How far do you push yourself in business?

[Tigris]

Hi guys,

I have a relatively new IT support business which seems to be growing year after year.

Recently i've had a few larger clients come to me but working on my own I don't want to over promise myself. I have accepted one as I feel I understand there system and know the guys in the company (just don't want to accept too many larger companies, a lot of my work was mainly domestic). Some of these potential clients have 15 computers with servers etc where as if I was to accept this I feel I would be overwhelmed and it would pull me away from other clients. Some of these clients are using certain things i'm not familiar with (one being in the medical profession), I could work it out but it's the time and the fact it would be pulling me away from other work.

I know a lot of companies prefer the larger jobs instead of running around after the smaller ones.

Would you say you can't really support them or say you would give it your best shot if it doesn't workout then maybe look for another IT support company? I did have one when I had only been going 6 months and had to say "you need more of an IT team rather than a single man IT company".

 

[fisicx]

I match my income to my expenditure and if the former is larger than the latter I just stop.

I used to chase the money but soon realised it gained me nothing except a larger bank balance and lots of stress.

So I learned to say no. It’s very empowering.

 

[Shopclicks]

Some people want to scale their business, some don't. It will always be what you're comfortable with.

You could look at outsourcing work for either your current clients or your new clients if you want to grow. That's the default for most newish one person businesses if you're not in a position to recruit staff.

Entrepreneurs don't build businesses, they build organisations. Organisations build businesses.

 

[Mark James]

This is purely one only for yourself to answer.

If you want all the trappings that comes with money then grow but accept a possible stressful life. Some people including myself enjoy stress. Remember pressure makes diamonds.

If you want to just cover your outgoings with a bit on top for ice creams but with a free mind then shuffle along as is.

Assess your personality and how you feel when your in any stressful situation ie can’t concentrate, bad mood, tight chest, can’t sleep etc and if that’s you and you don’t like it then stay as you are. Personally I feel the above if life is too comfortable so I look for it.

Mad - Possibly, but don’t tell my Therapist.

 

[Tigris]

This is purely one only for yourself to answer.

If you want all the trappings that comes with money then grow but accept a possible stressful life. Some people including myself enjoy stress. Remember pressure makes diamonds.

If you want to just cover your outgoings with a bit on top for ice creams but with a free mind then shuffle along as is.

Assess your personality and how you feel when your in any stressful situation ie can’t concentrate, bad mood, tight chest, can’t sleep etc and if that’s you and you don’t like it then stay as you are. Personally I feel the above if life is too comfortable so I look for it.

Mad - Possibly, but don’t tell my Therapist.

Its a tough one isn't it.

When I started the business I was working part time for a large company to make sure money was coming in (When I left my career to start my own business). I actually got diagnosed with a stress related condition which eased once I packed it in and concentrated on my business. I was starting work 6am some mornings (up at 4:30am) then running my business outside of this. It was shift work so some days you started later but finished at 11PM including weekends.I felt the pressure to run around so I could finish then reply to my business missed calls/emails etc.

Sadly lost a relative last year so I also have a rental property to look after (not currently let but working on that as well).

Think I may let this one go as I have just taken on some businesses last week also. I think someone has packed it in so i'm getting a few of there clients.

I know in my line of work now printer support, phone support etc is often outsourced but working on my own I usually say my cut off is 5 workstations per business.

 

[Mark T Jones]

I think the key thing here is to be really honest with yourself about whether your goal is to give yourself a job or to grow a business. Many people - including me in a past life - get lured into the trap of believing that you have to 'grow a business' to be successful. Your business/job, your version of success.

I'm now resolutely in the job camp; and am very prescriptive about what I do & who I work with.

- Business owners (not 'someone in accounts')
- Premised based
- Clear plan & purpose.
- Likely ongoing requirements.

Being my rules I'm free to break them - sometimes in a whimsical way.

Usually the outcome is to remind me why I decided on those rules.

 

[Tigris]

I think the key thing here is to be really honest with yourself about whether your goal is to give yourself a job or to grow a business. Many people - including me in a past life - get lured into the trap of believing that you have to 'grow a business' to be successful. Your business/job, your version of success.

I'm now resolutely in the job camp; and am very prescriptive about what I do & who I work with.

- Business owners (not 'someone in accounts')
- Premised based
- Clear plan & purpose.
- Likely ongoing requirements.

Being my rules I'm free to break them - sometimes in a whimsical way.

Usually the outcome is to remind me why I decided on those rules.

To start with a lot of my work was mainly domestic stuff with a couple of businesses.

