When to Hire a Business Advisor

What Does a Business Advisor Do?

A business advisor’s main responsibility is to increase profits and maximize efficiency at your company. A good business advisor doesn’t do this recklessly though. He will come to your office, learn the ins and outs of the day to day management, speak with employees, meet the board of directors, and even talk to customers. Once he has this information, he will use it to figure out the strengths and weaknesses of your business. Some of your corporation’s particular shortfalls you may already be familiar with, but others may be surprising.

After speaking to you about his discoveries, a business advisor will help you to make an actionable plan. This plan will be uniquely tailored to your situation and it will do two things. First, it will address areas in your business where you’re weak. By tackling these issues head on, a business advisor will help your business to expand and become stronger. Second, the plan will identify opportunities to grow profits and any new niches that you may be able to expand into.

Does a Business Advisor Help?

A business advisor can be a tremendous help to your business. It can be invaluable to get an outside opinion from an expert in your field. When you’re emotionally invested in your own business, it’s often nearly impossible to be objective. A business advisor can help because he can look at your business from a detached perspective and suggest changes that you need to make.  

If you hire a business advisor who is an expert in your field, you may also end up learning about new technologies and trends. When you run a business you have to work with employees, make sales, pay the bills and speak with clients. After taking care of all that, many people find that they don’t have a lot of time to learn about what’s new in the market. A business advisor makes it his job to stay on top of that latest trends, and he will bring that knowledge directly to you.  

One thing to keep in mind is that it’s best to take the business advisor’s advice as constructive criticism. His aim isn’t to criticize the way you’ve been doing things or to point out every mistake. Instead, he wants you to address problems in your business process so that you can be more profitable, and remain a leader in your industry well into the future.

When Should You Should Hire a Business Advisor

There’s never a bad time to seek out a business advisor. Even when you’re crushing it and making a steady profit, there is always room for improvement. In this case, a business advisor may help you to develop a long term plan to maintain sales and stay dominant in the industry. However, below are a couple of the most common situations in which most people choose to hire a business advisor.

1 – When Stuck on a Problem

Sometimes it can be frustrating trying to figure out the correct direction for your company. Do you continue funding an unprofitable project in hope of a future payoff, do you need to find a new way to market a product, are there policy changes that need to be made?

These are all questions that can be difficult to make when you’re emotionally wrapped up in the outcome. A business advisor can help you to sort out these questions from a detached perspective. He will help you analyze the details, create a clear plan of action, and move past any problems that you’re hung up on.

2 – When You Need Capital

Some business advisors specialize in helping companies to raise capital. They will create detailed financial charts which will illustrate your post investment growth potential. These charts are based on historical data from your company and an advisor’s wide knowledge of financial systems. A good business advisor will also help you to create a great pitch, which will go a long way towards getting your business as much funding as possible

3 – When You Need to Make a Business Plan

An experienced advisor can work with you to write a solid business plan. In this situation, a business advisor will complete a detailed analysis of your company and force you to look at all the different aspects of your business. He will point out different ways to market your product or new sales avenues that you might want explore. An experienced advisor will also be patient, as he will understand that several drafts will likely be needed in order to get it right.

What to Look for in a Business Advisor

  1. Look for an advisor with experience in your industry. No matter how amazing the person is, if they have no experience with your product or service, they probably won’t be able to offer you the best service possible.
  2. Find someone with a proven track record. You should aim to hire an advisor who has a reputation of getting results for the companies that he works with. Don’t be afraid to ask for a list of previous clients.
  3. Make sure that any advisor you consider hiring is in it for the long term. A business advisor should be willing to help you when you need it, even if it’s years down the line. He’s going to help you to create a long term plan for your business, and he should be available to make sure that that plan works out.

Take Action Today

If you’re stuck on a project, need to raise capital, or are creating a new business plan, don’t wait, hire a business advisor today! The upfront expense may seem large, but the long term dividends will be well worth it. A good business advisor will do a thorough analysis of your company and give you an actionable plan to work on. Not only that, but he will hold you accountable to that plan. That’s a great way to ensure that you reach your revenue goals and continue to dominate your industry.

To learn more about business advisors and to find out how you can hire one, contact EntreDot.org today!