How to set business goals the SMART way

Defined goals can help your business grow.

  • 13 December 2019

    A man in a casual dress shirt and pants using his laptop to set business goals.

    You’ve got big business plans, but if it feels like you don’t know where to start with all your ideas, it’s time to set goals.

    Clearly defined goals will help ensure your business grows. You’ll know where you’re heading, and be sure the money you’ve borrowed to start your side gig is getting put to good use.

    Do your homework

    Before you start jotting down an endless list of dreamy ideas, you need to do the all-important pre-goal research. Start by pin-pointing your business’ strengths and weakness. This can help determine the theme of what your first goals should be.

    Do some market research and know what other businesses in your field are doing. What’s working for them and what holes can you see in their set up you could potentially fill at your end. You’ll want to analyse trends, gaps in the market, and points of difference.

    Be SMART when setting goals

    SMART is an easy method of goal setting that offers clear direction and increases the chances of achieving your goals.

    SMART goals = specific, measurable, achievable, relevant, and timely.

    Here’s how it works:

    • Be specific when it comes to detailing what you want out of your goal.

      For example: I want to increase my subscribers by 100 people.

    • Make it measurable. How will you know when you’ve hit it?

      For example: I will measure subscriber numbers monthly to see how many new people have signed up.

    • Make sure your goal is achievable. Do you have the skill/time/program/money/staff to make this plan happen?

      For example: I can increase my subscribers because I have extra money to advertise the subscription over the next few months.

    • Check it’s relevant. There’s no point putting in all this hard work and money if the goal doesn’t help steer your business in the right direction.

      For example: More subscribers will allow me to market my new product to more people to diversify my product listing and gain more sales.

    • Set a timely deadline for the goal. If there’s no deadline, it’s most likely a goal you’re not fully committed to.

      For example: I want to increase my subscribers by 100 people over the next quarter.

     

    Did you know?

    There are more than 2.3 million actively trading businesses in Australia (June 2018).

    Avoid common mistakes

    Check in regularly

    As a business owner, you most likely have a million things to do! But setting a goal and then forgetting it won’t get you closer to your big plans. Designate time to regularly check in on your goals. Take stock of their progress and see if they need to be realigned or reconsidered.

    Break your goal down into small sub goals you can achieve over a period of time. What are daily/weekly/monthly tasks you can action to keep this goal heading in the right direction?

    Review your budget

    Don’t forget to assess any costs involved with meeting your mark. Your budget should always be in mind when goal setting, because it will most likely affect timelines of certain goals and their order of priority.

    Don’t lose motivation

    Some goals take longer than others to achieve. To ensure you’re not falling by the wayside when it comes to motivation consider small ways to stay focused.

    Keep a file of inspirational images close by to remind you of what you’re working towards when things get overwhelming. Keep yourself in check with an accountability partner, or try a new approach to your latest goal to flip your routine on its head.

    Keep a work-life balance

    You’ve heard it all before, but are you actually achieving it? If you’re in this business for the long haul, keeping your mind and body sharp is key.

    Stay healthy with regular exercise and healthy eating habits, get enough sleep and surround yourself with positive people to help kick your goals.

    If you’re thinking work-life balance is easier said than done when trying to launch a business, start small.

    Physically schedule a little self-care into your day, such as taking your lunch outside instead of eating in front of your computer or heading to bed earlier than normal a few nights a week. Self-care can prevent burnout, reduce the negative effects of stress, and help you focus.

    Don’t forget to celebrate the wins

    It’s easy to get caught up in the checklists and move swiftly from one goal to the next, but don’t forget to reflect on your successes.

    Have a set of milestones you want to achieve, and take the time to acknowledge them along the way. It’s a great way to stay motivated, and a reminder of why you’re doing all this hard work in the first place.

    When setting business goals, always ensure they come back to your vision and mission. There’s a reason you entered this game to begin with, don’t lose sight of that, because it will help motivate you when a goal starts to look overwhelming.

    Remember it’s always OK to adjust your goals or set new completely new ones - you can set goals anywhere at any time, so what are you waiting for?

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