I've now took on a few more smaller businesses (within a short space of time) but don't want to take on too many new business and get snowed under for example and therefore can't deliver the service either.

 

[Lucan Unlordly]

To start with a lot of my work was mainly domestic stuff with a couple of businesses.

I've now took on a few more smaller businesses (within a short space of time) but don't want to take on too many new business and get snowed under for example and therefore can't deliver the service either.

If not for the current opportunities I'd start looking for ways to spread your workload using freelancers, homeworkers etc.,
It's not a regret, but had I included some growth outside of just wanting to work for myself in my original business plan I'd have got where I am a whole lot faster.

 

[Mark James]

The secret is to build but not be too involved.

 

[Ozzy]

This is purely one only for yourself to answer.

I completely agree with Mark here, and there is no right and equally no wrong answer.
I'm also someone who enjoys the stress, and I get bored very easily. I've built a business a couple of times that had a team who handled everything to the point I was surpluses to requirements, and I got bored quickly because there was no urgency and anxiety of problems to fix.
Equally, I have also ended up in hospital once where thought I was having a heart attack but it wasn't my time yet so I carried on .

My mindset is changing a little now though as this year I turn fifty so I am questioning whether I should rethink my love of the rat race and instead spend more time observing and guiding others who are in the race, and less time in the race myself.

 

[Mark James]

Not going to happen Oz, lol your one of us - I tried that at 50 and bought golf clubs and a boat - now 55 and buzzing every night looking forward to the next days comings and going’s.

I’ve worked out that it’s the daily content and the dopamine hit I get when I sell or create something that keeps me going as opposed to getting a birdie or smoking a cigar on the sun deck.

 

[Mark T Jones]

The secret is to build but not be too involved.

Always assuming that's what you want...

Being involved is what I enjoy - it's also the main barrier to growth - which is fine.

 

[Shopclicks]

Another way to look at the conundrum is to look at your own processes and find where you can save time. What do you do day to day that can be done more efficiently either though investment, software or practices.

Could you create more time? Is there a better way of getting the job done?

 

[fantheflames]

I definitely feel like your thinking is in the right place. It sounds like you've already evaluated the situation, if a client's requirements are beyond your current capacity, which it sounds like it is, than politely decline the offer. It would be great if you partnered or associated with a bigger company so you could recommend one another. I do this for assistant work, where a client wants data entry or something similar so myself and my team can focus on marketing and design projects. Some food for thought!

 

[JEREMY HAWKE]

I completely agree with Mark here, and there is no right and equally no wrong answer.
I'm also someone who enjoys the stress, and I get bored very easily. I've built a business a couple of times that had a team who handled everything to the point I was surpluses to requirements, and I got bored quickly because there was no urgency and anxiety of problems to fix.
Equally, I have also ended up in hospital once where thought I was having a heart attack but it wasn't my time yet so I carried on .

My mindset is changing a little now though as this year I turn fifty so I am questioning whether I should rethink my love of the rat race and instead spend more time observing and guiding others who are in the race, and less time in the race myself.

I'm in my mid 50s and my family tell me I'm not normal and I might drop down dead from all the hassle soon
I still love the stress I love deals . It might not be the biggest deal of the the week but if I can get get off the phone knowing a customer is happy with what we have agreed and we do a good job right through to the signature when the driver delivers Then I get something from that.

I still want to make good dosh and never turn anything away if I know the company booking has a few quid in the budget
I have always had a lot of support from my wife who has always believed in me even when everybody else tells me I'm wrong. So she deserves something nice from this firm and that is my current objective
There has always been a good goal for me to go after .

My Dad retired early at my age and he went down hill from there and I have no intention of slowing down!

This new era
Younger people in business and people in general these days are soft as s££t and they make us older people look good like never before in the past . I'm going to take advantage of this situation and I am enjoying this strange phenomena
Business is much easier to do than it used to be for a few other reasons to

@Mark T Jones Barrier to growth
Yes exactly this.
I believe that I am the best person to deal with the customer because I am the best ballsh3ter .......No No No ........Sorry the best at dealing with people . I could be doing more productive things during the day!
I may also jump the van and run to London because we have four same days going to the capital and that's a total of £1000 for a mornings drive to London . £120 on fuel some posh coffee and I put a whole heap of money into the business in a few hours . I cant expect a driver to hit the goals to achieve this but if I do it its a money spinner . I could be doing more productive things during the day

I could sit back and let things tick over but I'm still hungry and enjoy the madness of the weird modern time that we live in .
The answer is for me
After 30 years I'm still pushing myself I still have things to achieve and places that I want to get to

 

[NickZ]

Would you say you can't really support them or say you would give it your best shot if it doesn't workout then maybe look for another IT support company? I did have one when I had only been going 6 months and had to say "you need more of an IT team rather than a single man IT company".

