The number of small businesses and SMEs has grown exponentially in recent years, and many are eager to grow further and monetise their success. However, it’s important to remember that growth isn’t a race – it’s a journey.
Growth needs to be approached strategically and sensibly if it’s going to be sustainable and profitable. If you’re an SME looking to expand, here are seven ways to ensure you’re growing your business sensibly.
1. Make sure you’re ready
Before you start thinking about growth, make sure you’re in a position to take the next step. Ask yourself some questions:
Growth should be based on a solid foundation, so make sure you have all the pieces in place before expanding.
2. Set realistic goals
Once you’re in a position to grow, make sure you set realistic goals. It’s all too easy to get carried away and promise too much, but this can be damaging in the long term.
Be realistic about what you can achieve and set realistic milestones. This will give you something to aim for while ensuring you don’t over-extend yourself.
3. Take your time
It’s important to remember that growth doesn’t happen overnight. It takes time to build a successful business, so be patient and focus on the long term.
If you’re in a rush to grow, you could end up making mistakes that could have been avoided. Take your time and make sure you get each step right before moving on to the next.
4. Invest wisely
You will inevitably need to invest in order to grow. But don’t just throw money at the problem – make sure you invest wisely.
Think about where your money will have the most impact and look for opportunities to give you a good return. The last thing you want is to waste money on something that won’t add value.
You should also think about the side effects of investing. For example, when you do grow, you’ll incur ‘indirect’ costs such as additional insurance premiums. Make sure you’re well on top of your numbers before progressing.
5. Monitor your progress
If you want to grow sensibly, it’s important to keep track of your progress. This will give you a good indication of whether or not you’re on the right track.
Create a system that allows you to track your performance and adjust your strategy accordingly. This will ensure that you’re always making the right decisions and heading in the right direction.
6. Stay agile
Growth is an iterative process, so it’s important to stay agile and be prepared to adjust your strategy when necessary.
If something isn’t working, don’t be afraid to change it. Don’t be scared to make mistakes either – this is how you learn and grow.
7. Seek advice
Finally, seek advice from those who have been there before. There are plenty of resources available to SMEs, so make sure you take advantage of them.
From mentors to industry experts, plenty of people can give you advice on the best way to grow your business. Don’t be afraid to reach out and ask for help.