Business growth is not a function of luck.
3 elements in play will generate growth despite your levels of luck, hope and prayer.
What are the 3 elements? Listen to this podcast where Pavlo Phitidis unpacks these on The Money Show:
- Mindset
It begins with you as the business owner. Success in a mindset has a few characteristics:
Passion – we believe in what we are doing, we see success, and this passion is fuel that keeps us going through disappointments and ups and downs. But it’s not enough.
You need purpose. And there’s only one purpose that any business owner should adopt: Building the business into an Asset. And an asset has 3 features:
1 – Generates income, and those incomes grow.
2 – Growing the capital value of your business. Some business owners work in their business for 10, 30 or 40 years and invest all of their time only to realise it doesn’t have capital value.
3 – It can operate without me, so that I can sell it when I need to exit.
- A growth system
Without a growth system to organise what we are doing, how do we know how to drive growth one day to the next? We get sucked into the operations of the business, and growth takes a back seat.
The reason is that we aren’t given a method or a system for growth. A system is a series of activities put into a sequence that is measurable. You should be able to use this system to guide your team to do what, when and how.
We have a system that has been proven to drive growth and it relies on:
1 – Positioning. What makes your business special? And product is not enough… it starts with what your customers want and need from you, what problem you solve for them.
2 – System of delivery. Get the systems right for marketing, sales, operations to deliver. As systems are repeatable. So when you’ve gotten that right, you don’t have to be involved in the repetition as your team can implement them.
- Four acts of leadership
One and two – mindset and the growth system, are the acts that get you to the point where your business is growing steadily without your direct involvement. Once you’ve gotten this right and are growing steadily, what next?
Dominate your market! And this takes you to the third stage of leadership, which deliberately focusses on ramping up that growth.
The final act of leadership goes back to purpose.
Every business in the world only has 2 final outcomes: Successful sale or closure. So the fourth act focusses on deepening profits, to increase your valuation, which allows you to exit successfully which secures family’s future and your legacy.
