How to Decide If Something Is Worth The Business Investment
There are new tools for a business owner coming on the market every day. For small business owners, it can be overwhelming. You need to implement tools and systems that will help you compete in your market and stay afloat financially. But new business owners don’t always have a lot of money to invest in the latest systems or to pay annual subscription fees.
How can you tell what you really need and what’s just fluff? Ask yourself these two questions to decide if something is worth the business investment.
Will This Help Me Generate Money?
As a small business owner, it all comes down to money. Are you generating enough to keep your business running and to support your lifestyle? If you’re not, all you have is an expensive hobby.
So when it comes a new business investment, you have to ask if this will result in you making more money.
A good example of this is paying for a advertisements. Ads on any platform can get your company in front of new and existing customers, can build brand loyalty, and can bring you new business.
What might not be a worthy business investment? It could be a $600 ticket to a conference that’s not directly in your niche. You don’t need to go to a big conference that you see splashed all over social media if it’s not the conference that your clients will be at.
Will This Help Me Build a Smarter Business?
Notice that I said a smarter business, not a bigger one. Growth for growth’s sake is not a real goal. Growing a smart business that has room to scale up and has systems to support it is a real goal.
There are headlines after headlines that flaunt the growth of a company. But when it comes to something your are DIY-ing, you need to make sure that you’re building a smart business that will take care of itself.
A good example of this is investing in an invoicing system or an email marketing system. Invoices are a part of getting paid and being able to automate that is a step towards a smarter business. Emails are a great way to turn readers into clients, so investing time into figuring out how to build a loyal list is worth it.
Someone once gave me some business advice. They said ‘do as much as you can, with as little as you can, for as long as you can.’ I agree- throwing your money away after fads or built on someone else’s model won’t help your business. Focus on what you need to generate your money and to grow a strong and smart business, and leave the rest behind.