Lacking the financial resources of bigger enterprises, it is common knowledge that small business owners often struggle to scale their products or services, especially in the first few years of operation. What these entrepreneurs may not know, however, are the multitude of strategies that can help them boost profits, grow their audience, and achieve long-term success without sacrificing their financial stability.
On this episode of The Small Business Show, host Jim Fitzpatrick is joined by Jay Abraham, executive coach, author, and founder and CEO of The Abraham Group, to discuss his recommendations for small business owners. Abraham is among the most sought-after marketing experts in the U.S., with frequent appearances in top magazines, often alongside renowned self-help guru Tony Robbins. In his latest book, “Business Wealth Without Risk: How to Create a Lifetime of Income & Wealth Every 3 to 5 Years,” he discusses key strategies for scaling an enterprise without the need for debt or unnecessary risk.
1. Small business owners should look for ways to scale their enterprises without taking on burdensome investments or substantial risk.
2. Several strategies exist to grow a business in terms of size and profit without spending any money. First, entrepreneurs can enhance the utility of their products, increasing both the number of consumers and the number of items they may be inclined to buy. Second, small business owners can penetrate new markets by launching new products, acquiring new assets, and optimizing their profitability. Third, businesses can adopt a multi-faceted approach to growth, leaving no stone unturned in their attempt to scale. Fourth, small businesses can expand by positioning themselves as the ultimate provider of the service or product they sell.
3. Obtaining assets and optimizing financial performance are two of the most profitable ways of growing a small business without adding risk. Many enterprises and products, despite having the elements needed to succeed, underperform, making them prime targets for acquisitions. If purchased by a business leader capable of reversing course, these companies can become vital assets to their new parent company.
4. By capitalizing on the potential of underutilized assets and relying on marketing tactics that require zero investment, entrepreneurs can grow their businesses without taking on additional risk. In other words, the more problems an organization can solve and the more effective they are at solving them, the more successful it will be.
5. Apart from strategy, small business owners can learn a multitude of personal skills to improve profitability and mitigate risk. Communication is one of the most important entrepreneurial skills to practice, as it is vital to building relationships and improving trust between clients, employees, and partners.
"It's about falling in love, not with your business or your industry or your product or service, but falling in love with the people you serve and being able to see your product or service, when deployed in their life, making a difference." — Jay Abraham