Any small business owner likes the idea of growing their company and increasing profits. However, sometimes “growth” can lead to the opposite problem: it drains money and resources from the company. Before they know it, they’ve sunk a lot of money into a venture that may or may not work, and they’ve also compromised their core business performance. If you’re thinking of growing, make sure your fundamental business operations don’t suffer. Below, we’ve put together five tips to make sure that doesn’t happen.
Set Aside Funds
You’re going to need a pretty clear idea about how you’re going to grow and how much it is going to cost. Without these factors taken care of, you’re liable to hemorrhage money – and what’s worse, you might not even get anything for the cash you’ve spent. By creating a budget and figure how much the steps you’ll take are going to cost, you can prevent getting into difficulties further on down the line. Obviously, your budget should not cut into the budget you need to match your current standard of business output. You definitely don’t want that to suffer!
Bring in More People
You’d like the workers you currently have to spearhead your growth, but you’ll have to make sure you’re bringing in more workers to meet the greater workload needs. If you’re pulling a handful of people from their usual duties to help expand the company, don’t leave those positions unfilled: if they’re important employees, then that’ll mean important work is being left undone. Whether you hire temporary staff or full-time replacements will depend on the nature of your growth. Whatever you do, make sure you have enough workers for all your operations to be running at full speed.
Have Systems in Place
Bringing in outside help is an invaluable asset for any company with growth ambitions, for a number of reasons. For starters, they can free up time and give you peace of mind. Things like outsourced IT support can give you the secure platform you need to grow, as you’ll no longer need to concern yourself with making sure things are running smoothly in-house. It’ll all be taken care of. It’s also worthwhile outsourcing things like accounting, payroll, and financial advice, as this will give you all the resources of a bigger company, even if you’re not at that level yet.
The key to any growth is research. Fail to do this properly, and you’ll be setting yourself up for a fall. The good thing about researching is that it doesn’t require anywhere near as much manpower as the full-blown growth operation will. Once you’ve conducted your research and are secure that your plan of action is correct, you’ll be able to press forward without the anxiety of thinking you might be making a mistake.
However you plan to grow, start small. There are disadvantages to it. It’ll give you time to test the water and to see whether you’re able to handle the growth without causing any harm to your current standards of business.