Scaling a business is not easy to do, which is why it should be done as thoughtfully and meticulously as possible. Because in the long run, when you do hit that surging growth curve, you need as solid of a foundation as possible to hold you up.
Our Director and business expert Ian Lewis takes us through the fundamentals in figuring out how to scale your business in a mindful manner, noting that there is no single formula for scaling your business, but the following steps will give you an excellent start.
Identify your goals
Whether it’s writing it on a whiteboard, in your phone notes or in a beautifully designed presentation, it’s vital to keep track of your business vision and ensure you take the time to be clear on what it is. For example:
- What is your revenue goal?
- How many people will work for you?
- How many clients will you have?
- What will make up your income (e.g., recurring revenue/government contracts)
- How many hours will you spend working in the business?
- Why will your staff enjoy working with you and stay for longer?
Be clear on what your business is striving for and share your vision with your team, so they are on the same page.
Nail what you do, then build on it
Every business should start with its core expertise, then expand from there.
For example, you may have opened a local bar. The first thing to do is cement your reputation in one area such as cocktails or specialty beer. This will help you grow a devoted audience.
Once you have this dedicated customer base, you can expand on your services and start to diversify. However, if you try to be all things at once, you may find you are too busy to focus on scaling your business and that things quickly spiral out of control.
Think of Amazon, which started with books. It did this very well for a few years before expanding beyond this service and into the business it is today.
Increase operational efficiency
For every task people in your business need to repeat, create a system for doing it.
Sending an invoice to accounts payable is an example. What information does the accounts team need, how will they make the payment and when will they do so? Even something simple like this needs a system and you need to ensure people can find out what to do if there is nobody to ask.
When you have systems in place, it will be much easier to onboard staff and have them hit the ground running.
Bring in the experts
It is difficult to scale your business without assistance because there will come a point where you can’t handle everything yourself. This will come in the form of full-time staff or contractors/freelancers you can outsource to including jobs such as:
- Accountants and Professional advisors: can provide valuable insights into your business operations and help you identify areas for improvement. They can also help you develop a growth strategy and provide guidance on financing and other key business decisions.
- Marketing and advertising experts: If you’re looking to increase brand awareness and reach new customers, hiring a marketing or advertising expert can be a smart move. They can help you develop and implement effective campaigns across a variety of channels, such as social media, email, and search engine advertising.
- Technology experts: Investing in new technology can be a key driver of business growth, but it can also be challenging to implement and manage. Hiring a technology expert or partnering with a technology company can help ensure that your technology investments are aligned with your business goals and are being used to their full potential.
- HR and talent management experts: As your business grows, managing your staff and attracting top talent can become increasingly complex. Hiring an HR or talent management expert can help you navigate these challenges and ensure that you’re building a strong, engaged team that can help you achieve your growth goals.
By bringing in the right experts at the right time, you can help ensure that your business is well-positioned for successful scaling.
Stay on top of your finances
Scaling a business is exciting but it is easy to end up in an inescapable financial hole if you aren’t hyper-aware of the money being made (or not made).
If you want to scale, you need to be able to work continually and collaboratively with your accountant so you can make strategic decisions, stay ahead of financial problems such as tax debt and develop growth strategies together.
Monitor & Adjust
FInally, it’s incredibly important to monitor your progress and adjust your strategy as needed. This means tracking your performance against your goals, analysing market trends and being willing to pivot when necessary.
Are you looking for guidance while you scale your business? Contact the team at Moore Lewis & Partners today.
Disclaimer: The information contained in this news post is general in nature and is intended to provide a general summary only and should not be relied on as a substitute for professional advice. Whilst the information is considered to be true and correct at the date of publication, changes in circumstances after the time of publication may impact upon the accuracy of the information.
