Growth Strategies
for small business
Orange Office Los Angeles Office
growth@cpsphere.com 17215 Studebaker Rd. Suite 390
Cerritos, CA 90703
5777 W. Century Blvd. Suite 1500
Los Angeles, CA 90045
PARTNERS IN SUSTAINABLE GROWTH
www.cpSphere.com P: 1.562.860.8637 P: 1.310.645.0707

GROWING
YOUR
BUSINESS
IS
JUST
LIKE…
Orange Office Los Angeles Office
growth@cpsphere.com 17215 Studebaker Rd. Suite 390
Cerritos, CA 90703
5777 W. Century Blvd. Suite 1500
Los Angeles, CA 90045
PARTNERS IN SUSTAINABLE GROWTH
www.cpSphere.com P: 1.562.860.8637 P: 1.310.645.0707

… LOSING WEIGHT.
Orange Office Los Angeles Office
growth@cpsphere.com 17215 Studebaker Rd. Suite 390
Cerritos, CA 90703
5777 W. Century Blvd. Suite 1500
Los Angeles, CA 90045
PARTNERS IN SUSTAINABLE GROWTH
www.cpSphere.com P: 1.562.860.8637 P: 1.310.645.0707

The secret formula for losing weight is:
EAT HEALTHY,
EAT LESS,
AND
EXERCISE
Orange Office Los Angeles Office
growth@cpsphere.com 17215 Studebaker Rd. Suite 390
Cerritos, CA 90703
5777 W. Century Blvd. Suite 1500
Los Angeles, CA 90045
PARTNERS IN SUSTAINABLE GROWTH
www.cpSphere.com P: 1.562.860.8637 P: 1.310.645.0707

WHAT IS THE SECRET FORMULA
FOR SMALL BUSINESS GROWTH?
Orange Office Los Angeles Office
growth@cpsphere.com 17215 Studebaker Rd. Suite 390
Cerritos, CA 90703
5777 W. Century Blvd. Suite 1500
Los Angeles, CA 90045
PARTNERS IN SUSTAINABLE GROWTH
www.cpSphere.com P: 1.562.860.8637 P: 1.310.645.0707

The secret formula to grow your business is:
GENERATE DEMAND AND
SERVICE IT PROFITABLY
Orange Office Los Angeles Office
growth@cpsphere.com 17215 Studebaker Rd. Suite 390
Cerritos, CA 90703
5777 W. Century Blvd. Suite 1500
Los Angeles, CA 90045
PARTNERS IN SUSTAINABLE GROWTH
www.cpSphere.com P: 1.562.860.8637 P: 1.310.645.0707

Quick Survey
What does Growth Mean to You?
 Increase in Sales / Revenue
 Increase in Market Share
 New Products
 More Employees, Equipment, Plants
 Mergers / Acquisitions
 All of the above
Orange Office Los Angeles Office
growth@cpsphere.com 17215 Studebaker Rd. Suite 390
Cerritos, CA 90703
5777 W. Century Blvd. Suite 1500
Los Angeles, CA 90045
PARTNERS IN SUSTAINABLE GROWTH
www.cpSphere.com P: 1.562.860.8637 P: 1.310.645.0707

Real growth is:
INCREASE IN THE CASH YOU KEEP
=
INCREASE IN PROFIT
Orange Office Los Angeles Office
growth@cpsphere.com 17215 Studebaker Rd. Suite 390
Cerritos, CA 90703
5777 W. Century Blvd. Suite 1500
Los Angeles, CA 90045
PARTNERS IN SUSTAINABLE GROWTH
www.cpSphere.com P: 1.562.860.8637 P: 1.310.645.0707

PROFIT = REVENUE – EXPENSES
Orange Office Los Angeles Office
growth@cpsphere.com 17215 Studebaker Rd. Suite 390
Cerritos, CA 90703
5777 W. Century Blvd. Suite 1500
Los Angeles, CA 90045
PARTNERS IN SUSTAINABLE GROWTH
www.cpSphere.com P: 1.562.860.8637 P: 1.310.645.0707

