We business mums face different challenges to other business owners. Compared to our contemporaries, we often work with babies underfoot and have even less time to devote to our businesses. This can affect our ability to be profitable. According to the Institute for Small Business and Entrepreneurship there is some evidence to suggest that women-owned businesses may experience a higher rate of exit than male-owned businesses. Read article here.

Although the cause of this fast rate of female exit is unclear, there is a case for competitive pressure which forces out less sustainable enterprises. Are women exiting because their businesses are not profitable? More research is needed to identify the exact cause but in the mean time what can we do to improve our chances of success in business. Below are my tips from my own experiences as a mum and business advisor for increasing profits in mumpreneur businesses.

1. Is it a business or a hobby?
   
   Do you want your business to be a commercial success? Then you need to operate and act differently from the mum whose business is a hobby. Most of us mums go into business for various reasons. However running a successful business affords us the luxury of spending more time with family will be on most business mums’ wish list. Running a successful business requires more focus and structure to make it an attractive proposition to our customers. Your professionalism and commitment to your business will provide the fuel to consistently seek new markets and also command a premium price for your higher quality products/services. Are your customers able to reach you when they need you? Do you return their calls/email with 24/48 hours? Have you figured out your work hours? These are just a few questions to help you introduce some structure. If your business is a hobby and profit is not a huge motivator then enjoy, there is no need for drastic changes.
   
   
2. It’s pretty enough, it will do just fine
   
   I used to struggle with the urge to make my website prettier, add more fancy trimmings to my letters, emails etc. After I’d won that battle, I started obsessing about updating my social media profiles. This is a struggle that may be common to most business women out there. There are too many distracting things that we need and want to do. Yes, they make our businesses look pretty but the question is - do they help us in achieving more profits? If the answer is NO then give yourself a target, for every three productive activity you complete you can devote an hour or two to cosmetic activities.
   
   
3. Marketing time after me time
   
   As a mum it is very important that we take time out to rejuvenate and refuel for the next round of school rounds, cooking, shopping etc. I cannot over emphasize how important taking time out is for our sanity. If you are juggling working from home and caring for your child (ren) and have mastered the act of finding some time to yourself then the next thing is to squeeze in some marketing activity after you’ve had your fix. Consistent effective marketing will result in more sales and more profits. This could be in the form of follow up emails or phone calls to both new and old customers. It could be contributing to a forum etc. Any that keeps you visible in your market.
   
   
4. Get help, you can’t do it all yourself
   
   Are you currently, the founder, CEO, accountant, administrator, baby sitter etc all rolled in one? We all start at this point but you have to admit it is driving you crazy trying to juggle all the balls. For you help may be organising a baby sitter for a day or two, outsourcing some services or even hiring staff. It all depends on the maturity and profit levels of your business. The thing is, you business will only grow and be more profitable if you make an effort to consciously grow it. If you want to make amazing profits then you need to invest more of your time to doing just that. Getting help will reduce stress, improve your relationship with partner and also improve the quality of time spent with your children.
   
   
5. Increase your price by 1-3%
   
   Can you safely increase your price without losing customers? I would say yes provided your customers value you. If you are always adding value to your customers and meeting their needs, in most cases customers will pay for a small increase in price. As mums we should not be competing only on price. This is because there are other people or companies out there with huge resources who can match our prices and probably do what you do quickly or cheaper. The key to increasing your price is to create a service or product that beats the competition on quality and service.  As most of as choose to work from home, our overheads are significantly less compared to the competition. Any successful price increase will go straight to our coffers. If you are struggling to value your services then read Fabienne Fredrickson’s article on undervaluing your services here. I found this article very inspiring.
   
   
6. Start producing timely monthly and annual financial statements
   
   I need to stress the importance of producing regular financial reports or snapshots of your business. Without this, your business may be haemorrhaging cash and you won’t even know it. This helps you to manage your money better avoiding unnecessary charges and fees. There are Microsoft Office templates here that you can customise and use for your business. Depending on your operations you could have an accountant help you produce an income statement, balance sheet and cashflow statement.
   
   
7. Can you source your products from cheaper suppliers
   
   When was the last time you renegotiated your credit or supply terms with your suppliers? It is good to build a lasting long term relationship with your supplies, however don’t bend over backwards in your zeal to develop this relationship.  Proactively chase the best deals for your business (balancing this with developing relationships). The more costly your product the more your profit margins are squeezed therefore sourcing cheaper suppliers will immediately improve your bottom line.

What you need to do next: Conduct a review of how you run your business in order to identify profit sabotaging patterns. Left unchecked these could lead to your business’s eventual failure.

Please share your experiences and examples of how these tips have worked for you!

Griselda K. Togobo is the Motivating Mum Accounting Guru and founder of AWOVI Consulting Ltd, a company devoted to increasing the success rate and longevity of small businesses worldwide. The consulting and coaching practice is aimed at supporting small businesses develop and implement the programs and systems that will make their business profitable.  AWOVI's online portal is used to support and inspire entrepreneurs with advice, tools and success stories. Visit her blog at www.awovi.com