10 Mistakes That Reduce Profitability by: Dr. Rachna D. Jain

In my professional experience as a sales and marketing coach/consultant, I've had the opportunity to work with a number of small business owners on various issues related to sales and marketing. The owners who are struggling to keep their businesses afloat tend to engage in some, or all, of the following mistakes that reduce profitability.

Mistake #1: They fail to market or market inconsistently. Once you have committed to owning and running a business you must be equally committed to marketing and selling the products and services of that business. It is difficult, if not impossible, to stay and remain profitable without a commitment to ongoing concerted marketing.

Solution: Market all the time, every time.

Mistake #2: They hesitate to "ask for the sale". Rather than seeming pushy or obnoxious they let profit-producing opportunities pass them by. They worry more about what someone thinks of them than they do about bringing more money into their business. If you find it difficult to "ask for the sale", you can be sure that you're not bringing in as much money as you could be.

Solution: Practice asking for the sale.

Mistake #3: They don't ask for help or assistance in the aspects of the business where they most need it. Most business owners possess

strengths in a particular area but whether by necessity or ignorance they often end up working in areas that aren't part of their strengths. When business is not going as it should they delay or procrastinate in asking for help. Each day that goes by with your business running at less than maximum efficiency means dollars lost from your pocket.

Solution: Get expert advice from an attorney, accountant, or other service professional before you really need it.

Mistake #4: They don't follow up with past customers. It is usually much easier to reactivate a former customer than it is to attract a new one. If you are not following up with past customers on a regular basis you are reducing your profitability potential.

Solution: Develop and implement a regular method for customer follow up.

Mistake #5: They don't take regular stock of their expenses. Savvy business