REAL = REVENUE – EXPENSES
PROFIT INVESTMENT
This formula is called Return on Invested Capital (ROIC)
Orange Office Los Angeles Office
growth@cpsphere.com 17215 Studebaker Rd. Suite 390
Cerritos, CA 90703
5777 W. Century Blvd. Suite 1500
Los Angeles, CA 90045
PARTNERS IN SUSTAINABLE GROWTH
www.cpSphere.com P: 1.562.860.8637 P: 1.310.645.0707

INCREASING PROFIT WHILE KEEPING
INVESTMENT CONSTANT IS:
THE HOLY GRAIL OF BUSINESS
Orange Office Los Angeles Office
growth@cpsphere.com 17215 Studebaker Rd. Suite 390
Cerritos, CA 90703
5777 W. Century Blvd. Suite 1500
Los Angeles, CA 90045
PARTNERS IN SUSTAINABLE GROWTH
www.cpSphere.com P: 1.562.860.8637 P: 1.310.645.0707

SO,
LET’S START OUR QUEST FOR THE
HOLY GRAIL WITH A STORY…
Orange Office Los Angeles Office
growth@cpsphere.com 17215 Studebaker Rd. Suite 390
Cerritos, CA 90703
5777 W. Century Blvd. Suite 1500
Los Angeles, CA 90045
PARTNERS IN SUSTAINABLE GROWTH
www.cpSphere.com P: 1.562.860.8637 P: 1.310.645.0707

This is the story of:
MIKE,
AN AMBITIOUS ENTREPRENEUR LIKE SIR RICHARD
Orange Office Los Angeles Office
growth@cpsphere.com 17215 Studebaker Rd. Suite 390
Cerritos, CA 90703
5777 W. Century Blvd. Suite 1500
Los Angeles, CA 90045
PARTNERS IN SUSTAINABLE GROWTH
www.cpSphere.com P: 1.562.860.8637 P: 1.310.645.0707

Mike’s business is:
MIKE’S GREEN POWER INC
PLUG INTO THE POWER OF THE SUN
AND
DISCOVER THE CLEAN BENEFITS
Flash Light Battery Charger
Everlite - Compact Solar Light Everlite - Mini Solar Light
Headlamp Cell Phone Charger
Orange Office Los Angeles Office
growth@cpsphere.com 17215 Studebaker Rd. Suite 390
Cerritos, CA 90703
5777 W. Century Blvd. Suite 1500
Los Angeles, CA 90045
PARTNERS IN SUSTAINABLE GROWTH
www.cpSphere.com P: 1.562.860.8637 P: 1.310.645.0707

ONE DAY, MIKE GETS A CALL:
“Mike, it’s Joe from cpSphere. How are you?”
“Great, Joe, great.”
Orange Office Los Angeles Office
growth@cpsphere.com 17215 Studebaker Rd. Suite 390
Cerritos, CA 90703
5777 W. Century Blvd. Suite 1500
Los Angeles, CA 90045
PARTNERS IN SUSTAINABLE GROWTH
www.cpSphere.com P: 1.562.860.8637 P: 1.310.645.0707

Current Income Statement
Revenue 5,000,000 100%
Direct Costs 3,000,000 60%
Gross Margin 2,000,000 40%
Overhead 1,000,000 20%
Profit 1,000,000 20%
Last Year’s Profit: $800,000
Increase in Profit: 25%
So, Mike’s business does look like it’s in great shape.
But is it?
Orange Office Los Angeles Office
growth@cpsphere.com 17215 Studebaker Rd. Suite 390
Cerritos, CA 90703
5777 W. Century Blvd. Suite 1500
Los Angeles, CA 90045
PARTNERS IN SUSTAINABLE GROWTH
www.cpSphere.com P: 1.562.860.8637 P: 1.310.645.0707

Last year’s investment : $300,000
BUT: $300,000 GENERATED ONLY
$200,000 IN INCREASED PROFIT
Orange Office Los Angeles Office
growth@cpsphere.com 17215 Studebaker Rd. Suite 390
Cerritos, CA 90703
5777 W. Century Blvd. Suite 1500
Los Angeles, CA 90045
PARTNERS IN SUSTAINABLE GROWTH
www.cpSphere.com P: 1.562.860.8637 P: 1.310.645.0707

