until he interrupted someone during dinner and actually got punched. That was his wakeup call.
Today, there are tools that allow you to segment your prospects into groups, which provide you the opportunity to market to each segment based on their needs. For example, if you have a potential client who is female and is looking for a fitness program to get in better shape for her upcoming wedding, you will want to market to that person differently than you would an MMA fighter. It is critical to understand the different needs of your prospects and provide them marketing communication that is appropriate for them.
Third, each implemented technologies that automated their key process for acquiring customers and running their business. The days of walking door to door are over. The days of collecting paper checks are a thing of the past. Your time is too valuable. If you expect to grow your business, you must automate the key processes that you repeat on a regular basis.
The equation for the success of a small business is not that complicated. The need to execute is critical for success. Be passionate about your business. Market to your prospects with the information that is valuable to each individual. Lastly, automate the repeatable processes in your business so you can grow your business, and spend more time with family.
Get insight into what top fitness studios around the world are doing to build financially thriving businesses in our Boutique Fitness Benchmark Report. Download your free copy today!