Saying no is important to the efficiency and the function of your business, but how do you decide when to say it? As a green industry business owner especially, saying no is a requirement. If it's difficult for you, you've got a lot to learn my friend. It can be especially hard in the business world to say no because the first instinct can often be to say yes, to do whatever the customer says. After all, isn't the customer always right? Yes and no. Below are five ways to help you figure out the right times to say no.
1. Sometimes a customer just isn't the right fit.
And that's okay. There can be a variety of reasons that make a customer an awkward fit. It could be that they live too far away. It could also be that their needs do not match the resources of your business. In the service industry, there are an abundance of things to take into consideration before taking on another customer, 3 things not to overlook when considering a new customer:
1. Resources: Are you stretching your resources thin or not utilizing all your equipment? Look into your inventory and decide where you are on that spectrum.
2. Geography: If you are a snow company for instance, how much driving will be required to reach this customer? Are they surrounded by current customers? If a customer is too far out of the range of technicians, they may cost you more than you'd profit from them.
3. Referrals: Were they referred to you by an existing customer? Referrals are powerful things, if you get a customer from a customer you are in the right and you should continue the circle.
Whatever the reason may be, use your good judgment.
2. A software that doesn't coincide with your accounting software.
If your software does not match up and correlate then it pretty much defeats the purpose of having software at all. Make sure you get a software that goes with your accounting software. If you don't, you're going to end up with a lot more headaches down the road than you bargained for. Not only will it help you be organized but it will also help you be more efficient. You will have all of your electronic paperwork in one place. What a beautiful thing. For example, HindSite works with QuickBooks and Sage50, we have customers who use other accounting software and we are happy to help, but sometimes it causes more headaches than they'd like.
3. If an employee asks for a loan.
To me, this is just treading in dangerous waters. If an employee ever asked me for a loan I'm sure I would be tempted to say yes. I, like most people, care about my employees. However, caring about your employees does not justify giving out loans to them. Advise them and counsel them. Help them in whatever way you can possibly can. Heck, you can even drive them to the bank so they can apply for a loan there. BUT, please say no when an employee asks you for a loan, it will become extremely complicated extremely fast.
4. If a customer fails to pay.
If a customer fails to pay, you need to make sure you lay the foundation for a solid relationship. Tell them that you value them as a customer but you cannot continue to do business with them until they pay you for your work. If you don't, it could become a "habit" for this customer to just not pay up. If you are honest and fair with your customers I can almost bet your customers will be honest and fair with you.
5. If your business can't handle more customers.
If your business can't handle more customers have the strength to turn new ones away until you can provide more resources and staff. I know it can be tough turning down customers because in the moment all you can think about is customers equaling profit. However, if you don't have the resources to provide excellent service aren't you doing more harm to your business than good anyways? Be patient and honest. Let your customers know that you wish you could take them on but you would be doing a disservice to them if you agreed to help them out at this time. Keep a list and let them know that you will contact them when you can take them on.
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