Share the Profits

A small business can't afford some of the expensive perks and benefits that a big corporate company can but there are ways to share the business success with your staff. If your business is doing OK or better, consider sharing some of the profits with employees. You can take 10% to 20% of your profits and put in an account or fund quarterly that will be distributed or given to employees either yearly or every 6 months or whenever timetable you select. They can be divided by years of service, performance or other criteria you choose. Checks can be given out at a special pizza party, regular meeting or just included in their paycheck.

Sharing your profits will make everyone aware that their performance, customer service, attendance and working as a team will pay off. They will feel part of the business, not just another employee who can be replaced. Their productivity should rise as well as how they treat your customers who they need to come back. As the business gets bigger and better the profits will increase as well. This will also reduce turnover some because they know there is more than a paycheck if they stay and do a great job. The employee wins, the business owner wins, the customer wins and the comapny pays less tax on profits.

Barry is a marketing and customer satisfaction speaker and author. www.idealetter.com