How to Set Business Goals

Want to know how to set business goals? Every business, regardless of team size or level of revenue, should have clear business goals. Whilst some small business owners seem to think business goals are just for big businesses they aren’t. Keep on reading to find out how to set business goals.

 

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Why every business needs to set goals

Every business needs to set goals because business goals provide clarity and focus to everyone in the business. There is so much you can achieve through a business, but you can’t achieve it all.

 

Business goals should be aligned with the ultimate vision of the business and act as markers of success. By setting business goals you are making clear what this business views success as and what everyone should be working towards.

 

HOW TO SET BUSINESS GOALS

Goal setting method 1: SMART

There are a number of different goal-setting methods that can be used to set goals. In business, the most common goal-setting method is based on the acronym SMART.

 

There are a few different interpretations of what SMART stands for. One interpretation is Specific, Measurable, Actionable, Realistic and Timed. Another interpretation is Specific, Measurable, Achievable, Relevant and Time-Bound.

 

Regardless of your interpretation the aim is to get a goal that is can be measured, has a clear deadline, feels achievable and that it is obvious whether the goal has or hasn’t been achieved.

 

Goal setting method 2: Good, Better, Best

Another goal-setting method that I like to use in business is the Good, Better, Best method. For this method, you are essentially setting 3 goals. This method is best used with quantitative goals. For example, when setting a revenue goal for a quarter you might set a Good, Better, Best goal of the revenue reaching £25k (Good), £35k (Better) and £50k (Best).

 

Usually I will turn a SMART goal into a Good, Better, Best goal.

 

What time duration should you use for setting business goals?

Looking back at SMART goals the T in both interpretations was around time. Having a clear deadline for goals to be achieved by is key so what time duration should you use for your business. You have a number of choices and ideally should have a mixture of goals with different timings that work together.

 

For example, you can set long-term goals that are 3,5 or 10 years long, mid-term goals that are for 1 year, and then short-term goals that are for the quarter.

 

GET A BESPOKE STRATEGY TO ACHIEVE YOUR ANNUAL BUSINESS GOALS CREATED IN JUST ONE DAY! Once you’ve set your business goals you’ve got to create the strategy to achieve those business goals.Since 2019 I’ve been running Strategy Days with small business owners to help them do just that. I take their business growth goals and then create a bespoke business growth and marketing strategy. I know time is tight when you are a business owner so I’ve refined the process to take just one day. One day together and you’ll end up for a plan for the whole year! For more information and to book click here.

 

Common areas to set business goals around

 

You can set overall goals for the business but then set goals for different aspects of a business (this becomes increasingly important when there is an individuals or team looking after a specific area of a business).

Here are some areas you may consider setting goals around:

 

Financial

• Sales revenue

• Profit

• Take-home pay

 

Sales

• Number of leads / enquiries

• Conversion rate

• Sales per offering

• Returning vs new buyers

 

Marketing and Press

• Conversion rate on sales page
• Volume of website traffic
• Email subscriber growth
• Number of press features
• Mentions in specific publications

Operations

• Number of team members
• Open an (additional) office

 

Some business goals examples for small businesses

 

• Increase revenue by 50% year-on-year
• Gain 1,000 new email subscribers in Q3
• Maintain an average Google My Business review score of 4.5 this year
• Pay myself £60,000 in the year
• Build team to 5 employees by Q2
• Hire a VA in the next 6 months
• Be featured in 5 publications over the year
• Sell 25 packages in a quarter

Setting goals for your own business

 

We’ve gone through the 3 main things you need in order to set goals. Firstly, you need to choose your method. Secondly, you need to know the timeframe. Thirdly, you need to know what area of business your goal is around. Then it is over for you to set your goals.

 

 

That’s it. You now know how to set business goals.

Setting goals in business is essential and hopefully now you feel better placed to set goals. Remember that setting goals is just the beginning. Once you’ve got your goals you’ll need to plan how to achieve those goals.

I’m a planning queen that helps service-based business owners to take their planning to the next level so they can achieve their business goals with more ease.

 

Want a to set goals and plan for the year ahead? An annual planning day is perfect for you. In just one-day I’ll help you to put a plan together for the next 12 months – click here for more information. 

 

Prefer to set goal and plan by the quarter? In my 1:1 business and marketing mentoring I help business owners plan quarterly, as well as providing ongoing training, support and accountability – click here for more information. 

 

Or if you prefer to do it alone you can check out these blog posts.

You can find out more about quarterly planning here.

You can find out more about annual planning here.

 

Book a 2024 Strategy Day to map out HOW to achieve your 2024 business goals. Setting your business goals is just the beginning. Once you are clear on WHAT you want to achieve you need to work out HOW to achieve them. Over the last 5 years I’ve developed a process to allow small business owners to put together their business and marketing strategy together in just one day. So if right now you don’t have a strategy in place for 2024 and you’d like to be guided through reviewing 2023, setting your goals for 2024 and then having the right business growth and marketing strategy in place to get there – book a 2024 Strategy Day. For more information and to book a 2024 Strategy Day click here.