The Power of ‘No’ in Business: Boosting Profits and Happiness

by Sarah Gilliland

As business owners, we’re frequently finding ourselves in a position of juggling multiple responsibilities, all the while trying to keep our clients, customers, vendors and team happy, and definitely ourselves, too! Amidst what can sometimes feel like chaos, one word can become your most powerful ally: “No.” 

Let’s explore how saying “no” to things that don’t work for you can lead to increased profits and happiness for everyone in your business. And don’t worry, I’m not a subscriber to “no is a complete sentence.” This is an art.

The Overcommitment Trap

Business owners all have something in common: you’ll make it work. This gusto can sometimes lead to overcommitment. Saying “yes” to every opportunity, project or request that comes your way can spread your resources thin and, ultimately, harm your business.

Before you say “yes” to an opportunity, ask yourself a few important questions: 

  • Does your business have the capacity to fulfill with a quality you’re proud of?
  • Do you risk neglecting something important to focus on this opportunity?
  • Are you excited about this “yes” or do you just feel like you can’t say no?

Square Peg – Round Hole

Standard operating procedures (SOP’s) are the holy book of your business — they’re how everything is done. They help teams be efficient and are critical for maximizing profitability. An opportunity may be more of a liability if requires your business to divert away from your SOPs. 

While misaligned business may bring in additional revenue, it will also distract your team’s time and energy in a big way. They’ll have to manually create systems that don’t exist in your company just to service this one client. The risk of mistakes and client dissatisfaction now increases as well. Not that your processes can never bend, but it’s important to be aware of how much bend will result in a break. It’s usually best to either bring the client into your systems, or say “no, it’s not a good fit.” 

Energetically Expensive 

Not all money is good money, and not all expenses are on your P&L. Some projects or clients just drain you. It’s not about them being “bad”; you just don’t jive and you can tell!

This is a gut check, so I don’t have a formula rule for you. You just have to be honest with yourself and brave enough to say “no.” Here’s what you have to remember when you take on energetically expensive projects and clients: You lose way more time and opportunity in your business than the minutes you work with that client. You spend time procrastinating to do anything but the project you’re dreading, then you finally spend time on it, then you’re spent. You don’t follow up with the other potential business, you skip the networking event, and you’re out of mental bandwidth for innovation and creating. Don’t let one “yes” be the most expensive money you’ll ever make.

The Art of a Diplomatic ‘No’

Again, I don’t think “no” is a complete sentence. That’s a little weird for business. Here are ways to inform (not negotiate) the “no”: 

  • “While this opportunity feels very exciting to us, we do not have the capacity to take on this project and deliver it by your deadline and with the highest quality. I hope you consider us next time.” 
  • “I hear what you’re needing and your expectation around fulfillment. Our business is structured to deliver our best work in this way __________. If that feels like a good fit for you, we can move forward. Otherwise, I would recommend you continue to interview other companies that work closer to your needs.” 
  • “Based on our communications, it’s clear to me that we aren’t a good fit to work together, so we’ll be declining this project. I truly wish you the best.” 

When you say “yes” to one thing, you say “no” to something else. Be intentional that your “yeses” in business don’t reject your efficiency, profitability and sanity. The greatest profits come to your business when they are well aligned and served by the best version of you and your team. 

Sarah Gilliland is the founding attorney of Rising Brand Legal and The Legal Shoppe.`

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