When you’re an entrepreneur, and you start a business, your objective is explosive growth, right? That may be the case, and growth is great, but it can come with its own set of struggles. Rapid Business growth can make things work in your favor.
The main problem with most of thee companies is that they often take the wrong decision in how to reinvest the growth profit into other aspects and how to save the interests of the business, and that is the reason why most of the startups, though started on a good note, cannot even survive till 21 months.
When businesses grow too quickly, and they aren’t prepared it can be as problematic as not growing enough. It can be difficult to keep up with demand, and service and products can start to suffer. Due to the lack of business growth strategies, it can also be tough for business owners to find the employees they need for rapid growth. One thing which can really eliminate the problem of gathering resources is freelance.
Say suppose, if you are an e-commerce site, then it is possible that you can hire a marketing agency to do the marketing of your brand. You can hire drop shipping businesses to handle the shipment and delivery of your products. Some of the brands also try to outsource other services as well, so that there is low pressure on their core office, and the profit gained is put to good use.
The following are some general things to know to manage a business that’s growing very quickly, which will be elaborated to you in 5 detailed sections below:
1. Keep Things Simple For Your Rapid Business Growth
Often as a business grows and the number of employees does as well, things can get very complicated quickly. There can be a lot of bureaucracy and channels everyone has to go through to get things done. It’s important to try and alleviate this complexity or prevent it from occurring.
There should be clear, defined procedures in place, as well as communication channels. You don’t want people in your organization to be bogged down with interpersonal and workplace complexity.
Try to divide each department and give each department, the responsibility of each section of a project. For example, one team should be handling inventory while the other team, sales, and leads, while the other will solely keep track of marketing and promotion. In several companies, there is a totally different department which handles customer support.
2. Keep Control of Cash Flow
As a business starts to grow quickly, it can be easy for cash flow to similarly increase. While some cash going out is normal, it’s important to make sure that it’s not too much. You don’t want your business to face eventual liquidity problems, so do an audit of your company in the early stages of growth looking at sales, overhead, inventory, assets and other important details.
Try to make sure your inventory and assets aren’t taking up too much of your cash flow, and if they are, make changes early on. Many of the successful business growth strategies contain integration of updated software so that the inventory is organized, centralized and can be easily operated on a single interface.
When you are a government registered company, and your company is doing really great, remember that it is time that you provide hike to all your employees because they have equally contributed to all your struggles in the first, and a hike acts as a reward, for which their intention on being faithful to your company increases.
3. Make Sure You’re Structured Correctly
When you’re an entrepreneur, and you’re in the early stages of creating your business, you may operate as a sole proprietor. It can make sense if you don’t have a lot of assets or liability.
As you grow, however, it’s essential that you make sure your legal structure is appropriate for what’s happening in your business growth. If you’re not incorporated, a growth period is a time to do, if not before. Otherwise, you’re putting yourself and your business at risk in multiple ways. Company growth handling depends on whether your system is organized in the right way or not.
Therefore, if you are seeing the rapid rise of your company then it is about time that you get more resources, integrate latest technologies which will have a good effect on the productivity and make sure that you have maximum reach to your audiences, so that you can make the most out of your rapid business growth, that means, that put special emphasis on building the credibility of your brand, using the popularity you are gaining.
4. Empower Your Employees
For a lot of business owners, particularly with startups and relatively new organizations, one of the toughest aspects of day-to-day management can be relinquishing control. However, you can’t do it all, particularly if you’re expanding.
The best thing you can do aside from hiring qualified people is to empower them. You want your employees to think like an owner when they’re doing their jobs.
You can empower them through training and development, ensuring they feel a sense of autonomy, and offering incentives, such as the opportunity to move up in the company. As you grow, you need accountable employees more than ever.
5. Define Your Purpose
When you’re just starting out as a struggling startup, your business purpose might be all that you have. As you grow, it can tougher to keep that purpose in mind, even though it’s probably largely responsible for getting you where you are.
As a final note on managing during rapid growth, make sure you always adhere to your purpose and make it a central part of your business, so you don’t stray too far from what made you successful.
Also, there are ways in which you can expand your business further, in this case taking help of professional marketing agencies is not a bad idea. Moreover, if you are gaining profit from your business, make a separate account where you can reinvest some of those bucks for the company growth strategies.
Also, do not forget to leave a comment in the comment section below and let us know was this article on handling your rapid business’ growth was useful to you or not.
Mashum Mollah is a tech entrepreneur by profession and passionate blogger by heart. He is on a mission to help small businesses grow online. He shares his journey, insights and experiences in this blog. If you are an entrepreneur, digital marketing professional, or simply an info-holic, then this blog is for you. Follow him on Instagram, Twitter & LinkedIn