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Another concern generated by business owners is how to achieve small business growth. If the moments of turbulence in the first years are left behind and the company begins to see their numbers stabilize, it’s time to keep pushing for the equity that is being built and not remain only “we’re just holding up”. The efforts of every entrepreneur should focus on growth to generate wealth for themselves, for their employees and the community, because in the end all those hardworking people have understand that entrepreneurship is a very difficult road.
And that’s why I want to share my ideas of what are some options that should focus business owners to grow their business. Researching on the internet, I have found many articles with titles such as “X Tips to grow your business,” “How to grow and get ahead on your competition,” but really those articles only mention emotional or technical aspects. For example, “Be strong”, “Have vision”, “Be willing to change.” Undoubtedly , the emotional aspects are an important part in the decisions of any business leader to achieve small business growth, however it is not mentioned what are some of the options one might have to grow.
1. Sell more and better
Quite obvious, right? It is the appropriate and natural way of any small business growth. The efforts of the company’s sales force are one of the main engines. Sales reflect the success or failure of a company. We can have the best location with the best quality product, but if it is not reflected on sales, then there is something to worry about. As a company sees their incombe grow, it is when a company is really succeeding.
This is why every entrepreneur should not ignore the real importance of increasing sales, but also worry about the profit margin they leave to the company. Success in sales can lead to failure if it is not monitored the real sales profit. The profit is the amount of money that will allow the business to achieve new investments in various aspects to support the company growth.
2. Opening a branch store
Sales are stagnant? Perhaps it is time to seek to open a branch. Organic growth of a company is when it begins to expand to other locations. Opening a branch may help increase revenue or maybe not. Generating a new location is to continue working on improving the recognition they have on the company. You can view and place more easily, so it is likely to help you get new customers, or to visit you more current customers.
Having multiple locations will surely increase costs, it is why the opening movement of the securing cover those commitments is made.
3. Looking bank loans for small business growth
What you really need is funding to continue the project? Bank loans are a good option for established businesses. It is easier to get a bank loan to grow the business, rather than to start it. Companies with more than 2 years of operation have such ease to be accepted for bank loan. Also, after that time, Banks start to see you as a potential customer with less risk.
A capital injection to finance various projects can be a great solution. However, remember that it is important to keep a healthy balance of debt, otherwise if it is exceeded it can reach a point of unpayable debt.
4. Diversify your products
You’re very good selling product X? Why not try to sell products Y.
You’ve probably already grabbed market share with your star product. As a business owner you should keep that spirit to take risk of undertaking an innovative element. The offer of different products will probably work with current customers, or perhaps will attract some new ones. The diversification can be a risk to leave you with inventory, but it worth a try because you will gradually be measuring what works for you and what not.
5. Start of new business models
Do you think that your business is not growing nor slowing down, and you doubt that any additional product will help your small business growth? Then think of opening a totally different business. Of course this can be scary, because you’re entering to an industry that is unknown perhaps, but keep in mind that you already know a market and know what they are probably asking for.
The years of experience you have of knowing that market will be a great weapon that you can use to find out what kind of new business open. Do not be afraid to be in a different industry, learn and study more about it and throw yourself to try new things.
6. Develop online business
You want to try the online business? The advantage of internet has given businesses new opportunities. The scope of new global markets is available to all. Seizing this tool would not be far-fetched. Whether opening an online store to your current business or try another online business model are some alternatives that will give your company an extra boost to further increase these revenues.
It can be complicated if you do not have expertise in handling programming or the use of systems to manage an online store. Therefore, hiring freelancers can be an opportunity for you to start and perhaps to train yourself for this new adventure. This freelance alternative may be much easier than having to hire someone and pay a constant salary while the project is started.
7. Buy a business that is for sale
Finally, one of the most complicated tips to achieve small business growth is to buying a business that is for sale. This alternative takes time and analysis. If you know of a company who is retiring by various issues, approach them and analyze their numbers. If you have the funding for this option, this can increase quickly your assets and your customers database. The risk with this type of business growth is that sometimes businesses on sale might have some problems behind, so be aware of that.
Another way to acquire a business could be through the franchise model. Since these business model have already been proven in other markets and the know-how will facilitate the process to have another business that is part of your organization.