Benchmarking your business

Benchmarking your business is a way of measuring your performance against similar-sized businesses in your industry. It gives you essential information about how you can improve your business.

There are many ways to benchmark your business. You could:

  • buy financial benchmarking data to
    • compare your business's income, expenses and profitability against your industry averages
    • examine the financial data of similar businesses
  • contact your business or industry association for information about industry standards to measure your performance against
  • research and compare your business's products, services and practices with your competitors.

Benchmarking helps you to:

  • see where you can reduce costs and improve efficiency
  • assess the productivity of your business compared to how many employees you have
  • identify opportunities for improvement, new ideas and innovative practices
  • highlight opportunities for making your business more competitive
  • forecast the impact of any changes and see how to prepare for growth.

This guide will show you how to benchmark your business.