All too often, business owners I speak with spend most of their time working in the business rather than on the business. As a business owner, it’s easy to get caught up in the daily grind—working in your business rather than on it. But have you ever stopped to consider the opportunity costs of this approach? How much potential growth are you leaving on the table by handling tasks you could easily delegate?
The Problem: Are You Spending or Investing Your Time?
The challenge many business owners face is the constant pull of urgent daily tasks. You might think you’re doing well, but when you break down your income into an hourly rate, are you earning what you’re worth? Often, business owners find that they’re making less per hour than their highest-paid employees.
Take the example of a commercial cleaning business owner who spent his time cleaning instead of growing his business. When asked how much it would cost to hire someone to do the cleaning, he estimated about £600 per week. However, when asked how much additional business he could generate by using that time to find new clients, he estimated an extra £5,000 per week. The numbers speak for themselves—he was missing out on significant growth by not investing his time wisely.
The Solution: Shift Your Focus to High-Value Activities
Just imagine the relief of freeing yourself from mundane tasks and focusing on activities that drive revenue. Tasks like following up on leads, developing new marketing strategies, or building relationships with key partners. These are the activities that will genuinely move the needle in your business.
How much of your time is spent on work that could be done by someone else—perhaps a junior employee, a casual worker, or even a semi-retired person? What if you could delegate these tasks and use that time to generate more business? The opportunity costs of doing it all yourself can be staggering.
The Opportunity: What’s Your Time Really Worth?
It’s time to evaluate the value of your time. How much more business could you generate if you focused on sales and marketing rather than day-to-day operations? What would it mean for your business if you could follow up on every inquiry, nurture customer relationships, and develop strategies for growth? The potential for growth and profitability is immense.
The bottom line is that successful business owners spend their time on what’s important—not just what’s urgent. They focus on maximising profit rather than getting bogged down by the daily grind. You can significantly increase your sales closing ratios and grow your business by prioritising what’s important.
The Plan: Start Working On Your Business
To truly succeed, you need to view your business as an investment. Take the time to analyse your performance, plan for the future, and seek assistance. Hiring professional advisors, such as accountants and bookkeepers, can save you time and money, allowing you to focus on growing your business.
Challenge yourself to step back and look at the bigger picture. Consider the return on investment for your time and ensure that your hourly earnings exceed those of your top employees. Review the past year, make necessary adjustments, and plan for the future with a clear focus on maximising your potential.
Conclusion: Your Business Is Your Investment—Maximise It
Remember, the time you spend working on your business is far more valuable than the time you spend working in it. By focusing on high-value activities and delegating the rest, you can maximise your sales closing ratios, increase your profitability, and ultimately achieve the success you deserve.