PROFIT CENTER ANALYSIS
Profit Center 1 Profit Center 2
Avg. Unit Price 30 20
Units Sold 60,000 60,000
Revenue 1,800,000 100% 1,200,000 100%
Direct Costs 1,350,000 75% 450,000 37.5%
Gross Margin 450,000 25% 750,000 62.5%
Overhead 300,000 16.7% 300,000 25%
Profit 150,000 8.3% 450,000 37.5%
Orange Office Los Angeles Office
growth@cpsphere.com 17215 Studebaker Rd. Suite 390
Cerritos, CA 90703
5777 W. Century Blvd. Suite 1500
Los Angeles, CA 90045
PARTNERS IN SUSTAINABLE GROWTH
www.cpSphere.com P: 1.562.860.8637 P: 1.310.645.0707

SEEK GOOD GROWTH
&
AVOID BAD GROWTH
• Develop an effective way to model and test new products
• Identify the best products and customers
• Understand where to focus your efforts in sales, marketing, and investment
Orange Office Los Angeles Office
growth@cpsphere.com 17215 Studebaker Rd. Suite 390
Cerritos, CA 90703
5777 W. Century Blvd. Suite 1500
Los Angeles, CA 90045
PARTNERS IN SUSTAINABLE GROWTH
www.cpSphere.com P: 1.562.860.8637 P: 1.310.645.0707

…AND EXECUTE YOUR STRATEGY, BECAUSE, ACCORDING TO FORTUNE MAGAZINE:
“ONLY 10% OF STRATEGIES ARE
EXECUTED SUCCESSFULLY.”
But Mike is different.
He gets things done.
He took his idea and really ran with it.
Orange Office Los Angeles Office
growth@cpsphere.com 17215 Studebaker Rd. Suite 390
Cerritos, CA 90703
5777 W. Century Blvd. Suite 1500
Los Angeles, CA 90045
PARTNERS IN SUSTAINABLE GROWTH
www.cpSphere.com P: 1.562.860.8637 P: 1.310.645.0707

Now, a few months have passed, and Mike has
generated a noticeable increase in both his top line
and profit, while keeping investment constant.
But he has a problem, so he gives Joe a call:
“MY PRODUCTS AREN’T
SELLING IN HIGH END STORES!”
Orange Office Los Angeles Office
growth@cpsphere.com 17215 Studebaker Rd. Suite 390
Cerritos, CA 90703
5777 W. Century Blvd. Suite 1500
Los Angeles, CA 90045
PARTNERS IN SUSTAINABLE GROWTH
www.cpSphere.com P: 1.562.860.8637 P: 1.310.645.0707

Basic Pricing Structure
3 Elements
Direct Cost $3
Overhead $1
Profit $1
SELLING PRICE $5
Other Pricing Considerations:
• Customers
• Distribution Channels
• Competition
• Internal Compatibility
Orange Office Los Angeles Office
growth@cpsphere.com 17215 Studebaker Rd. Suite 390
Cerritos, CA 90703
5777 W. Century Blvd. Suite 1500
Los Angeles, CA 90045
PARTNERS IN SUSTAINABLE GROWTH
www.cpSphere.com P: 1.562.860.8637 P: 1.310.645.0707

Price is a reflection of perceived
value:
DEFINE YOUR VALUE
PROPOSITION,
BUILD BRAND IDENTITY,
AND
INCREASE THE VALUE OF
YOUR
PRODUCTS / SERVICES
Orange Office Los Angeles Office
growth@cpsphere.com 17215 Studebaker Rd. Suite 390
Cerritos, CA 90703
5777 W. Century Blvd. Suite 1500
Los Angeles, CA 90045
PARTNERS IN SUSTAINABLE GROWTH
www.cpSphere.com P: 1.562.860.8637 P: 1.310.645.0707

