The path to success in business doesn’t usually begin with the phrase, “I’ll cross that bridge when I get to it.” Business is often about anticipation – where can you find more customers, what services should you add, what kind of marketing should you be doing, what equipment needs to be updated and when should you do it?
The forward-thinking that propels contractors into and through business ownership is brought into a right-sized, workable framework when it’s captured in an annual plan. Planning for the year allows you to assess where you are, where you want to be and what you have to do to get there.
The starting point for looking ahead, actually, is a quick look back. As you prepare your plan for this next year, get a clear picture of your numbers from the last year. Break these numbers down month by month. Then determine how much, in this next year, you want to grow those numbers. That’s the process of defining your goal. Then move to the next question: “What do we need to do to grow those numbers?” The answers to that question become your plan and action steps.
As part of the full picture, review your vendors, equipment needs, staffing levels, tax planning and other things that affect your bottom line.
Your annual marketing budget will be central to this annual planning process. Setting your budget allows you to define the media and messaging strategies you’ll use to pursue your objectives. It’s how you can make decisions ahead of time that will give you peace of mind as you go through the seasons of your year. You don’t have to throw money here and there to try to make something happen. You’ve already planned your route, based on good data, and you’re on your way.