Once a business has developed a solid customer base and is trading profitably, you may start to consider planning for growth. Although growth is often associated with increased sales, it is also necessary to plan future stability, possibly increasing profitability.
Ways to achieve growth
There are many ways to help your company to grow, including sourcing new customers and encouraging repeat sales from existing clients. Carrying out research with existing customers will enable you to make improvements to your products and services, increasing sales potential. The development of new products will help to maintain interest in your company, encouraging customers to stay in touch. Moving towards online sales will also provide a boost, especially as more people now trade online than previously.
Potential changes for a growing company
As your business grows and changes, you may find that your requirements and responsibilities also change. You may have to consider changing the legal structure of the firm, perhaps making it a limited company. As the company turnover grows, you will have to consider registering for VAT with HMRC, which may have both benefits and additional commitments. It may also be necessary to consider outsourcing some aspects of the company, perhaps finding a reputable accounting solution for the company.
Your workforce
As the business grows, you will need a larger workforce, which may involve training and mentoring new staff to deal with customers’ requirements. You will gain responsibilities as an employer, which may require some professional guidance. Thorough training plans for staff will ensure that they are equipped to provide a high standard of service to customers.
Mentor
A business mentor will be able to help you to grow your business and, with the benefit of their considerable expertise and knowledge, you will discover ways to boost sales and improve profitability long term.
Funding
In order to grow your company, you will require funding. There are various ways to secure a little extra, and you might want to discuss the most beneficial method for your business with a professional. You may consider traditional bank finance, or you may prefer to sell some of the company shares.
There are advantages and disadvantages to almost all the methods of obtaining finance. A lender or investor will want to be assured that the company is secure, and will expect to see a comprehensive business plan, forecasts and other reports.
If you are considering expansion of your company, you may want to discuss the potential for growth and ways to achieve this with a professional. Please give us a call and we will help you to negotiate a solid plan for growth.