Successful businesses don’t just focus on generating lots of revenue, they also seek to maximise earnings and make attractive returns to their investors. There are only two steps to maximising profits in a business: increase the revenues and minimising the costs.
Growing revenues is often associated with increasing business activities such as marketing and sales drives. On the other hand, minimising costs is often associated by doing more work by yourself, or scaling-down your business. The concept of maximising earnings by doing less may seem strange and unconventional.
Check out the following 4 steps which can help you maximise your business earnings by doing less.
Operate a lean organisation
Working with a lean team is an excellent move towards maximising your earnings by doing less. You don’t have to hire full-time staff to fulfil every function in your company – this saves you on wages, benefits and payroll taxes. Outsource and maintain a small team within the firm. For instance, outsourcing to an accounting firm in Singapore will help you avoid hiring various levels of financial advisors to help you run the business. Our experienced accountants at Ackenting Group will be assigned to work with you personally to achieve your business’ accounting needs. You can benefit from receiving accurate and meaningful financial information, and keep your financial records in good order.
When you outsource and maintain a lean team, your team will be much more focused. But more than this, the team is more productive and motivated since they can focus on the core functions and key business elements.
Evaluating your resources effectively
Before you evaluate your resources, ask yourself: what do customers value the most from your product or services? Answering this question will also help you to frame what your business should value and your business objectives. For instance, if you are in the hospitality industry, your target customers value memorable guest experiences. On the other hand, if you are in logistics, your customers may value accurate and on-time order delivery.
Align with your objectives
After you have assessed what your customers (and your business) values the most, these outsourced accountants can help evaluate which resources contribute the most to achieving these values that have now become your goals. Working with an accounting services company will help you to understand how resources are aligned to the values and how to align resources strategically. At the same time, they will show you where your resources are not aligning to your values, and how you can adjust.
Realign the organisation to maximising earnings
With a firm grasp on how to make the team lean and how to realign resources towards your objectives, the next step is to take action. Select your core business activities. Next, identify the key people who have the right qualities to take up these activities so as to make up your lean team and align other resources to support these.
Realign other resources to feed processes and operations that promote the business and customers value the most. As you apply these steps in your firm, your business will increase the output by employing fewer resources and in turn, maximise your earnings. And when you outsource to accounting firms in Singapore like Ackenting Group, you get to spend more time on other important day-to-day activities. You will also gain a thorough understanding of your financial statements and take advantage of forecasting tools to get ahead. We are not limited to just affordable accounting services – you can find other professional solutions including audit, GST, secretarial and incorporation services. This allows you to enjoy a suite of services to better meet the unique needs of your business.
If you require any assistance on accounting services, feel free to drop us an email at johnwoo@ag-singapore.com or contact us at +65-66358767. At Ackenting Group, we offer a complimentary 30 minutes online consultation for us to better understand your business requirements.
