Asked to describe their sales process, many owners describe their sales behaviour: an enquiry arrives, they speak to the person, they send something over, they chase a bit, and sometimes it lands.
A sales process is a written, named sequence of stages from first contact to signature, where each stage has a test that must be passed before anybody moves on, and a date attached to the next action. That makes it repeatable, measurable and transferable to somebody who is not you.
What counts as a stage
Owners name stages after things they have done: quote sent, followed up, waiting to hear. Every one of those describes an action by you and tells you nothing about whether the sale is alive.
A stage is a change in the buyer's state, and its exit test is what must be true about them before you move on. For example, write “proposal walked through with the person who signs” rather than “proposal sent”. Write “they have described a problem, agreed roughly what it costs them, and confirmed who else is involved in the decision” rather than “qualified”.
With stages defined this way, every opportunity sits somewhere specific and you can see which stage people fail to get through.
The six stages, and the test at each one
1. Enquiry
Somebody has made contact. The test: you know the source and what they asked for. If you cannot say where an enquiry came from, you cannot decide where the next one should come from.
2. Qualify
The test: right problem, right size, can decide, can pay. This stage also lets you say no early and go and find somebody better.
3. Meet and diagnose
The test: they have said out loud what the problem costs them, and you know the names of everyone involved in the decision. If you leave without both, the stage is not complete.
4. Propose
The test: the proposal has been presented live, never emailed and hoped for. Buyer interest fades within days, so if the proposal takes nine days to write because it is built from scratch every time, you will lose deals.
5. Decide
The test: a yes, a no, or a date. A maybe costs more than a no because it stays in the forecast and consumes attention.
6. Onboard
The test: first value delivered inside thirty days. Sales ends when the buyer is glad they signed, which is where referrals come from.
Why it matters to an owner
First, without stages you have one number, the win rate, and it tells you nothing about where the loss happens. With stages you have five numbers, and you can see which one is worst.
Second, when you want somebody else handling enquiries, a written process is what you hand them.
Third, a buyer will not pay well for a business whose sales function is a person. If everything runs through you, the value of the company drops the moment you consider stepping back.
What fixing a leak is worth
Illustrative arithmetic, not a client. Take a quarter with 100 enquiries, an average first order of £6,500, and this flow: 100 enquiries, 68 qualified, 41 meetings, 30 proposals, 11 wins. That is £71,500 of new business.
The instinctive response is to buy more enquiries. Twenty per cent more, with everything else holding, produces roughly two more wins and £14,300 — and costs whatever the marketing costs.
Now look at the leaks instead. Twenty-seven qualified people never got a meeting booked. Nothing in the system forced a date into a diary. Turn half of those into meetings at the same downstream rates and you add around ten meetings, seven proposals and roughly two and a half wins: about £16,000. Then look at proposals: thirty out, eleven won, 37 per cent. Move that to 50 per cent by presenting proposals live and booking the decision conversation before the proposal is written, and fifteen wins replace eleven. That adds another £26,000 with no additional spend.
In this illustration, two structural changes add roughly £42,000, against £14,300 from buying a fifth more leads.
Where it often breaks
The qualification bar is too low. Everyone who makes contact is treated as a prospect, so the pipeline fills with people who were never going to buy and the business feels busy and hopeful while very little closes.
Nobody has established who decides. You have a good meeting with a person who then has to sell your proposal internally, on your behalf, using notes they took while you talked. They will not do it as well as you would, and you will never find out why it went quiet.
Follow-up is being treated as a stage. If something is in follow-up, the previous conversation ended without a decision or a date, which means the stage before it had no exit test.
How to use it this week
Write the stages on one page
Five or six, no more, named after what has become true for the buyer rather than what you have sent.
Give every stage an exit test
One sentence each. If you cannot write a test, the stage is not real and should be merged with its neighbour.
Count the last three months
Count enquiries, meetings, proposals and wins.
Fix only the biggest single drop
The worst gap is often something small, such as nobody booking a follow-up date while still in the room.
Make one rule and hold it
For example: nothing leaves a meeting without the next date agreed, or no proposal is emailed without a scheduled walk-through.
Run a twenty-minute pipeline review every week
Review by stage, with three questions: what stage is it at, what is the exit test, and what date does the next action have.
Questions to ask yourself
- Out of ten, how confident are you that two people in your business would describe the sales process identically?
- Where exactly did your last ten losses drop out — and do you know?
- How many live opportunities have no next date in a diary right now?
- If you stopped selling personally for a month, what would happen, and what does that tell you about the value of the business?
- Which stage has no exit test, and how long has that been true?
Where this connects
The sales process is core material in Business Coaching. Pair it with The SPIN Cycle, which is what happens inside the diagnose stage, and Social Styles, which explains why the same well-run meeting lands with one buyer and not another.
Get the next one in your inbox
One guide for business owners each week. You can unsubscribe at any time.
Frequently asked questions
How many stages should a sales process have?
Five or six suits most owner-managed businesses. Fewer and the stages are too broad to show you where deals are lost; more and nobody keeps it up to date, so the numbers stop being true. The test is whether each stage has an exit test you can write in one sentence. If you cannot write the test, the stage is not a real change in the buyer's position and should be merged with the one next to it. Name them after what has become true for the buyer, never after what you have sent.
Do I need a CRM to run a sales process?
No. If the stages inside a CRM are named after your admin, it only adds data entry. Write the six stages and their exit tests on one page, count the last three months by hand, and run a twenty-minute weekly review by stage. A spreadsheet carries that perfectly well until the volume hurts. Buy software once the process exists and you know which numbers you want it to show you, because then you are automating something that already works.
What should I do about all the maybes sitting in my pipeline?
Force each one to a yes, a no, or a specific date, and accept that a no is a better outcome than a maybe. A maybe stays in the forecast, consumes attention and lets everybody feel busy, so it costs more than a clean loss. Go through the list and ask what the exit test was for the stage each one is sitting in, because a maybe almost always means an earlier conversation ended without a decision or a date. Then apply one rule going forward: nothing leaves a meeting without the next date agreed in the room.