Allison Darling, president of ManagementConcepts Inc, recommended a great book in her newsletter last month: The Dip by Seth Godin.  It’s a tiny book with great information about knowing when to stick and when to quit.

It got me to thinking about the past fourteen years and a subtle ‘secret’ about our success: We knew when to quit!  Over time, we learned when to quit chasing suspects who were not High-Potential Markets, when to quit offering a service that was not profitable, when to say good-bye to a colleague or a client that was too high maintenance with too little return.

In other words, we learned when to turn away from energy-draining efforts and say ‘YES!’ to opportunities that result in a win for everyone.

Consistency is one of the mainstays of Synthesis – we are the Kings and Queens of follow up to our prospects, suspects and our most precious assets – our clients. We work hard to maintain current relationships, add value to our clients with service that bring a WOW! factor, and make certain we are doing all we can to convert suspects and prospects to satisfied customers.

But we know when to quit too!  One of the tough calls we make is when to pull the plug on a prospect.  When to determine they are viable or simply someone who cannot (or will not) make a decision but will keep us gathering information, sending revised proposals, asking questions, taking TIME and yet, never commit. When is enough, enough?

Only you can decide who fits in this category – but in reality, your gut tells you who these folks are. They are the dollar that when you catch it, isn’t worth the time invested.

Another measurement you need to stay on top of is the service you provide. Are you making a viable profit when you factor in all the direct AND indirect costs? Do you even know what those costs are? Every business – no matter how small, should be job costing. 

When I first started out in business, I offered a service called the 50/100 plan.  For 50 cents, I would database a name for you.  For $1.00, I would database a name AND send a letter.  I had entrepreneurs sending me mailing lists like crazy.  I thought I had my million-dollar idea!  When Gary observed me stuffing envelopes at 3:00 AM, he suggested I do a time study on my idea. Not surprisingly, it turned out the labor intensity of that program would have put me under in a very short time! 

However, thirteen years later, we are offering a very similar type of service for roughly the same price: 5-Touch Express. Due to advances in technology, we are able to offer this wonderful back-office service with a margin that creates a win-win for everyone.

Finally, the toughest call of all is when to ‘fire’ a client or a colleague. Sometimes it’s easy:  Just say ‘NO’ to one of their unreasonable demands and they will fire you!  Sometimes it is harder – these are the folks you have worked with over the years or known forever but dread when you see their name on Caller ID. You know they will steal time from you either expecting you to fix another problem (that you did not create but cannot charge for) or listen to their litany of complaints. They are never satisfied!  Often we opt to not take their calls, or drag our feet answering their voice mail; but that’s the cheesy way out.

One of the healthiest things you can do for your business and yourself is to face these folks straight on and tell them you are done. When I did that the first time, it was as though I was taking a stand for Synthesis – we are a healthy company and choose to work and associate with healthy people.  Scary!  But liberating and in the end, this sets the bar for future clients and colleagues.

Know when to quit and know when to stick.  Buy the book and learn even more about this valuable technique that will ultimately allow you to focus on that which brings great return!