I used to think that being a successful small business owner meant that I had to hustle 24 hours of the day, literally. I woke to hustle. I fell asleep to hustle. I dreamed about to-do lists and hatched plans in the shower. That is, until the day I woke up and realized that I couldn’t have been more wrong.
Building a profitable business requires you to work smarter, not harder. While you need hustle to start your business, you need a strategy to grow it. Let me explain.
The cult of overwork is real. The average person touches their phone a couple thousand times a day and the U.S. is one of the most overworked countries in the developed world.
The hashtag #nevernotworking has almost 400,000 posts on Instagram, and busy has become its own brand, with perceptions of success tied to being allergic to leisure time. You have to wonder — is all this hustle making the grade? Are we building more profitable businesses by working more?
The short answer is no.
When it comes to our businesses, the science is conclusive: Our brains are not wired to multitask, and decision-making quality drops when we’re tired. To add more insult to injury, research shows that when you clock in more than 50 to 55 hours a week, cognitive performance (that is, the ability to reason and think critically and creatively) and the quality of your work suffers.
Let’s get practical. Do you notice that you’re “tapped out” or fresh out of ideas after a long day on the job? Do your eyes glaze over important documents that impact your small business? While working at an agency start-up and for my own small marketing business, I noticed that I operated under the law of diminishing returns — the more I slogged away in front of a computer, the more catatonic I became.
And forget about the always-on mentality of technology, where we’re attached to our phones and everyone expects that we’re accessible 24/7. When we’re not working on our business, we’re thinking about it, and it’s become the norm for entrepreneurs and small business owners to clock in 60 to 80-hour work weeks.
However, research shows that overworking hurts productivity, and employee well-being. We can accomplish more in 40 hours than 80.
So, what happens when we keep burning the midnight oil?
- We suffer from decision paralysis. When you work more, you work in circles, procrastinate, and nothing really gets done. You’re too tired to make material decisions, so you end up putting them off, which only hurts your business.
- We focus on what’s safe vs. what’s innovative. Everyone’s afraid of failure, but failure is a key component to success. Failure gives us information that we can use to make smart changes in our businesses. When you spend your time avoiding failure, you can make too-safe decisions that impede growth. Consider these nuggets of wisdom from Thomas Edison: “I have not failed. I’ve just found 10,000 ways that won’t work.” He also said, “Many of life’s failures are people who did not realize how close they were to success when they gave up.”
- We hurt employee morale. Whether we like it or not, employees look to their leaders for model behavior. If they see you constantly stressed, frazzled, tired, and tapped out, they will mimic your behavior until they suffer from burnout, and they could end up leaving your company. As a small business leader, it’s your job to set the standard for how much you work. When you cultivate a company centered on balance, you may see your profits skyrocket.
Here’s the reality: Nothing productive or profitable comes out of a 12-hour workday. Trust me on this one. So maybe if you slept that extra hour and designed your days to work smarter, then you would experience real growth in your business.
Here are my tips to design a work week that will keep you balanced, sharp, sane and profitable:
Create workflows for administrative/repetitive tasks.
When you’re a small business owner, you’re suddenly the accountant, administrative assistant, lawyer and bookkeeper. All of the departments that you took for granted at your 9 to 5 collapse into a team of one when you’re first starting out. Take a step back and document all the things you do on a daily or per-project/client basis, and see if there are ways you can automate or create templates to reduce the workflow.
For example, if you own a small boutique or coffee shop, you may want to invest in scanning technology to help with inventory management. If you’re a bookkeeper or freelance marketing consultant or graphic designer, you may want to create templates for your onboarding process, so you don’t have to start from scratch every time you have a new client.
Determine where technology can fill the gaps.
Similar to my first recommendation, I would invite you to think about software tools that can make your life easier. Many of them are free for smaller businesses, or come with a minimal monthly cost. For example, I used tools like Timely to automatically track the hours I work, Google Drive to manage file-sharing and uploads, and Dubsado to manage new business leads and create automated onboarding emails for when leads turn into new clients.
If you have a need, there’s probably an app for it, so do some research to determine where automation or technology can remove some of the drudgery from your day-to-day business management.
Define when you’re at your best and shape your days accordingly.
For my small business, I’ve created workflows and processes that save me time on the administrative busy work and allow me to segment my day to focus on being productive at blocks of hours at a time—all based on my circadian rhythms.
For example, I know I’m most productive and focused first thing in the morning. As a result, I’ll block off 7 a.m. to noon to work on the tasks that require a considerable amount of my attention. Contracts, strategy, big decisions, plans, and partnerships — all of this gets taken care of when my cognitive abilities are at their sharpest, because after 2 p.m. my brain becomes mush.
Acknowledge when you need help.
We’re in love with saying that we can do it all, or that it would take too much time to explain menial tasks to someone else, but the more we’re working on the details in our business, the less we’re working on the growth of our business. There will come a point when you’ll need to hire a resource, whether it’s a part-time or full-time employee.
