Article Building Businesses7 min read

The best strategy might be to stop doing something

Revenue is not automatically good revenue. That sentence is much easier to say after you have said no than while you are staring at the forecast.

The best strategy might be to stop doing something

Last year we turned down roughly £40,000 of work.

I would love to tell you I did that with complete calm because I am a disciplined founder who always puts strategy before revenue.

I did not.

There is a particular discomfort in saying no to work when you can see the number sitting there. Revenue makes itself very persuasive. It can pay salaries, fund growth and make a forecast look considerably friendlier.

The problem is that not all revenue behaves the same once it enters the business.

Bad-fit work has a second invoice

The obvious invoice is the one the client pays you.

The second invoice is the cost the business pays for delivering work that should never have been sold.

It shows up in extra meetings, unclear expectations, endless revisions, senior people being pulled into avoidable problems, a team losing confidence and other clients getting less attention because one account is consuming everything around it.

Sometimes the account is still technically profitable. It can still be expensive in ways the P&L does not immediately show.

I have learned to take that cost more seriously.

The danger signs usually arrive before the contract

Most bad-fit work does not become bad-fit work by surprise.

There are usually clues.

  • The client wants a tactic but has no interest in the business problem underneath it.
  • Success has been defined in a way nobody can reasonably control.
  • The budget and expectation are miles apart.
  • The relationship already feels adversarial before the work has begun.
  • They are buying because they want certainty from something that is inherently uncertain.
  • We are saying yes because the number is attractive, not because we believe we are the right people to help.

Any one of those can be workable. A stack of them is usually trying to tell you something.

Saying no is not noble if you do it carelessly

There is a fashionable founder version of this story where turning work down becomes a badge of honour.

That can become just as silly as chasing every opportunity.

A business needs revenue. Teams need stability. You cannot build a healthy company by dramatically refusing anything that feels less than perfect.

The point is not to become precious. The point is to understand what kind of work your business is designed to do well, then take fit seriously enough that you do not undermine the business trying to make the top line look better.

Sometimes that means reshaping the scope rather than rejecting it. Sometimes it means referring the prospect to somebody else. Sometimes it means saying, 'Not yet.' Sometimes it really does mean saying no.

What changed for us

The biggest shift was putting strategy before the sale.

Early in agency life, it is very easy to sell what somebody asks for. They ask for SEO, you sell SEO. They ask for ads, you sell ads. It feels helpful because you are giving them exactly what they requested.

The problem is that a requested tactic and a useful solution are not always the same thing.

Now I want the first conversation to be about the business. What are you trying to achieve? What is getting in the way? Why now? What happens if nothing changes? What would a good result actually look like?

Only then does the channel conversation become useful.

That process sometimes reveals that the thing we could invoice is not the thing the client needs. That can reduce short-term revenue. It also stops us starting relationships with a lie we would have to maintain for twelve months.

Opportunity cost is real, even when you cannot see it

Every yes uses capacity.

That means a poor-fit £10,000 project is not only a £10,000 project. It is also the time your team cannot spend on a better client, improving a process, building a product, creating content, developing somebody internally or simply doing the existing work properly.

The hardest part is that the alternative opportunity is often invisible at the moment you say no.

You can see the £10,000 you are rejecting. You cannot see the thing that might arrive in six weeks because you kept the space.

That is why this is a strategy decision rather than a financial calculation alone.

The question I use now

Not pleased on proposal day. Not pleased when the first invoice is paid. Pleased six months into doing the actual work.

Will the client still feel like a good fit? Will the team be doing work we are proud of? Will the commercial model still make sense? Will the relationship let us do the job properly?

You cannot know for certain. But the question forces you to imagine the work after the excitement of winning it has disappeared.

Turning down £40,000 of work did not make me feel clever.

It made me more aware that one of the founder's jobs is protecting the business from revenue that arrives with too many hidden costs.

Saying yes grows the top line.

Knowing what to say no to grows something harder to measure: the quality of the business you are actually building.


Rob Curtis runs The Pursuit Agency, co-founded MyMarketr.io and wrote Managing Marketing's Messy Middle.

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