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THRIVE // VOLUME 6

Celebrating what’s possible for small businesses

We work with clever business owners across New Zealand, in companies of all sizes, stages and flavours. From sole traders to firms of fifty, start-ups to growth-phase and beyond, across technology, tourism, charity, construction, media, manufacturing and more, we’re privileged to help a kaleidoscope of ambitious owners every day.

And while every business has its own goals and “secret sauces” for success, here are three client stories that show what’s possible for us all.

$3.7M revenue in first year of business

There aren’t many businesses in New Zealand that turnover $1 million in revenue (less than 15%, in fact). So this client turning over of $3.7 revenue in their first year of business is something else. It just goes to show what’s possible for a small team with super smarts and massive drive.

What was their recipe for success? In our humble opinion…

#1: TRUST. This owner is incredible at building solid relationships, fast. How? They always deliver, on everything they say. They truly care about ensuring the best outcomes for staff and clients alike. In a sector that’s all about people, this has proven to be a vital driver.

#2: MARGIN ANALYSIS. This client is all over

their numbers. They know exactly how much margin they need to make on each product and service to ensure they (a) earn the profit they’re after, and (b) retain their staff. Unsurprisingly, their team is incredibly loyal.

Would relationship building and/or margin analysis make a difference to your bottom line?

$1.2M annual profit in FY22

With less than 15% of businesses in New Zealand turning over $1 million in revenue, there are barely any making $1 million in profit. This client did that and more last year.

Aside from being absolute experts in their field, what was their recipe for success? In our humble opinion…

#1: OPPORTUNITY SEEKERS. This team makes searching for opportunities a priority. They regularly make time to down-tool and research current and future trends in their industry and beyond. Once identified, they move fast to make the most of these opportunities, whether they be new products for existing clients or new markets entirely.

#2: DIVERSE CLIENT BASE. This team lost a number of key clients due to Covid-era budget cuts, however other clients actually increased their spending, making for a positive net result for the business. Their secret sauce here was de-risking through diversification – ensuring their client base was not so similar that they would all be affected by the same change in the market.

Would making time to seek new opportunities and/or diversifying your client base make a difference to your business?

$140k in the pocket for this sole trader

Small but mighty, this sole trader has chipped away with tenacity, increasing their annual profit from $60k a couple of years ago to $140k last year. (A 233% increase right there!)

Aside from dedication and perseverance, what was their recipe for success? In our humble opinion…

#1: FOCUS ON MARGIN. This owner worked really hard to increase their gross profit margin. Key mahi here included negotiating costs down and increasing prices to a level that their market would still comfortably bear (part accounting, part marketing).

#2: HAPPY CLIENTS REFER. This owner knows that happy client are the best sales people. Providing a first-class service, going the extra mile and being a good honest human, this owner has seen increased sales thanks to strong word of mouth.

Would digging into your margins and/or developing a referral programme make a difference to your bottom line?

Stuck? We're here to help.

Want to make more profit in your business this year?

Book a free call with Darrin or Paul at a time that suits you. Let’s discuss the best way increase your profits in your business this financial year.