We’re business owners!
What do we want?
To scale or business!
When do we want it?
NOW!
How do we do it?
Crickets….
Been there.
Then there was that day in the pumpkin patch with my family, talking to the farmer who grew the prize-winning, ginormous pumpkin. When I asked how in the world he achieved growing such a monstrosity (in a good way), he explained that by pruning away the unhealthy vines and pumpkins that weren’t growing, all that energy previously going nowhere got diverted to the growing pumpkins.
So wait. If I did the same thing with clients, would that work?
Yep.
The common mistake – Conventional wisdom tells us the more clients the better, right? We equate more clients with more sales, revenue, and profit, and then we call it growing our businesses. The more likely story is you’re not going to grow your business that way, you’re going to waste your precious resources like time, money, and effort by spreading yourself so thin that the good clients aren’t going to get what they need, and slowly, your whole “patch” of clients will start to wither away. Ouch.
A surprising approach – This brings us to the pruning stage. Last week we talked about assessing who your best clients are. The reality is that not every client is the right fit for you, and vice versa. Once you know who your best clients are, it’s time to cut some loose. I know, I know, you just twitched, didn’t you?
So how do you let some clients go?
After your client assessment, consider the following:
- Communicate clearly: Once you’ve decided to let go of a client, it’s essential to communicate your decision clearly and professionally. Schedule a meeting or call to discuss the situation. Explain that you’ve evaluated the relationship in a client audit, and considered factors such as profitability, alignment with your business goals, and potential for future growth.
- Be honest but diplomatic: When communicating with the client, be honest about the reasons for ending the relationship, but do so in a diplomatic and respectful manner. Avoid blaming or criticizing the client, and focus instead on explaining how the decision aligns with your business strategy.
- Offer assistance: “So and so may be able to serve your unique needs better than I”. Depending on the circumstances, you may want to offer assistance in transitioning the client to another service provider or providing support during the transition period. This can help mitigate any negative feelings and maintain a positive reputation for your business.
- Follow up: Follow up with the client to ensure a smooth transition and address any remaining issues or concerns they may have. This demonstrates professionalism and reinforces your integrity and commitment to customer satisfaction, even when parting ways.
Now you can focus on your top clients.
Focus on serving your top clients exceptionally well and watch your business blossom. Remember how before you wanted to change your offering to better suit your clients? Now you can do that because it will be worth it. And if you were ever going to make adjustments, make those for these clients. If they’re wonderful clients, you’ll still be able to stay within your zone of genius AND use your resources wisely.
Wishing you tremendous success.
-Mike
