By Frumi Barr
Are You Ready to Grow? If So, Just Don't Grow Broke!https://c-suitenetwork.com/advisors/wp-content/themes/csadvisore/images/empty/thumbnail.jpg 150 150 Frumi Rachel Barr Frumi Rachel Barr https://secure.gravatar.com/avatar/7a2407752a400f54696416652a1981e6?s=96&d=mm&r=g
Leaders talk about growing revenue in almost every Team meeting. Pressure is often high for the sales manager and his or her team to perform and always be closing to bring home the bacon. Are they focusing on the right conversation?
Here’s a secret you may have wished somebody told you – if you grow too fast, without having the cash resources, you’re going to need money from someone or somewhere. You’ll spend your time as a leader chasing funding rather than focusing on running your business, building your infrastructure, executing on your strategy and most importantly aligning your Team.
Growth for growth’s sake can be a death knoll for some companies. What is your profitability? Why waste time and energy seeking big numbers to have a miniscule profit margin? Make the right decisions – review your business model, look at your cash conversion cycle and stay on top of your metrics. Too many CEOs think that a financial report is the way to appease their banker. No! It’s the way to manage your company. The numbers reveal your cash flow story.
So what’s the alternative to pursuing revenue? Create a killer strategy and trigger points to know what action to take at those inflection points. These actions might focus on adding “A” level talent to your executive or management team or buying new equipment. This is deliberate, and intentional. There is no need to fly by the seat of your pants. Focus on making the right decisions at the right time.