If you’re in a position of authority over any business, you need to be looking at ways you can grow. If your long-term future doesn’t include growth of some kind, you’ll likely be overtaken by hungrier competitors.
Growth and development bring risks with them, though, and if you don’t plan your business’ growth carefully, you could find yourself financially overstretched and at risk of collapse. Today we’re taking a look at how you can maximise your chance of success while minimising your risk of failure.
Specificity and Preparation
One of the most important things you can do is get specific about the sort of growth and expansion that best fits your business, and make sure you are preparing for that specifically. Not all safeguards are applicable to all situations, and to ensure you’re as ready as possible you need to decide in advance how you plan to expand and what that means for your business.
More or Better Clients?
Two of the major ways to grow, if you’re in the service or consultation niche, is to seek either more clients, or bigger, better clients that you can charge more.
These are two very different tasks, with different risks, but they can both be the route to long term success for your company. Seeking a broad customer pool means broadening your appeal. That means investing in mass-market advertising, and in your own company, to ensure you have the workforce to meet the upcoming demand. If you find that demand isn’t there your investments will be wasted, and if you’re not able to meet it, you might find disappointed clients and broken promises can ruin your reputation.
You can prepare for this with research, so you know just how much demand there is for your services and have the best chance of reaching the customers who are most likely to spend their money with you. You can also pace the scale of the expansion of your workforce with the projected expansion of your client base, to avoid paying for workers you’re not using, or falling short on capacity when it’s needed!
If you’re expanding into international markets, you need to make sure your research is relevant to those markets: you can’t expect the lessons you’ve learned at home to hold true, so working with a trustworthy international research company gives you the advantage you need here.
If you want to look for bigger clients, rather than more of them, your putting your business into a potentially more precarious situation: failure to land just one contract could leave you with a significant financial shortfall. In this case, it’s important to ensure you have some buffers against this, be they savings, or investors who are prepared to take up the slack until you’ve successfully established yourself with some high-level clients.