Your business is going expanding at a rate you never imagined. Its great news but its early days and you might be overwhelmed by the sudden growth. As the owner of a small startup you may be managing up to four employees, have low infrastructure costs and have enough capital to support your operational costs. But when your business grows too quickly, you are faced with many challenges that if unchecked, it may become detrimental for your business. You must pay attention to everything as even something like applying for LMIA in Canada could make a significant difference. Read on to find out how to reign things in when your business grows faster than you expected:
Adjusting to increased volume of work
It doesn’t matter if you have started to produce more products or your client base has increased, there definitely is sudden increase of work and you and your staff have to be prepared to adjust to this new volume. You should take steps to train your staff for the unexpected growth so that all of you can cope with the rising demands.
Cash flow problems
As your business grows, the cash flow becomes more complicated. The amount of cash also increases, your profits would increase, but so would your expenses. You may suddenly feel the pinch of one month of bad sales taking a huge chunk out of your capital.
Get some mentoring
Mentors can help you to face the challenges that entrepreneurship brings. It might be someone you know personally or a professional business mentor. Mentors can guide you in formulating and refining your business strategy, introduce influential people in the industry and help maintain a balance between life and, during this time when you’re overworking.
Get some experts on board
Your company might serve different sectors and experts in these fields can help you provide better services to your customers in different sectors. The experts can give much-needed business advice which may help in increasing profits.
Hire workers who work from home
You could expand your company without having to increase infrastructure costs by hiring people who can work from home on their own computers. This saves you quite a bit of overhead costs and you can hire the best talent too.
Delegate more
You must be used to doing everything and controlling every aspect of your business, but when your business expands, you have to pass on some control to others. Whether you hire and assistant or outsource a task, bring on extra workers, you have to delegate work, because you just can’t do everything by yourself. Delegating work means your work will be finished in time and the quality will be maintained.
Customer service problems
Meeting the high demands of business can be tricky and if your business creates more buzz,you have to cope with more demand and you have to make sure you meet all your customer service demands.
Going on spending sprees
Looking at all the orders coming in may seem like to go on a spending spree, but hire teams as required and not go overboard.
Hone your leadership skills
You have to start being a leader and lead your team, rather than getting into the nitty gritties and work more on business strategy.
HR risks
You may be filling up more orders but the money may take time in coming. In such scenario, meeting payroll requirements may be tough and your team may get worried. You must be able to reassure your team and help them view the change as positive.
Let go of dead weight
This is one of the most crucial and difficult things you might have to do when your business is expanding exponentially. You must review your team’s performance and let go of any team member/s that is not pulling his/her weight. And if there is some customer who takes up a lot of your time with small tasks, wasting precious time, then you have to let go of this customer too.
When your business grows at a faster pace than expected, you have to stay on top of all aspects of your business. Streamlining your business activities would help you meet the growing demands and make a good profit
