Title - The benefits of standardised services Tags - businesssystems exitstrategy
Customised services can take a long time deliver, are prone to project creep, and can cause cash flow issues if you’re not paid until completion.
So even though some customers want customised services, businesses are much healthier when they offer standardised (or productised) services.
With standardised services:
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You get paid upfront - because the customer knows what to expect from the final product; they know exactly what they are paying for (like a product).
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It’s easier to sell (so more valuable) - the positive cash flow that comes from selling standardised services is attractive to potential business buyers because it reduces the risk of unexpected expenses.
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It’s more efficient - it’s much easier to figure out how long it will take to deliver, because you aren’t reliant on the client, and you can therefore allocate resources much more efficiently.
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It’s good for clients - it limits the number of times you have to meet the client to discuss the project so they get to invest their time in higher-yield activites while you produce a great product for them.
[#warrillow2011builttosell]: John Warrillow (2011): Built to Sell: Creating a Business That Can Thrive Without You, Portfolio.