Brand like a MBA: The SWOT Analysis for Your Small Business
You know, September has always felt like a second New Year’s to me. Maybe it’s because it seems to mark the ending of something (summer) and the beginning of something else (school, football, a new season of Bob’s Burgers). Maybe it’s just because Earth, Wind, and Fire made a total bop inspired by September.
In any case, that’s why September feels like the perfect time to pause and take inventory of your business strategies--and one of our favorite ways to do that is through a small business SWOT analysis.
A SWOT analysis involves gathering the people who you trust most with your business and working through some simple steps that can lead to incredible insights and chart your next steps. It also involves lists. Where are my list-loving folks? (Yes, I’m raising my hand.)
What is SWOT Analysis?
I mentioned my love of lists, but I’m also a sucker for an acronym--which a SWOT analysis has both of (YAY)! Is efficiency a love language? Asking for a friend.
SWOT stands for Strengths, Weaknesses, Opportunities, and Threats. It's a tool that helps you get a 360-degree view of your business, highlighting areas you’re excelling in and exposing those where you may need some help.
Strengths: Your Business's Strongest Aspects
What do you do well? Like, what do you do really well? Now’s your chance to call those things out and be proud of the ways you’re nailing it. What sets your small business apart? Is it your exceptional customer service, innovative products, or a stellar team? Identify these strengths and celebrate them!
Weaknesses: Tackle Challenges Head-On
We know how great you are, but every business has its less-than-perfect aspects. Do you struggle with marketing, a limited budget, or an inefficient process? Identifying weaknesses allows you to be honest about where your pain points are, and that’s the first step in working towards eliminating them.
Opportunities: Growth Potential
Identifying opportunities is so important because they point to potential and can move you along towards success. What external factors can you leverage to grow your business? Are there emerging trends, untapped markets, or partnerships you could explore?
Threats: Anticipate Stormy Weather
Threats are those external factors that work against you and could even harm your business. Are there market shifts, tough competition, or economic challenges on the horizon? Recognizing threats and identifying them ahead of time means you’ll be prepared.
How to Conduct a SWOT Analysis for Your Small Business
Now that you know the four key elements, let’s take a look at the steps for how to conduct a SWOT analysis for your small business:
Gather Your Team: Having your team together and ready to engage with each other will yield incredible results. Each person brings a different perspective to the table, which is invaluable to a process like this one.
Brainstorm Together: Encourage open dialogue. Ask questions, like "What are we exceptionally good at?" or "Where do we struggle?"
Create Your SWOT Grid: Draw a four-quadrant grid on a whiteboard or paper. Label each quadrant: Strengths, Weaknesses, Opportunities, and Threats.
Fill in the Quadrants: List your findings in the respective quadrants. Be honest and detailed--precision matters.
Set Strategies: After your SWOT analysis, brainstorm strategies to capitalize on strengths, address weaknesses, seize opportunities, and mitigate threats.
Take Action: Implement your strategies. This is the exciting part–the real magic happens when you put your plans into action!
By conducting a SWOT analysis, you're empowering your small business with a clearer vision and a roadmap for success. And if you need a hand, Bell & Whistle Design Studio is here to help guide you on your journey towards small business success. Contact us today and let’s get started!
