Building a business that lasts is inherently challenging. You have to weigh your resource requirements today against likely outlays in the future, and that requires a lot of forecasting and guesswork.
With that said, some businesses are more durable than others. While most are a flash in the pan, many last for decades, often longer.
In this post, we take a look at the secrets of durable businesses and what they do differently from the rest of the competition. Check out our principles below:
Hire People Who Believe In What You Are Doing
Most businesses assume that loyalty is a thing of the past. Millennials and Gen Z, they tell themselves, won’t stick around if a better offer comes their way.
However, that’s not necessarily true. Even today, it is possible to find loyal people, so long as you can align them with your mission. Once they see what you are trying to achieve and agree with what you are doing, they will bear almost any hardship.
Own Property
Most companies lease property, equipment and plant to improve their cash flow. However, that’s not always the best approach, particularly if you want your balance sheet to offer some flexibility.
In light of this, many firms are now becoming property owners and moving assets into their balance sheets. They’re investing in buildings that use prefabricated structural components, similar to steel house frames, that will stand the test of time and reduce construction costs. Many are building workplaces that are completely bespoke, underscoring their intention to continue providing services long-term.
Offer Impeccable Customer Service
Long-lasting companies have another trick up their sleeve: impeccable customer service. They know that even if technology disrupts their business model, a core of clients will continue to use them because of the high-quality personal service they offer.
How you provide great customer service depends on your business model. However, it all comes down to the same thing: treating your customers well. If you can find ways to do this better than your competitors, then you will go a long way.
Adapt To New Technology
Brands that ignore new technology do so at their peril. Those who don’t keep up run the risk of being disrupted by their rivals, and booted out of the market entirely.
If you can develop your own technology, that’s great. However, even if you can’t, keep a close eye on developments in the market. Follow your rival’s strategies and look for threats coming at you from outside your industry. Don’t be afraid to make significant organizational changes to take advantage of new technologies if the opportunity arises.
Establish Your Brand
Lastly, if you want a durable company, you need to establish a brand. Doing this makes clients and customers think twice before swapping to a competitor offering a cheaper price. If you can convince them that you offer the best quality in the market, they will flock to you.
So, which of these principles will you use to build a durable, sustainable business?