Small businesses are, by definition, limited by the number of staff they have. While this is by no means a weakness, or even a disadvantage, it does require small businesses to make the most of their available human resources to take on multiple roles within the company.

While a hands on approach is vital for small businesses, owners of such enterprises must be mindful of sharing the burden. In this article we’ll look at why delegation is vital for business growth and how to do it effectively.

By effectively delegating, small businesses can achieve further growth.By effectively delegating, small businesses can achieve further growth.

You can’t expand business without expanding human resources

“If you want to double your business, it’s physically impossible unless you get at least one more person who you can train, who you can mentor, who you can delegate to. Only then can you go after the new stuff,” says DBS Accountants founder Rajeev Dixit.

Mr Dixit has seen his fair share of small business owners in Bankstown struggle to grow, simply because they can’t let go and share responsibility.

“Many owners think they’re the best person to do the job – which may be true – it stops them from growing because there are only so many hours in a day. One of the biggest roadblocks for small businesses is not having a strategy or structure that allows for delegation,” says Mr Dixit.

The difference between delegation and abdication

One of the biggest roadblocks for small businesses is not having a structure that allows for delegation.

Perhaps one barrier preventing small business owners from ‘letting go’ is not understanding the fine line between delegation and abdication.

“Effective delegation is not simply giving the task to someone else. When you simply hand over a task to someone else and forget about it you are abdicating,” says business mentor Rueben Taylor speaking to Octomedia.

It may be that some owners are reluctant to delegate without fully realising this distinction. It’s understandable that people want to avoid abdicating important tasks like payroll and bookkeeping, so understanding how to properly delegate help remove some of this resistance.

Here’s a checklist to ask yourself whether or not you’re effectively delegating:

  • Have you provided specific, clear instructions that can be repeated back to you?
  • Is it clear that the person has understood your instructions and expectations?
  • Have you set a reasonable timeframe or follow up for the completion of the task?
  • Are you reviewing the process once the task has been completed?
  • Have you left yourself open to communication and feedback throughout the task?

By ensuring these questions have been answered, you can have the confidence that you’re not simply offloading important tasks to someone else.

To find out more, get in touch with the team at DBS Accountants today.