Money Matters
Growth Abounds In All Shapes & Sizes
What Financial Institutions Have Learned From Their Business-owning Clients
By Kyle Lum
Working with business owners from all industries, in all stages of business…from start-up to growth to transfer, I’ve learned, first and foremost, regardless of the company, there are things that every business should have in place to help ensure it has the best shot at longevity, growth, profit and security.
Consider the following as you look at your business holistically and plan for its future:
Have a thoughtful, well-written plan (and stick to it)
Rather than getting caught up in the daily operations of your business, set clear, realistic goals and objectives. Consider strategies that address the long-term plans of your business and how you plan to retire.
Create a business advisory council
Pull together a board of directors comprising business owners in similarly sized companies— who are facing similar issues—that includes your CPA, attorney and your financial professional. Owners can use this council as a sounding board, and to realize opportunities within their businesses that they may not have been able to see themselves. Conversely, participate on other companies’ advisory councils.
Know your core customers…and delight them
Understand your customers. Segment them, and know where profitable business comes from. Make the extra effort to know how you can keep and grow your base of recurring customers.
Define and communicate your company’s value
What does your company do that no other company is doing? How is your service better than others? Why should customers seek out your company instead of your competition? Evaluate competitors for how they may have changed their approach or exited the business. Develop a unique message that articulates your unique value proposition.
Hire better, and offer good benefits
Find and hire strong talent, and offer voluntary benefits as a way to help retain and attract quality employees. Voluntary benefits are those that you, as owner, offer to employees at a typically lower cost than they could obtain themselves. Voluntary benefits can be offered to employees at no cost to the business.
Develop an exit strategy and a succession plan…for yourself
Are you approaching retirement and intending to sell your business for retirement income? An experienced financial professional can help you put a succession plan in place.
Find a financial professional with experience in serving small businesses
Work with an experienced, local financial professional, who is trained to meet business-owner needs; someone you can trust with your business and personal aspirations, and someone who will help you create plans for reaching your short- and long-term goals.
Your customers and employees depend on your business, but your business depends on you. In challenging times—or anytime, really—an experienced local financial professional can help you and your business interests.
Kyle Lum is a financial representative with MassMutual Nevada, a MassMutual Agency, and contributes to Vegas Legal courtesy of Massachusetts Mutual Life Insurance Company (MassMutual). Local sales agencies are not subsidiaries of MassMutual or its affiliated companies. © 2014 Massachusetts Mutual Life Insurance Company, Springfield, MA 01111-0001. All rights reserved. www.massmutual.com CRN201609-186175
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