Transform Your Business with an Annual Client Audit

The Mission Driven Business Podcast

Understanding your client relationships is more crucial than ever in today’s fast-paced business environment. The Annual Client Audit is a powerful tool that can help you gain clarity on your client base, enhance your business relationships, and ultimately drive growth. In this episode, Brian Thompson focuses on how a thoughtful client audit can transform your business. He emphasizes that this process is not about hastily cutting ties with clients but rather about thoughtfully evaluating client relationships to enhance business growth and personal well-being with a simple three-step process

 

The Importance of a Client Audit

The concept of an Annual Client Audit may seem uncomfortable at first, but it can lead to significant positive changes in your business. Brian shares a compelling story about a client who went from burn out to a newfound clarity and joy in his work, and even an increase in revenue through higher charges to those valuable clients. Not all revenue is created equal. Some clients energize you, while others leave you questioning your business decisions.

 

Identifying your Ideal Clients

Every client interaction teaches you something valuable. Brian encourages business owners to reflect on their client relationships by asking key questions: Who energizes you? Who pays on time? Who respects your boundaries? Conversely, who causes anxiety when they reach out? This reflection is crucial for defining your ideal client and shaping your marketing strategy.

 

A Simple Three-Step Process for Your Client Audit

To conduct an effective Annual Client Audit, Brian outlines a straightforward three-step process:

  1. Make a List: Document every client you’ve worked with over the past year.
  2. Score: Rate each client on a scale from one to five based on criteria such as revenue, energy drain, alignment with your mission, ease of communication, enjoyment of the work, and whether they are worth the effort.
  3. Categorize: Group clients into three categories – Core Clients (those you would clone), Neutral Clients (acceptable but not ideal), and Drain Clients (high maintenance and misaligned).

This structured approach allows you to make informed decisions about which clients to keep, develop, or let go, ultimately leading to a more fulfilling business.

 

Your action step to understanding your client base

Set aside 30-60 minutes and go through the Annual Client Audit process. Use it to reset your client relationships and start the year with clarity and confidence. If you’ve already done your year-end financial review, this is your next step to align your time and energy with your vision.

 

Resources + Links

 

About Brian and the Mission Driven Business Podcast

Brian Thompson, JD/CFP®, is a tax attorney and Certified Financial Planner® who specializes in providing comprehensive financial planning to LGBTQ+ entrepreneurs who run mission-driven businesses. The Mission Driven Business podcast was born out of his passion for helping social entrepreneurs create businesses with purpose and profit.

On the podcast, Brian talks with diverse entrepreneurs and the people who support them. Listeners hear stories of experiences, strength, and hope and get practical advice to help them build businesses that might just change the world, too.