Planning for Success

Identifying Your Areas of Difficulty: The Formula For Change

Change. As humans we are not designed to love and embrace change, in fact, we downright loathe it!

The Smithsonian Magazine states we are hardwired to resist change, as your body tries to protect you with fight or flight mode. That part of the brain – the amygdala – interprets change as a threat and then releases the hormones for fight or flight.

“It is a fundamental, deeply wired reaction, evolved over the history of biology, to protect organisms against perceived threat to their integrity or existence.” (Source: Arash Javanbakht and Linda Saab, The Conversation)

It’s been ingrained in our human psyche for so many millions of years that you’d be forgiven for thinking you just couldn’t change the way you react to, well, change.

But you can.

And in this blog, we will show you a formula for change in your business.

Planning for change – and then making it!

As a business owner, much of the time you do everything yourself. But there comes a time when overwhelm and stress will take over and it will become too much for you.

And that’s when you need to look at your key strengths and also the areas you need help in improving.

And one of the big changes you will need to make is letting go of the activities that are not your specific forte and leaving those tasks to the professionals – for example, your bookkeeping and accounting.

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As a business owner your number one aim is to keep it simple and let the experts work on your numbers, while you spend your time on the things you are good at.

How to identify your areas of difficulty in business

Identifying your areas of difficulty can sometimes be as simple as asking yourself: Does this task take me a long time to complete? Do I understand how to do it 100 percent? Do I enjoy it?

If a task takes a long time, you don’t understand how to do it and spend a lot of time “googling” or you really don’t like doing it – then it’s time to hand it off to an expert.

Even if you enjoy a task but your time could be better spent in an area of your business that gets leads and new clients, you may decide to reconsider who does this task for you and whether you realistically have the time to do it yourself.

Why outsourcing can save you time, money and energy

The major reason businesses outsource is to save time and money – and frankly, to their energy in other areas.

When you decide to outsource, technically you convert a fixed labour cost into flexible cost, meaning you don’t hire someone full-time or even part-time, but on an as-needed basis and rate, then you only pay for the services you actually use. This gives you cashflow and business flexibility, especially if you have cyclical or seasonal tasks. Or tasks that really don’t require many hours of work per week or month.

There are also “opportunity costs” when it comes to outsourcing, for example, when you invest in an area of your business such as bookkeeping, it frees up your time to create new opportunities to grow your business.

What is the formula for change?

While there is often a resistance to change, there is also a formula for making change, and it’s simple.

(D x V) + f > R

Dissatisfaction (D) with the status quo together with the vision (V) of a positive future state, plus taking the first steps (f) in the right direction towards your vision will decrease your resistance (R) to change.

This concept was first created by David Gleicher in the 1960s and then redefined and popularised by Kathleen Dannemiller.

If you are the visionary of your business, it’s time to open up and accept that you can’t run your entire business (or even some parts of it) by yourself, especially leading up to Christmas. It’s time to get smarter about what you do, and that’s where this formula for change can help.

Outsourcing may seem like a costly exercise, but if it saves you time and money and you get to spend that time with your family, doing things you love and value, or even working on your business, then these are your “opportunity costs”, and they will be worth it.

Side note: Understanding why you can’t do everything on your own

Fact: You can’t do everything in your business, even if you want to. It’s not smart business practice. To move in the right direction in the future, it comes down to whether or not you are willing to make the changes needed.  Your attitude and ability to react and adapt to situations and change is key, but oftentimes you won’t be able to go it alone.

If you are ready to stop letting your business hold you back, identify how you will move forward, and get help where you need it, it’s time to seek out a coach or mentor to help you break through the Ceiling of Complexity.

There will always be ceilings in your business that hold you back, it’s your job to break through those ceilings to get to the next level, and a coach can help you get you there. To breakthrough in your business, contact Vibrant Business about our coaching packages.

Get your business sorted for 2022 with your own formula for change?

With Christmas the New Year just around the corner, now is the ideal time to get clear on the direction you want to take in your business in 2022.

At Vibrant Business, we are proactive accountants, we don’t just look backwards but look to the future and strategise how to move your business forward. As a Vibrant Business client, you won’t just get a tax return with a bill. We want to make sure you understand your numbers, your tax commitments and opportunities for improvement.

Our current clients also get access to our annual Complimentary Client Review – it’s a Business Impact Session to help you maximise your business growth and minimise your tax.

To find out more about how we can make your business more vibrant, book a Proactive Accounting Meeting here and let’s get started.

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