Going for Growth
All growing businesses face the same issues:
As the pace picks up they find that the resources are being stretched further and further. The logistics of getting to the customer get increasingly complex, and the ways of working that seemed fine just a short while ago start to cause headaches and costly errors.
With so many plates in the air it becomes harder to keep them all spinning. Keeping control on the business starts to become an issue. In fact, it seems like the business is running the people rather than the other way around. For entrepreneurial businesses this often results in the owner wondering why they started out, and in the corporate world the organisation finds morale decreasing and key talent departing.
Meanwhile, on the finance front the increase in turnover doesn’t seem to be having the same impact on the bottom line. Invoices are getting paid later and later yet your retail partners – if that is your route to market – seem to be paying later as well. Cash is tight.
Where does this all lead:
If this continues then the best that can happen is that the business doesn’t reach it’s full potential. The operational strains will translate into stress, poor decisions and lost opportunities. It is quite common for this to impact customer service and damage the organisation’s reputation – often permanently.
Worse case – a combination of reduced margins and cash pressure result in bankruptcy from overtrading.
At Business Reloaded we understand that growing successfully is a balancing act.
You need to invest in working capital, equipment and people – all at once and in the right balance whilst still keeping on top of the day job! You need to walk the tightrope between to slow (you’ll never take off) and too fast (risk risk of overtrading).
The secret is to follow a structured approach, and we’ve prepared a brief paper to show you how this can work for you. In it, we cover the four keys to balanced and successful growth:
Vision – what do we want to grow into
Position – how is it best to grow
Process – the right way to do the right thing at the right time
Operations – ensuring that the right capability and capacity is in place to deliver
Follow our structured approach to growth and you’ll avoid the pitfalls that too often cause growing and promising companies to fail to live up to their potential – or worse!
If you’d like to find out more about the four keys to balanced and successful growth then just ask via the form top right.
0845 519 5480
Growth is a balancing act
Rapid growth can burn result in the business burning working capital faster than the customer's can replenish it - leading to overtrading and bankruptcy