A business coach breaks down five metrics every owner must track: lead generation volume, conversion ratios, client acquisition cost, gross margin, and net margin. Without these numbers to at least one decimal place, your company is operating blind.
If you can't measure it, you can't fix it. I want you to understand this. You run a business. You need to know your margins. You need to know your lead generation. You need to know your conversion ratios. You need to know your client acquisition cost. When I look at a business, there's 5 health metrics that are determined whether your business is healthy or not. Those health metrics, one changes, your business could really be on the decline, even potentially die. So that's why I call them the health metrics. You can call them key performance indicators. Call them whatever you want, but I'm gonna ask you this question. What health metrics do you have in your business? What are you measuring? Do you know those 5 numbers down to 1 decimal place? What are your lead conversions? How many leads are you getting in? Remember, business is 100% a numbers game. Number of leads coming in, number of leads qualified and disqualified, number of leads converted. That's one piece. What are your margins? Gross margin, net margin. I want you to think about this. Take the time in the next week or so to put together your 5 health metrics for your business. Every business is pretty much 80% the same. 20% is just tailored to whatever industry, whatever marketplace you're in. I want you to look at what are the 5 health metrics for your business down to 1 decimal point. If you cannot give me those, your business might be on life support already. So let's get those 5 metrics sorted out in the next week. And I promise you, when you measure, you can fix. When you don't measure, you're running completely blind.