Don't you know any company you could work together with and have a similar pricing structure?

 

[Shopclicks]

Don't you know any company you could work together with and have a similar pricing structure?

What problem does that solve?

 

[Lucan Unlordly]

My Dad retired early at my age and he went down hill from there and I have no intention of slowing down!

I'm off to a school re-union in a couple of weeks. We are all past retirement age but only 3 of us have continued to work full time and we're the fittest. I can't count for everyone but many of those who retired early have health issues that have come along since. The women seem to fair a little better as they've exchanged full time work for full time chasing grandkids around.

 

[NickZ]

What problem does that solve?

It wasn't directed to you in the 1st place.
It solves a lot of issues, but you seem to be ignorant that most companies could work together.

 

[Shopclicks]

It solves a lot of issues, but you seem to be ignorant that most companies could work together.

Most companies could work together? What are "a lot of issues"?

 

[NickZ]

Most companies could work together? What are "a lot of issues"?

No one company makes it to a top level. In order to grow you need people, capable people. It is way better to work together than to pay someone to do the work for you.

Say he gets together with a company which is able to do 80% of that the new clients ask for. He can learn, the partnered company makes more. The client gets what he wants provided the rest 20% are also done properly.

 

[Shopclicks]

No one company makes it to a top level. In order to grow you need people, capable people. It is way better to work together than to pay someone to do the work for you.

Say he gets together with a company which is able to do 80% of that the new clients ask for. He can learn, the partnered company makes more. The client gets what he wants provided the rest 20% are also done properly.

Maybe you can provide a real-world example of this.

 

[Ozzy]

Most companies could work together? What are "a lot of issues"?

I’d agree that if someone was in a position they want to stick to what they are good at, but their clients want more, so a partnership with someone who can do the extra bits means both companies win and the customer is happy. The win-win scenario, and one I personally would aim for whenever possible.

 

[Shopclicks]

I’d agree that if someone was in a position they want to stick to what they are good at, but their clients want more, so a partnership with someone who can do the extra bits means both companies win and the customer is happy. The win-win scenario, and one I personally would aim for whenever possible.

The reality though Ozzy, is that businesses don't share clients. Not with other businesses in the same industry and especially not in tech. You either take the client on, outsource the additional work or say 'sorry I don't have the capacity'. I can't think of a scenario where I've seen a client shared between two businesses in the same industry.

 

[Ozzy]

I can't think of a scenario where I've seen a client shared between two businesses in the same industry.

I have done it in software development in a previous business I owned, where the system we needed to build needed an online part and an on-premise part, and I didn't have the skills to build the on-premise part.

 

[fisicx]

I’d agree that if someone was in a position they want to stick to what they are good at, but their clients want more, so a partnership with someone who can do the extra bits means both companies win and the customer is happy. The win-win scenario, and one I personally would aim for whenever possible.

But that's only if you want to grow the business. Many people are quite happy doing what they do each day.

Some examples:

My local plumber can do a boiler install in a day. He doesn't want or need to do any more. And the shortage of plumbers means he's never going to be short of work.

The butcher has a shop and supplies the local hotels and eateries and serves the public. There isn't room behind the counter for more staff so to grow he would need to get a second shop. But there isn't enough demand to sustain two shops.

The mechanic who services my classic car is booked up months in advance. He could employ more staff but there isn't room to take in more cars.

Yes, they could pass on work to others but there is no real financial gain in doing so.

Some people like the excitement of growth and development of a business. Some don't. Doesn't mean one or the other is wrong. They are just different.

 

[Ozzy]

But that's only if you want to grow the business.

I disagree with this because that is not what I said above, I said if you want to help your existing customer whilst also not losing that customer.

Many people are quite happy doing what they do each day.

This is true. Some people are happy to say "I can do this part but not that part, so suggest you go find someone who can do both for you" whereas some people are happy to say "I can do this part for you, and this person who I work closely with can do that part, and we work well together".

It has nothing to do with growing your business, it's looking after the customer. Growing the business is bringing people in to do the full service.

 

[MikeJ]

My Dad retired early at my age and he went down hill from there and I have no intention of slowing down!

I think there's a definite market for life coaches focussed on telling people how to retire successfully. Particularly aimed at those who had a busy work life, as they often have the most trouble adjusting. Also, they're the ones with money that can afford the coaching.

