An owner of a small-business goes from zero-profit burnout to total control over the business, which is now a strong financial asset, all from a high-reward, low-risk position.
Client: Anonymous
Initial Presentation
The owner of a small allied health clinic presented at close to burnout after running it for three years, paying herself below-market wage and drawing no profit from the business, with only one casual staff member.
Initial Analysis
In Summary: The business owner has a job with the responsibilities of a business yet no financial asset or financial reward.
As business owner and clinician, she had become established in an underperforming position without clarity on the steps the business had to take to improve. She was headed for burnout and eventual business failure. Minimal financial security and potential catastrophe awaited if the business failed to generate leads sustainably or if the business owner fell ill. A high-risk, low-reward business.
- Revenue: $170,000
- Profit: $0
- Hours invested in business per week: 65+
Prescribed Intervention
Phase 1 - Days 0 to 30 - Prioritising
Keystone helped her establish as priorities the maximisation of ROI on her contract employee and increased workflow. We helped her identify and set key performance indicators in the first 30 days, which led to increased performance of the contract employee and an additional 37 percent revenue from staff expenditure.
Phase 2 - Days 30 to 90 - Starting
Development of lead generation and profile building within local community and referrers. Invested minimally from a financial perspective, but spent a large amount of time creating point-of-difference to the market and streamlining the clinic’s referral process.
Phase 3 - Days 90 to 180 - Building Momentum
With a stable financial position and increased workflow achieved, we targeted leadership development and expansion. We focused on the development of person, procedure and policy, because the business owner’s mindset is essential for this venture to succeed. The clinic hired an additional two full-time employees to maximise profit from a new workflow. With our help, the clinician also installed a retention service and cross-sale opportunity from her contracted employee to ensure maximum profitability would be achieved.
Phase 4 - Days 180 to 420 - Expansion
What we did: expanded the premises, increased her clinic’s profile further and positioned her as an executive with total oversight of business performance, from financial health to client satisfaction. We reviewed the business strategy and hired two more employees, including a part-time practice manager.
Outcome
Business owner is now in a healthy executive position after she engaged Keystone Executive Coaching’s services. Her clinic employs four full-time employees and one contracted employee, and draws a profit on all staff. Revenue increased drastically and the clinic now generates far healthier profit. Now the business owner has total oversight and control, as well as the tools and capacity to grow and develop her business in the direction required. She’s now in a defensible high-reward, low-risk situation, with a profitable business and strong asset.
- Revenue: $750,000
- Profit: $280,000
- Hours invested in business per week: 40+
