Any CFO will tell you that business success is not just about the financials. While profitability still plays into the picture, there are other factors to consider as well.
To find out how you can measure your own business success, here are the Top Four Business Success Indicators:
As expected, profit definitely makes the success indicators list. In fact, profitability is probably the first thing people think about when it comes to measuring business success. If your business is consistently making money and your funds are enough to cover all your expenses while leaving some extra money for saving, that is a clear sign that your business is doing well.
A growing customer base is a clear indicator of a successful business. If you can retain your current customers while attracting others, then your operations are well-managed. Constant network growth shows that you are reaching your target market effectively with your marketing and operational strategies. And isn't reaching your target market exactly what doing business is all about?
Remember that client loyalty is a business's best weapon. Do whatever it takes to keep your customer base delighted so that they can continue to help you rake in referrals and positive reviews/feedback. Getting all these indicates that your business offers a great experience for its customers, which is one of the keys to success and growth.
Developing a work environment that drives your team to be more progressive and productive is another key indicator of success. When your business inspires and motivates your team members by rewarding hard work, it will certainly attract the cream of the crop and encourage them to join your team. If your team members see that they are appreciated, they will no doubt make an effort to go the extra mile for your business. Do whatever it takes to ensure that your team is kept satisfied and inspired to grow with the business.
Business Owner Satisfaction
When the business owner himself is satisfied with the business operations, then that is probably the most important measure of business success. Dissatisfaction is contagious; if you find yourself unhappy with your business operations, then that unhappiness is sure to spread amongst your team members, too.
As a leader, you determine the mood of your business. So when you are starting to become dissatisfied, find a solution immediately.