The Solvable Problem: Your North Star for 2025

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A man looking ahead to a road that points upwards to a North Star

Every great business decision starts with clarity.

As a business owner, you're no stranger to setting goals. But do those goals reflect what you truly want from your business and life? Or are external pressures like industry norms, competitive benchmarks, or societal expectations shaping them? Enter the Solvable Problem-a simple yet transformative concept that acts as your compass, ensuring every decision brings you closer to your desired life and business.


What Is the Solvable Problem?

As its core, the Solvable Problem defines what success looks like for you. It's not a vague ambition or a list of arbitrary targets. It's a measurable outcome that aligns with your values, priorities, and vision. For example, your Solvable Problem might be:


  • Generating a $500,000 annual income while maintaining a 25-hour workweek.
  • Expanding your business to five new markets without sacrificing quality of service or your well-being.
  • Building a business that provides long-term financial security for your family.


By defining your Solvable Problem, you establish a framework that simplifies decision-making and eliminates distractions. It's the ultimate antidote to the chaos of "more".


Why Every Business Needs a North Star

Without a clear, Solvable Problem, you risk chasing what everyone else is chasing-revenue growth, market share, or accolades that may not serve your long-term goals. This leads to burnout, frustration, and a sense of unfulfilled potential.


Consider this analogy: If your business were a ship, the Solvable Problem would be the destination on your map. Without it, you might sail aimlessly, burning through resources and time without reaching a meaningful port.


Defining Your Solvable Problem

  1. Start with the End in Mind
    Ask yourself, "What do I truly want from my business?" Think about the lifestyle you want to lead, the legacy you want to leave, and the impact you want to make.
  2. Make it Measurable
    Your Solvable Problem should be specific and quantifiable. For example, "Achieving financial freedom" is too broad, but "Paying off $1M in debt by 2027 while maintaining a profit margin of 20%" is actionable.
  3. Align with Your Values
    Your business should serve your life-not the other way around. Ensure your Solvable Problem reflects your priorities, whether spending more time with family, pursuing a passion project, or supporting your community.
  4. Revisit and Refine
    Your Solvable Problem isn't set in stone. As your circumstances and goals evolve, revisit and adjust it to align with your vision.


Real-World Application

A thriving retail business owner, one of our clients, felt trapped in a cycle of endless growth without a clear purpose. After defining their Solvable Problem-to generate $2M in revenue annually while scaling back to 30-hour workweeks-they restructured operations, streamlined product lines, and focused on high-margin items. The result? A more profitable and sustainable business aligned with their lifestyle goals.


Start Your Journey

At Nth Degree CPAs, we specialize in helping business owners define their Solvable Problem and engineer strategies to achieve it. Our approach ensures every decision is intentional, focused, and impactful.



Are you ready to define your North Star for 2025? Let's chart the course together. Schedule a consultation today.

Dan Nicholson • January 10, 2025

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