3 Aspect of Business Where a Business Mentor Can Benefit Your Business

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3 Aspect of Business Where a Business Mentor Can
Benefit Your Business
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• A business mentor is someone with years and more
  likely, decades of experience in business for
  themselves. They have been through the school of
  hard knocks growing their own businesses and
  advising business owners on how to navigate
  through the maze that can often be experienced in
  growing a business.
• A business mentor is different to a business
  coach due to their depth of experience in
  business. Often business coaches havent owned a
  business at all, or have only owned the one
  business so their experience is not deep and
  comprehensive.
• Business mentors can have various different skill
  sets and experience on different topics related
  to business and not all mentors will have the
  same experience or ability to advise business
  owners on all topics related to business
  management and growth.

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• The 5 Aspects a Business Mentor Can Benefit Your
  Business include
• Employees
• Hiring and managing employees is a people skill
  and its an aspect of business thats very
  important to have skills in.  
• Due to the majority of business owners being an
  employee before going into business for
  themselves, their experience with people from a
  hiring and managing point of view can be limited.
  This is where a business mentor can assist. 
• Skills that a business mentor can assist you in
  are with identifying the best candidates in
  interviews. Often the most experienced people are
  not the best employees. Their work ethic, level
  of integrity that Warren Buffet states is the
  most important trait to choose potential
  employees on, and initiative are important traits
  to look for in employee candidate interviews. It
  can be difficult to identify them all without a
  lot of experience.

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• Understanding financials
• Financials is a big topic to understand as a
  business owner and one that few business owners
  do understand anywhere near the level they need
  to. Its often something they want to delegate to
  their accountant or bookkeeper however, its not
  their business so their interest will be nowhere
  near as strong as your own in seeing the business
  healthy and profitable.
• Financials dont require years of study to
  understand and not even many months, with a good
  business mentor.
• One simple aspect of financials includes
  selection of the Chart of Accounts categories so
  that is clearly reflects what is a Cost of Sale
  and necessary as a direct cost in obtaining
  sales. In a service business that would include
  the technical staff being shown as a Cost of Sale
  as their time is whats being sold so it is a
  direct cost and necessary cost of obtaining sales.

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• Another important aspect where a business mentor
  can assist is identifying the prices to sell
  products and/or services at, based on gross
  margins, with employee labour considered a Cost
  of Sale. To identify sales prices the mentor
  would need to look at the overheads of the
  business, the operating profit currently and the
  sale price.
• The aim is to sell at a price where the gross
  margin is high enough to cover the overheads (as
  a percentage of revenue) to achieve a desired or
  minimum operating profit margin.
• A good business mentor with a lot of experience
  with financials and especially ratios can help to
  identify the target operating profit margin based
  on the sale price. This is one of the most
  important aspects of business to get right and
  understand.

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• Systems
• As a business grows it will become more dependent
  on systems. Systems are needed to induce
  employees into a business, to get them up to
  speed and fully productive in their role as soon
  as possible.
• Systems can be in the form of processes, policies
  and procedures and a good mentor with experience
  with systems will understand how far to take the
  systems in the business, depending on the long
  term goals of the owner. In a business where the
  systems will support interstate or even
  international growth they will need to be far
  more comprehensive than a business that may max
  out at thirty employees over ten years.
• Systems support the smooth operation and growth
  of a business. They define the function of roles
  within the business. They also provide a key
  ingredient of the structure necessary to grow a
  business and for it to be efficient as it grows.

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• The other key ingredient that complements systems
  is KPIs.
• KPIs are mechanisms that keep employees
  accountable to a performance standard and for the
  employee to see their contribution to the overall
  business from their roles perspective. The KPIs
  effectively glue an employee to their role and
  use of systems associated with their role.
• A business mentor can assist with simple but very
  important systems such as job descriptions and
  KPIs association with positions.
• There are many more aspects of a business that an
  experienced business mentor can assist you to
  grow your business.
• If youre considering growing your business
  faster, or to improve its profitability or to set
  it up ready for a general manager or CEO to take
  over management and growth of the business, for
  these and many more reasons a business mentor is
  a worthwhile consideration to take the trial and
  error out of growing your business. Its why
  business mentoring is a fast growing industry.

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TIM STOKES
Business mentor Sydney Business mentor
Brisbane Profit Trans4mations Phone 1300 7
STEPS (1300 778 377) Phone [phone]
0477 https//www.profittrans4mations.com.au