4 Questions for Business Clarity

What do you really want from your business?

To feed your family?
Leave a legacy?
Start an empire?
Work less?

According to Bloomberg, eight of our 10 businesses fail within the first 18 months. In retail, there’s a 53 percent failure rate in 4 years. For restaurants the failure rate is even more unforgiving.

So whether you’re in the middle of writing your very first businesses plan or celebrating your 20th business anniversary, take a step back to get crystal clear. Because clarity is the power play. It provides the framework for decision making. It takes the stress out of your daily operations. In short, clarity = confidence.

Start your journey to clarity by answering these four questions. Jot the answers on a sticky pad and keep it where you can see the answers daily.

1.   What makes your business unique, different or special?

I was watching Fleabag on Amazon Video and heard a phrase that resonated with me. The main character was describing her old boyfriend as a person of insidious, overwhelming mediocrity. It made me laugh but it really hit home because so many of the businesses I visit are at best, boring. And boring is a one-way ticket to bankruptcy these days.

If there are stores or restaurants similar to yours in the immediate area, how can you possibly differentiate yourself to potential customers? Do you see the same clothes as a boutique down the street? Are you serving the same burgers as five other restaurants in your area? Can a customer get your products cheaper online or at Costco?

Whether it’s your product selection, level of service, pricing or delivery channel, how do you differentiate your store or restaurant from the rest of the pack?

2   Who is your target audience? Be very specific.

A successful concept starts by filling a need or void for a very specific targeted audience. To put it another way, it’s not about what you want, it’s about the customer you serve. And the wider the net you cast, the more generic your concept and the bigger the opportunity for failure.

A concept looks something like this: My business solves (this problem) for (these people) by (doing this).
By completing this concept statement, you should be able to better define your target audience.

3. What is the life you’d like to lead as a business owner?

I love this question because it’s not one we often take the time to ask ourselves.  I know for a fact the most retailers are definitely not living the life they want. They feel tired, unappreciated and underpaid – and often scared. It really isn’t good for the soul or the wallet!

So what does a better life look like? Working less? Expansion? Saving for retirement? Flexible hours and duties? What do you want?

4.  What do you need to know more about to make that life happen?

This is a biggie and I’ll tell you why. So many owners I work with seem to put a hard stop on learning once they’re up and running. They open the doors of their store but shut them on learning new things.  You have to keep up with new ideas, methods, opportunities. New competition. New technology.  The world is turning fast and you need to, at minimum, stay with flow, get ahead of it or find your own detour that works. Digging your heels in the sands of the past will find you with an unfavorable balance sheet very quickly.

It you’d like a copy of the 4 Questions for Business Clarity Worksheet, click here.