If you want to have a successful business, you have to expand and grow the business each year. However, if you are unprepared to handle additional business, your company will never get any larger and you will fail. The best way to increase your business is to build a strong foundation that will hold the extra weight and will not crumble as soon as your business expands. Pay attention to the following areas so that your business is ready for expansion at any moment:
The first step in preparing for growth is actually finding areas to grow. Your network is your biggest tool for expansion. Enlarging your network will automatically prepare your business for growth. Think of it this way, if you know 100 people, then you have a potential 100 customers. But if you know 1000 people, then you already have ten times more potential customers. The larger your network, the more able your business is to grow with very little additional effort on your part. Your network can also hook you up with additional customers in their networks as wel.
Add Additional Staff
What happens if you grow your business but don’t have the staff to handle the additional business? You either lose your existing customers or your new ones. You don’t want that to happen, so make sure you have enough staff to cover any potential expansions. It is important to balance enough staff with the highest possible profit margin, which can vary at different times. In general, you need at least a few extra people when you experience growth, such as when your company moves to become a publically-traded company.
Nothing is worse than expansion without organization. Organization keeps your company in line and makes the transition from small to large company seamless. It doesn’t take much to keep organized, but it can make the difference between a well-run company and one that has to shut down after just a few years. Start organizing properly right from the start to avoid the damaging effects of un-organization.
Prepare Your Office
Prepare your office for the expansion before it happens. This will mean different things depending on the type of company that you have. For example, if you own a business that sells products, you will want to make sure you have extra stock on hand. You will want to have additional office equipment for a business-style company, for example, you will need network equipment. You don’t have to spend a fortune on preparing your office. For example, used foundry equipment is much more affordable than new.
If you run a company, there are a lot of financial issues involved. For example, you have to deal with taxes, insurance, employee pay, paid-time-off, legal fees, and a whole host of other financial issues. Many companies do not have a solid financial plan in place, but if you do not, then you will flounder the instant your company expands. Make sure you create a financial plan ahead of time to prepare for expansion and growth.
The above tips will help you uncover the keys to expansion and help you prevent the growing pains often associated with expanding a business. You may find that expanding your business is easy and you have nothing to worry about when you follow the tips outlined above.