business planning
Valuation: What is it? & Why is it Important?
By Tom Cramer
Sports serve as a frequent metaphor for business, and that concept is particularly relevant in one key aspect. In the final analysis, it is all about the points on the board. It is not about trying or effort or intention, it is about the balance sheet and the valuation your business will support. These are the concrete metrics that reflect the end results of all your efforts as a founder and as a manager. Providing a Baseline Most business owners and managers understand what a balance sheet is from a technical, accounting perspective. …
The Insidious Tax: Inflation and Your Business
By Tom Cramer
Retention. Quality Control. Unique Positioning. There are certain words and concepts that must be part of the vocabulary and understanding of any SME executive. Some of these reflect constant concerns and priorities. Other business basics are constant but are also part of the business cycle that creates periodic, cyclical opportunities for crisis management. The Insidious Nature of Inflation The impact and role of inflation are factors that must always be included in planning and occasionally call for intense management focus. On June 10, 2022, the Fed reported a level of inflation unknown …
Incorporating the Porter Five Model in Your Business Planning
By: Tom Cramer
For our third discussion on the topic of competition, we will turn to a relatively modern construct. The Porter Five Forces Framework was first published by Michael Porter in the Harvard Business Review in 1979. It has since gained the position of one of the most respected methods for evaluating the operating and competitive environment for many companies at the industry level. While it has its later detractors and amplifiers, as with any business concept, it is most useful for what Porter calls the line-of-business level of operations. …
Developing Your Product-Service Matrix
By Tom Cramer
In our first discussion of competition, we focused on understanding that competition is a reality that comes in many forms. It is vital that you take the time to understand where your company is most vulnerable to those threats to your success. Our third item in this topic, Incorporating the Porter Five Model in Your Business Planning, provides a more strategic review of those many sources of competitive forces. We drill down here on the more traditional issue of competition. That involves looking at who is …
Who Is Your Competition?
By Tom Cramer
Ask any experienced investor or any venture capitalist. The fastest way for a founder to lose their interest – and their investment – is to state they have no competition. In fact, anyone foolish enough to have such an attitude does not deserve their interest. Competition is a fact of life, and arrogance does not eliminate it. It simply makes it more deadly. Thus, this month’s focus is on your efforts to understand your own competitive environment. In our accompanying articles we first look at the process of …
Is Lack of Accountability Standing In Your Way?
When it comes to propelling your business forward, having a plan is only part of the battle. What ultimately determines the success of even the most well-thought-out plans and what will drive growth is rooted in how well you execute. And, when it comes to juggling all of the professional responsibilities of being the leader of your organization, executing to your highest potential can quickly wane. This where the power of accountability comes into play and can be a powerful tool to help you achieve your goals and implement strategic plans to take …
