Small Business Advice: Know the Purpose of Your Business Existence

business purpose

I know that this can be something weird, something that you think is not important for your business. However, it is crucial for your future business success.

Do you know the real purpose of your business existence?

Can you answer in one simple sentence? What is the primary intention of your business existence?

Write the answer on a piece of paper, and continue reading.

The intention of entrepreneur’s business

When I talk with entrepreneurs and ask the above-mentioned questions what I can conclude is that most entrepreneurs can’t clearly define the business or the intention of their business. It’s shocking that most of them make wrong assumptions or even don’t know the answer to the questions.

The intention is important about you as an entrepreneur because it will define or draw the business in which you are really in. That means you will have clearly defined the path for your company in the future regardless of the changes that will come for the future.

Product and Services are Not the Purpose Why Your Business Exist

Most entrepreneurs base the business purpose on their products or services. They think that they are in the industry of such a product and services. But, the future can change the whole industry, and that industry or market probably will don’t want your products or services. Then, if you are so much fixed on the basic purpose of your company, which is a product based that will mean the death of your company, or it can be something that will not give you enough flexibility to change the things in your company.

Customers – Your Business Exist Because of Them

Your business purpose must be based on your customers, your target market. They will define the real purpose of the existence of your company.

The intention must be based on detailed research on your target market and customers. What do they really need? What are their desires? What are their frustrations?

That answers will help you to define the clear and real purpose of your business. This is because your target customers will always be there on the market. If there are changes, they will change their specific need, but not the overall need to solve the problems that they have. For example, if you are in the food industry, there are always will need to eat. They can change their eating habits, but you can satisfy their changed need if the intention for your business is to serve your customer’s needs instead to deliver your food.

As you can see the difference is big when it comes to the future development of your company.

This week’s small business advice is: think about the real purpose of your company. Is it based on your products and services or on your customers? If it is based on your products and services, you need to start real changes in your company starting from the intention, business model, and everything else based on that model.