Consider starting with a VA (virtual assistant), who can handle everything from your inbox to administrative tasks, bookkeeping, social media, or graphic design. As a small business owner, I’ve also seen the value in investing in a bookkeeper and a lawyer, both of whom give me peace of mind. I know my contracts will be airtight and protective, and I don’t have to deal with the ever-changing tax code because I have an expert in my court, helping me manage the books and expenses.
Rest and have fun!
You went out on your own because you wanted to be your own boss. Being a boss is not just about getting the job done, but it’s also about knowing when you need to kick back and relax.
Time away from your business not only rejuvenates your well being, but also allows for the flow of new, creative ideas. I take Mondays off to relax without the disruption of email and calls. I also take a work-free vacation — after two decades of working to the bone, I can tell you it’s possible!
Everyone talks about the hustle. Everyone believes being busy is a badge of honor, but busy doesn’t add zeros to your bank account. Working smarter and strategically on your business not only will give you the time to build your company, but also will allow you to spend time with the people who matter most.
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View Comments (74)
I pretty much work on one engagement at a time, which are subject to the client’s demands and deadlines. They come to me because they don’t have the knowledge or bandwidth to get a project done on time. And sometimes, deadlines are just that - deadlines. Recently during a difficult engagement that required 60+ hours per week for months on end, I began to notice the effects. Productivity and decision making did not suffer, but I began to have a singularity of focus that made me blind to other things in my life. I was able to address this by having an end in sight and working towards the goals. A welcomed break that lasted a few weeks helped me reset. On to the next one
The studio is open 3 days a week. A short day on Saturday. I make as much in 3 days as 5 days. I love my job of 44 years but I’m not married to it. The studio has been open for 15 years. I do work some of those 4 days off on admin/computer items.
A quote I saw on the internet. Their customers urgency is not my urgency. I have noticed since reading that quote that a lot of people, customers, want to bring me into their situation, what ever it is, I can’t do that. I’m not a therapist.
I have had the same open hours for 10 years. I’m not sure why I receive text at all hours of the day and night. I Try to set boundaries but most don’t read well. Setting boundaries is for my well being.
You are speaking for yourself Felicia. I'm a baby boomer and worked 50 to 60 hour weeks to get my business up and growing. I stayed on that schedule for 15 years now. I have more wealth than ever imagined and work about 30 hours maybe per week. My advice, pay your dues now and relax when the debt is paid or slog along thinking your strategy is working.
Agree with Paul and Jim. If I didn't come in on Mondays, there would eventually be no business. People are different, so one size does not fit all. Owners can create a business that works around their strengths, abilities and what they enjoy. I don't enjoy leisure, but I do enjoy pausing work at the shop and working on a home project instead. It refuels me. That being said, perhaps we busy owners could benefit from a couple of the article comments - for instance, scheduling certain tasks when we are most focused (or less interrupted), and making sure we spend some time developing the business rather than letting all our time be filled with repetitive or simple tasks.
Great article and it must have been written by a wise person that recognizes not only for business purposes but also how God intended for us to work and rest.
Congratulations to the writer.
Every business is so much different and so are its owners. One size does not fit all. The only logic is to work hard for 8 hours each day, as your brain never stops and keeps thinking about the future 24 hours a day and makes its best logical decisions while you are sleeping. When you awake each day, after a great night sleep, all yesterday's worries seem to correct themselves, BUT now you have a full day of challenges again and the cycle continues. If you enjoy it, that is the key.
Thanks for commenting, Roger!
It is not about number of hours. There are many examples of very successful entrepreneurs that don't spend morning to night at the business. Of course you should work smarter and in particular use technology to be more productive.
What it is about is achieving the objective of working more and more "on" the business, versus "in" the business. This is accomplished by hiring and developing your team combined with writing robust standard operating procedures.
Then you'll find the ship running itself and your high value add will be spending time on innovation and competitiveness.
Thank you for sharing, John!
It is not smarter OR harder. It is smarter AND harder. My research reveals that those who think you can compress 80 hours into 40 hours never ran a shop or service business that staying open those extra hours meant the difference between break even and making business. The idea that "hustle" and "being busy" "doesn't add zeros to your bank account" is lunacy. Having run my own business for 40 years and being open from 7am to 6pm 250 days a year, I enjoy my work and I enjoy the success that I earned. The combination of working smart, hard, putting in the time and being kind and grateful is the winning combination.
I agree with limiting your hours. It helps you prioritize what you need to do vs want to do. That slight word change means you are no longer procrastinating and instead focusing on WIN (what's important now).
I found one business hack for instance that would make me $200k in extra profit a year, but it took me 9 months to even think about things differently to recognize I needed a change in perspective to accomplish my north star.
Thank you! I needed this!!
You're welcome, Amy!