A few more months have passed…
SALES ARE DOWN!
Orange Office Los Angeles Office
growth@cpsphere.com 17215 Studebaker Rd. Suite 390
Cerritos, CA 90703
5777 W. Century Blvd. Suite 1500
Los Angeles, CA 90045
PARTNERS IN SUSTAINABLE GROWTH
www.cpSphere.com P: 1.562.860.8637 P: 1.310.645.0707

“So, Mike,” Joe asks:
“Is your sales force focused on finding out
what your company can do for its
customers?”
“ Are territories too big or too small?”
“ If it’s organized now on a geographic basis,
should your sales force be reconfigured by
industry sector instead?”
Orange Office Los Angeles Office
growth@cpsphere.com 17215 Studebaker Rd. Suite 390
Cerritos, CA 90703
5777 W. Century Blvd. Suite 1500
Los Angeles, CA 90045
PARTNERS IN SUSTAINABLE GROWTH
www.cpSphere.com P: 1.562.860.8637 P: 1.310.645.0707

SALES FORCE ASSESSMENT TOOL
Ranking Sales Commissions
Salesperson (1 – 10) ($) ($)
Orange Office Los Angeles Office
growth@cpsphere.com 17215 Studebaker Rd. Suite 390
Cerritos, CA 90703
5777 W. Century Blvd. Suite 1500
Los Angeles, CA 90045
PARTNERS IN SUSTAINABLE GROWTH
www.cpSphere.com P: 1.562.860.8637 P: 1.310.645.0707

SALES FORCE ASSESSMENT TOOL
Ranking Sales Commissions
Salesperson (1 – 10) ($) ($)
David 9
Steve 7
Craig 5
Jackie 4
Michael 3
Allison 2
Orange Office Los Angeles Office
growth@cpsphere.com 17215 Studebaker Rd. Suite 390
Cerritos, CA 90703
5777 W. Century Blvd. Suite 1500
Los Angeles, CA 90045
PARTNERS IN SUSTAINABLE GROWTH
www.cpSphere.com P: 1.562.860.8637 P: 1.310.645.0707

SALES FORCE ASSESSMENT TOOL
Ranking Sales Commissions
Salesperson (1 – 10) ($) ($)
David 9 900,000
Steve 7 700,000
Craig 5 500,000
Jackie 4 200,000
Michael 3 100,000
Allison 2 50,000
Sales people with a ranking of 5 and above
can be trained to become superstars.
So you should train them!
Orange Office Los Angeles Office
growth@cpsphere.com 17215 Studebaker Rd. Suite 390
Cerritos, CA 90703
5777 W. Century Blvd. Suite 1500
Los Angeles, CA 90045
PARTNERS IN SUSTAINABLE GROWTH
www.cpSphere.com P: 1.562.860.8637 P: 1.310.645.0707

A top notch sales team is a must for top line growth:
IMPLEMENT A SALES PROCESS
A well defined and well executed sales process will help you to create a steady revenue stream, and
therefore, reliable sales forecasts, so that you can get out of fire fighting mode, plan the future
intelligently, and operate profitably.
Orange Office Los Angeles Office
growth@cpsphere.com 17215 Studebaker Rd. Suite 390
Cerritos, CA 90703
5777 W. Century Blvd. Suite 1500
Los Angeles, CA 90045
PARTNERS IN SUSTAINABLE GROWTH
www.cpSphere.com P: 1.562.860.8637 P: 1.310.645.0707

CREATE A STRATEGIC GROWTH BUDGET
• Send a clear signal to employees that you
are committed to top line growth
• Centralize and prioritize all growth
activities
• Measure results / return on investment
Orange Office Los Angeles Office
growth@cpsphere.com 17215 Studebaker Rd. Suite 390
Cerritos, CA 90703
5777 W. Century Blvd. Suite 1500
Los Angeles, CA 90045
PARTNERS IN SUSTAINABLE GROWTH
www.cpSphere.com P: 1.562.860.8637 P: 1.310.645.0707

