Three Main Objectives For a Small Business Consultant In Helping Their Clients

The other day, someone asked me to help them solve a business problem having to do cash flow. Personally, and I've been doing this for a while, consulting that is, I've always noted that whenever a small business person or corporate executive needs help, it's always about cash flow. Many entrepreneurs are really good at selling, marketing, and getting business, they often aren't very good at getting paid, or controlling their expenses.

Accountants and MBAs are generally really good at managing and controlling costs, but they usually aren't so good at the creative marketing level to get the business. You've got be good of both to win in business. So, with that said I would submit to you that there are three main objectives for a small business consultant when helping a client, they are;

1. Increase Revenue
2. Lower Costs
3. Work on Efficiencies and Synergies

The easiest way to handle a cash flow situation is to have more cash. If you have a bucket of water and you are worried about the amount of water in the bucket leaking out, it's easier to add more water often than patching the leak. That doesn't mean you don't have to watch your costs, you absolutely do, and therefore you need to find ways to lower your cost. Every time you save a dollar, you are making a dollar. Often in a business you have to make three dollars so you can keep one, so you need to work on the outflow as much as the inflow.

Next, you have to work on efficiencies and synergies, ways to make your business run efficiently, so your workers are highly productive, and your operations aren't wasteful. That's not so easy, yes, a good MBA could probably figure it out, but often also takes a little creativity. This is why I suggest if you are a consultant to look closely at the numbers, the marketing and sales, and the collection on receivables.

Is the small business owner paying out the money as fast or faster than it's coming in? If so, that needs fixing, and that often starts with an attitude adjustment, and remember, you can't help someone who won't help themselves. Providing the entrepreneur is willing to go the distance, you need to work on those three items if they ever hope to attain the level of business success that they had hoped for when they started. Best of all, once they do, there's no telling how far they can climb. Please consider all this and think on it.

Lance Winslow has launched a new provocative series of eBooks on Consulting Topics. Lance Winslow is a retired Founder of a Nationwide Franchise Chain, and now runs the Online Think Tank;