You’ll encounter a number of personalities as a business owner. Most are pleasant but some are downright rude. Others might be quirky, yet fun. Still, others can be flat-out nightmares. Then, there are those clients who demand too much, want to pay too little, and brag about their importance, yet still, have high praise for you. Of course, there are also niche personalities, people who possess less-than-desirable traits, such as individuals who take up way too much of your precious time, completely oblivious to the fact you must also take care of others. Fortunately, there are a few ways to cope with customers who tend to monopolize your time. Time-Wasting Customers Take a Big Toll It’s not just the boring, pointless conversations that are problematic. It’s the fact that you’re having to take time away from true priorities. Obviously, this can be very frustrating and even detrimental to your business. After all, if you can’t attend to matters as needed, it causes you to rush and that leads to mistakes. But, it also has other negative consequences. For instance, draining you mentally and straining your patience thin. Good salespeople understand how to walk a fine line between ignoring a client and spending too much time on him. As a sales professional, you need to learn how to use your time to maximum advantage. If a client or customer is monopolizing your time with no intention of buying anything, the ability to disengage without causing offense is vital. —Houston Chronicle Small Busienss When you experience such feelings, it can easily put you in a bad mood. A foul state of mind could also cause you to unfairly snap at your own team. Or, just ruin a good portion of your day. At the very least, you’ll probably become preoccupied and ruminate on your misfortune, which might lead you to become apathetic for the rest of the afternoon. How to Deal with Customers who Monopolize Your Time The thing is, a good percentage of time-monopolizers aren’t really conscious of their own behavior. (Unless it’s such an annoying trait, other people have made them aware.) Even if he or she knows their tendency, it’s a very difficult behavior to change. Which means it’s largely on you. Here are a few effective strategies for dealing with customers who monopolize your time: Redirect his or her attention. Instead of cutting off the conversation entirely, steer it in another direction. Ask about his or her specific interests in relation to your mutual business and give them a few options to consider. This creates a bit of a diversion and puts the onus on him or her to move the interaction along in a constructive manner rather than meandering from one thing to another. Reschedule and restructure. You can also reschedule a day and time to meet, with certain parameters so it isn’t open-ended. For example, excuse yourself with the caveat you’ll meet again soon. Set a time and also set a structure or an agenda so that he or she knows it’s all about getting things accomplished in a cooperative, timely manner. Get him or her to focus. If you sense he or she is about to go off on a tangent, grab his or her attention with a point or fact that moves the conversation toward a conclusion. This could be about a timeframe, price, quantity, or something else. It should serve as a way to complete the transaction at hand. Regardless of what strategy you choose, or even if you use a combination, always express your appreciation and let them know how valuable they are to your business. Don’t rush and take time to listen to his or her feedback so you don’t accidentally cause an unnecessary rift that could result in unexpected repercussions. What other suggestions would you give entrepreneurs who experience time monopolizers? Please take a moment to share your thoughts; it could be a big help to others when they need it most! Interested in learning more about business? Then just visit Waters Business Consulting Group.

The world has gone crazy. Well, it certainly seems that’s the case. Inflation continues to push up prices on just about everything. There’s a hot war in Europe that’s seriously impacting the free flow (and cost) of energy. All of this, not to mention an ongoing labor shortage, materials shortages, and plenty of other madness, wreaking havoc on day-to-day life. Of course, businesses aren’t immune to this madness — particularly small businesses. What this chaos does teach any entrepreneur or current business owner is the importance of retained earnings. But, what are retained earnings and how can small businesses build them up for difficult times that will inevitably unfold in the future? What are Retained Earnings Anyway? Retained earnings are an important part of any business. They are the funds that a company sets aside to cover expenses during tough times or to reinvest in the business. (Like now, when the entire world is topsy turvy and the economic circumstances are unstable and unpredictable, to say the least.) Retained earnings are an important concept in accounting. The term refers to the historical profits earned by a company, minus any dividends it paid in the past. The word “retained” captures the fact that because those earnings were not paid out to shareholders as dividends they were instead retained by the company. For this reason, retained earnings decrease when a company either loses money or pays dividends, and increase when new profits are created. —Investopedia.com During normal circumstances, retained earnings are generally used to expand. Examples include hiring additional employees, purchasing new equipment, bringing in new or more inventory to sell, or even acquiring new commercial property. But, when sales slow and the business isn’t earning enough, retained earnings can be used as savings to bridge the gap. How to Build Up a Business’ Retained Earnings One of the most important aspects of any business is its retained earnings. Retained earnings are funds that a company sets aside to cover expenses during tough times or to reinvest in the business. This money can be critical for businesses when they need to maintain cash flow during difficult periods or invest in new opportunities. There are two main ways to build up retained earnings. The first is to generate profits and reinvest them back into the business. This can be done by reinvesting profits into new products, expanding the business, or hiring new staff. The second way to build up retained earnings is to reduce expenses. This can be accomplished by cutting costs in areas such as marketing and/or overhead expenses. If you want your business to be prepared for anything, it is important to have a healthy retained earnings account. By reinvesting profits and reducing expenses, you can ensure that your company has the funds it needs to weather any storm. With a strong foundation of retained earnings, your business can thrive for years to come. Entrepreneurs should also Carefully Consider Retained Earnings if Buying an Existing Business When evaluating a company’s financial statement, it is important to look at the retained earnings line item. This number will tell you how much money a company has set aside to cover expenses during tough times or to reinvest in the business. If you are interested in investing in a company, it is important to make sure that its retained earnings account is healthy and growing. What else do you think new and existing business owners should know about retained earnings? Please share your own thoughts and experiences so others can better understand this important topic. Interested in learning more about business? Then just visit Waters Business Consulting Group.