I retired at 57, having worked part time for 6 months leading up to that. I've got a couple of dogs that keep me busy, volunteer at a couple of charities, am involved in a couple of community projects, and try to go to football regularly.

On the OP's question - the biggest issue in taking on one or two big customers is they may completely swamp your time. And when they decide they want to work with someone else in the future, your business model is completely knackered. Don't let any customer be more than 10-20% of your turnover or time.

 

[tony84]

It really depends on what you want.
Before covid I had 3-4 people working with me, covid came it dwindled down and its been nice on my own as I have more time with my daughter. Shes getting a bit older now and wont need me to pick her up/drop her off at school so I am looking at ramping it all back up again.

But what do you want?
Could you maybe get 1 or 2 of these companies to sign up to a 12 month contract and then take on a IT person, maybe an apprentice or someone newly qualified on a 12 month contract and see how it goes?

I know when I was at college doing IT, there were a couple of lads on my course who were probably more experienced than some qualified IT people as they lived and breathed it. They were hacking the college computers (just for fun, not to do any harm) etc. Others were very good at coding, they were well above our college level, but they had to do the college course to go to uni.

 

[Shopclicks]

I have done it in software development in a previous business I owned, where the system we needed to build needed an online part and an on-premise part, and I didn't have the skills to build the on-premise part.

The client needed two developers and no doubt paid two invoices. If they didn't, that's outsourcing. Recommending another developer isn't sharing a client. Sharing a client is what @NickZ suggested.

 

[fisicx]

This is true. Some people are happy to say "I can do this part but not that part, so suggest you go find someone who can do both for you" whereas some people are happy to say "I can do this part for you, and this person who I work closely with can do that part, and we work well together".

How does a butcher do this? Or the coffee shop that is rammed full on a rainy Sunday morning? Or the bloke who comes round to mend your gutter when he's the only handyman in the village. Or as we had last year, there is only one wasp nest removal man for miles in any direction.

I agree you can point customers in the direction of other providers but it's often not practical. Especially if the partner is equally busy and keeps sending you new business you can't service.

 

[Mark T Jones]

I’d agree that if someone was in a position they want to stick to what they are good at, but their clients want more, so a partnership with someone who can do the extra bits means both companies win and the customer is happy. The win-win scenario, and one I personally would aim for whenever possible.

I'd largely agree with this - though ìt can bring challenges- specifically that you need to be confident that your partner operates to your own standards, and that 'other services' don't become a distraction.

 

[Mark James]

We often use our competitors and vice versa for the same client as we are a rental product company and if we don’t have enough of our kit we just get them and there team in to jump on. Client knows this and either pays both or one and we sort it between us. So yes of course you can and lots do use other companies for the same client.

 

[DanteMosley]

I think it's smart to be picky about taking on bigger clients. If you feel sure you can handle their systems and it won't hurt your service to other clients, it could be a great chance to grow your business. But if you think a potential client's needs are too much for you right now, it's totally okay to be honest about that.

 

[DariusCool]

Some people want to scale their business, some don't. It will always be what you're comfortable with.

You could look at outsourcing work for either your current clients or your new clients if you want to grow. That's the default for most newish one person businesses if you're not in a position to recruit staff.

Entrepreneurs don't build businesses, they build organisations. Organisations build businesses.

Entrepreneurs don't build businesses, they build organisations. Organisations build businesses.

I like this, where can I read more about this concept. Thank you

 

[DariusCool]

I really needed to read this. Thank you.

 

[Shopclicks]

I really needed to read this. Thank you.

I doubt you'll be able to read about the quote anywhere. It was said to me a long time ago by someone I worked for. It stuck with me because it makes sense.

What I take from it is, you surround yourself with people who can help you. People who work at particular tasks better than you and allow you time to focus on business growth. Entrepreneurs rarely run a one person business. They create an organisation, employed by the entrepreneur, full of people who help accelerate growth.

 

[NickZ]

The reality though Ozzy, is that businesses don't share clients. Not with other businesses in the same industry and especially not in tech. You either take the client on, outsource the additional work or say 'sorry I don't have the capacity'. I can't think of a scenario where I've seen a client shared between two businesses in the same industry.

That is where contracts have their power.
Distrust is a pretty bad thing to base a business on.
You actually don't share clients, you outsource some work to a company you work with.

 

[Shopclicks]

You actually don't share clients, you outsource some work to a company you work with.

Outsourcing has been suggested multiple times throughout this thread.

 

[DanteMosley]

I don't really get which concept you'd like to read about?