Entrepreneurs are scrappy and resourceful individuals, but doing everything internally create pockets of inefficiencies and costs that you may not see upfront.
Opportunity Costs
There are a myriad of non-core business processes that suck time and attention. This pulls you away from revenue-generating tasks that are essential to pay the bills. Marketing and back office don't generate direct revenue, but they require valuable time. Sure, you'll get your taxes sorted out, but that won't matter if you can't pay the office rent.Efficiency Costs
It's difficult to be effective when you're pulled in different directions. Bureaucracy also hinders efficiency because of all the hoops your top talent needs to jump through to push a single idea. The DIY approach, while commendable, also hinders efficiency because let's face it - you're not good at everything. This also prevents you from acquiring strategic partners that can provide knowledge and capabilities to fast track your growth.Accountability Costs
Figuring out what went wrong - and who did it - is time consuming. Running day to day operations mean doing a hundred of small things to accomplish one goal. This wouldn't be a problem if you weren't a cash strapped SME (possibly with 25 employees working in basement). It pays to get things done. Paying for an excellent service is more practical than keeping an inefficient internal process.You don't need to do everything in-house, especially if it's just slowing you down. Partner up with an expert and delegate tedious work to focus your attention on what matters. Most often, small business owners value money and forget to value their time.
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