A guest blog post by Gail Doby, ASID, Design Success University

I’ve been an interior designer for over 20 years, so I’ve had plenty of time to make these mistakes.  Here’s a startling statistic (and I’ll bet it is higher during this recession) – 62.8% of all new businesses fail within 6 years according to the U.S. Census Bureau, and 96% fail within 10 years.  That means you’re lucky to be one of 4 out of 100 to make it past 10 years…or is it luck?

What if you could avoid the mistakes that these business owners made?

I’d like to see you avoid them, and if you’ve already done a few of them, now you can learn what not to do so you don’t waste your valuable time and money:

1. Not having a written “ideal client” profile – If you don’t know who your ideal client is, how can you tell other people who they can refer to you?  If you’ve ever had the client from &%$&, (or more than once) the key is to know what you don’t want in a client as much as what you do want.
2. Not knowing the lifetime value of your client – If you’ve been in the business even a few years, you can add up your billings and divide by the number of clients to get your current lifetime value.  You should also look at how long they stay as a client.  These two metrics are critical in your business planning and if you have this data as part of your Business Dashboard, it will help you grow your business. (more…)