Business Health Checklist

It is July, the beginning of a new financial year. In twelve months, will you look back at what you have achieved and smile as you reflect on the value of your planning? Or will you just shake your head, having not planned at all?

Consider this - if you plan for the coming twelve months you will be better off than most of your competitors, because they don't.

Consider further - what if you don't plan, and they do. Gut wrenching isn't it.

How do you start to plan? Firstly, do a business health check. Find out where you are currently.

Look at your business as if you have never seen it before. Is it the type of business that you would want to venture into? Why would you venture in? What attracts you to it? Ask yourself these questions and more.

To assist you we have developed the following Business Health Checklist. It is by no means exhaustive, however, we believe that it will provide you with a good start to work on finding out what you need to work on.

Business Health Check

Operations

Do you have a business plan?
Are your tools & equipment kept in good order / up to date?
Do you have a systems procedure manual?
Have you protected your intellectual property?
Do you strive to improve your products & services?
Have you ensured there are no customers or suppliers that account for more than 50% of purchases or supply?

Marketing

Do you have a marketing plan?
Do you correspond regularly with all your clients/customers?
Do you analyse your competitors regularly, particularly for pricing?
Do you regularly network and seek other opportunities to meet with prospective clients?
Is your website up-to-date?
Do you measure the results of your marketing programs?

Staffing

Do you have a staffing program?
Do you have the staffing capacity to meet your business needs?
Is there an ongoing training program?
Do staff have the requisite skills and experience to fulfil their duties?
Are staff aware of their responsibilites and do they align with your understanding?
Is the workplace environment conducive to efficient work?

Financial

Do you have a budget?
Do you have access to funding sufficient for at least two months of trading?
Are you meeting tax requirements?
Is your working capital ratio greater then 1?
Do you review your financial performance reports at least monthly?
Do you tightly control your debtor collections and stock?

The above are only a couple of questions that I could think up quickly that broadly covers most businesses - you will know whether they are appropriate for your business or not. However, the question is not whether the above is appropriate, but whether you do review how you work on your business.

Is it worthwhile to do a business health check on your business. And what happens after this step? Well, if you need any further assistance with this, please do not hesitate to contact Beyond Financial Group. We can professionally assist in your business development and/or can provide referrals to other business consultants.