FUND THE GROWTH BUDGET
• Reduce expenses
• Shift resources from shrinking products and
markets
• Reallocate budgets
• Utilize outside financing
Orange Office Los Angeles Office
growth@cpsphere.com 17215 Studebaker Rd. Suite 390
Cerritos, CA 90703
5777 W. Century Blvd. Suite 1500
Los Angeles, CA 90045
PARTNERS IN SUSTAINABLE GROWTH
www.cpSphere.com P: 1.562.860.8637 P: 1.310.645.0707

Jose’s Quest is Over SO, WITH JOE’S ADVICE,
MIKE FOUND
THE HOLY GRAIL.
He understood what were the most critical
growth strategies and actions:
• Create a focus
• Define a clear value proposition for customers—
and reflect it through branding and pricing
• Build a top notch sales team
• Implement a sales process
• Create a growth budget
• Avoid bad growth
And he understood what growth really means:
• Real profit (ROIC)
Orange Office Los Angeles Office
growth@cpsphere.com 17215 Studebaker Rd. Suite 390
Cerritos, CA 90703
5777 W. Century Blvd. Suite 1500
Los Angeles, CA 90045
PARTNERS IN SUSTAINABLE GROWTH
www.cpSphere.com P: 1.562.860.8637 P: 1.310.645.0707

YOU SEE, GROWING YOUR BUSINESS
IS JUST LIKE LOSING WEIGHT.
LOSING WEIGHT GROWING YOUR BUSINESS
Select a healthy diet Find the opportunities, and focus
Begin the right exercise program Define a custom growth plan
Stick to it Execute
AND WHAT’S THE BEST WAY TO LOSE
WEIGHT?
Orange Office Los Angeles Office
growth@cpsphere.com 17215 Studebaker Rd. Suite 390
Cerritos, CA 90703
5777 W. Century Blvd. Suite 1500
Los Angeles, CA 90045
PARTNERS IN SUSTAINABLE GROWTH
www.cpSphere.com P: 1.562.860.8637 P: 1.310.645.0707

Weight Watchers is the most successful weight loss program:
Their secret is social interaction.
SO DON’T TRY TO GROW YOUR BUSINESS ALONE:
YOU WILL HAVE A BETTER CHANCE OF
SUCCESS WORKING WITH YOUR TEAM
AND A TRUSTED ADVISOR.
Orange Office Los Angeles Office
growth@cpsphere.com 17215 Studebaker Rd. Suite 390
Cerritos, CA 90703
5777 W. Century Blvd. Suite 1500
Los Angeles, CA 90045
PARTNERS IN SUSTAINABLE GROWTH
www.cpSphere.com P: 1.562.860.8637 P: 1.310.645.0707

WOULD YOU LIKE TO DOUBLE YOUR
SALES IN NEXT 4 MONTHS?
Sign up for:
120 Days Business Growth Program
GUARANTEED RESULTS!
FEE: $2,500 +
% of increase in sales
Call: 1.310.645.0707 or Email: growth@cpsphere.com
Orange Office Los Angeles Office
growth@cpsphere.com 17215 Studebaker Rd. Suite 390
Cerritos, CA 90703
5777 W. Century Blvd. Suite 1500
Los Angeles, CA 90045
PARTNERS IN SUSTAINABLE GROWTH
www.cpSphere.com P: 1.562.860.8637 P: 1.310.645.0707

cpSphere has delivered an average 20% minimum bottom
line improvement for our clients.
cpSphere is the leading management consulting company working
to create, deploy and execute growth strategies for small and
Client Testimonials:
mid size businesses.
If you want quick results, combined with continuous
improvement, cpSphere is definitely your partner for success.
President.
Food & Beverage Company
I would recommend the personnel and the methodology of
cpSphere to any business owner who wants to grow quickly
and cost effectively.
CEO
Manufacturing Company
Orange Office Los Angeles Office
growth@cpsphere.com 17215 Studebaker Rd. Suite 390
Cerritos, CA 90703
5777 W. Century Blvd. Suite 1500
Los Angeles, CA 90045
PARTNERS IN SUSTAINABLE GROWTH
www.cpSphere.com P: 1.562.860.8637 P: 1.310.645.0707