Profits could be used to fund various initiatives from supporting a charity to improving the lives of the farmers who supply your company with its tobacco. Read more about developing a CSR plan for your tobacco business by clicking here.
4. Invest in Your Time
Time is the most valuable asset a business has and yet often the most ignored. As famed American management consultant Peter Drucker once said, “Do what you do best, and outsource the rest.” Using profits to outsource tasks that drain you of your time and take you away from what you do best could be the smartest business move you could make. Perhaps it means hiring an accountant, a broker, a patent lawyer or an intern to take care of small tasks. “When you hire the right people you really get a return on investment,” says Sean Knutsen, President and CEO of Boveda, Inc.
Identify what you’re spending a lot of time doing and if it’s not your or your team’s strength, stop wasting time on it and use your profits to hire a professional to take care of it for you.
5. Create a Compliance Fund
It’s safe to assume the cost to do business in the tobacco sector is only going to get more expensive based on the U.S. Food and Drug Administration’s (FDA) User Fee Schedule for 2018 and the years to come [click here to read more]. For this reason, if your company doesn’t have a compliance fund setup to handle the many FDA compliance steps, you can’t afford not to set aside your profits in a special account dedicated to staying compliant and in business.
For more marketing and business tips for tobacco businesses, be sure to bookmark tobaccobusiness.com and follow us on Facebook and Twitter @tobaccobizonline.
– Story by Antoine Reid, an editor and digital content director for Tobacco Business Magazine. You can follow him on Instagram @editor.reid
