Get Gains from your Losses

Has something like this ever happened to you? 

Andrew Scott* was my best customer. He was a regular patron, providing at least 25% of the business revenue. All of his orders were paid on time and I never had to worry about a missed payment.

Then one day he emailed me that due to a business slowdown, he had to remove me as a supplier. Suddenly my revenue dropped by a few thousand and I was scrambling to look for ways to cut costs in my own business. 

What happens when disaster strikes in your business?

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The loss of Scott’s business caused me to realize a few things:

  1. I was too dependent on his account to maintain my business expenses. 
  2. I did not have a plan to redistribute expenses in case of a business slowdown. 
  3. I put too much attention on Scott’s account and not enough on nurturing other accounts (existing and searching for new accounts) 
  4. I put my bread and butter on one type of service and was not exploring other products that Scott would want.  

Need help with your business?

Schedule a FREE call with us today!

Has something like this ever happened to you? 

Andrew Scott* was my best customer. He was a regular patron, providing at least 25% of the business revenue. All of his orders were paid on time and I never had to worry about a missed payment.

Then one day he emailed me that due to a business slowdown, he had to remove me as a supplier. Suddenly my revenue dropped by a few thousand and I was scrambling to look for ways to cut costs in my own business. 

What happens when disaster strikes in your business?

yorkshire-3709066_1920.jpg

The loss of Scott’s business caused me to realize a few things:

  1. I was too dependent on his account to maintain my business expenses. 
  2. I did not have a plan to redistribute expenses in case of a business slowdown. 
  3. I put too much attention on Scott’s account and not enough on nurturing other accounts (existing and searching for new accounts) 
  4. I put my bread and butter on one type of service and was not exploring other products that Scott would want.  

When disaster happens it is time to ask yourself WHY. 

  • W: Why has this happened? This is where you make an honest assessment about yourself and all impacted parties. What motivates each person? Does one person have an expectations that the other person is not able to deliver? Do you have a habit of putting too much business into one person or another?
  • H: How can you prevent this from happening again? Do I need to ask my customers regularly if they have changing business needs? Do I need to make sure that I am regularly pursuing new clients monthly rather than quarterly?
  • Y: How can I make a Yield? Examine new and innovate ways to either earn money or cut expenses. You cannot force someone to keep business with you, but loosing an account may allow you to find a new client. Perhaps this is a great time to start a Twitter advertisement campaign on a new service? 

Use all opportunities, good and bad to learn and mature not just your business, but use this experience as a personal growth experience. 

Need help with your business?

Schedule a FREE call with us today!

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