LESSON FROM A BAKERY OPERATOR
Their bakery is always in full capacity. I was shocked when he complained about poor sales.
He hinged the complaint on the coronavirus pandemic (I later found out that Corona has no hands in it)
He told me how the sale is slow, business is bad, and all that.
For the period I was there, I saw some of the things that are sucking their finances dry.
- There is no distinction between the business money and the owner’s money. They needed fuel to power their generator and the boss took from out of the pocket – personal money. (No record was kept of that) which means if the boss too needs something and the pocket is dry, the bakery will reciprocate the gesture.
- I asked how production is made, and they replied that they produce as people requested, no standard is followed, no standard measurement of material usage, no documented process, everything is on freestyles.
- What are their channels of distribution? They are only in that location, and prospects always complain that their brand is new and not known, so customers are not buying.
- Do walk-in customers love their products? They answer that they think so, not convincing.
Though I am not a lover of bread, I got a loaf as a sample, that unfortunately, I didn’t get home with, funny story for another day.
There are some fundamentals you need to take care of as a business owner, whether you are operating online or offline.
- For (Mortar and Bricks) Location is an important consideration., the delivery mode is equally as important.
- You can’t Ignore statistics.
- You must separate yourself from your business. Don’t make your business the extension of yourself by using business money for personal expenses and vice versa.
- Identify your ideal customers. Don’t think you are in business for everyone.
- Taking bookkeeping seriously is a no brainer.
- Document your process and ensure they are followed.
Running a profitable business is not guesswork; you must be ready to do the work.
Do you want to take the guesswork out of your business and create a clear path to success and profit?
Contact us now, and let’s sprinkle the Profit Rubik Method™ effect on your business. The result will testify.