Two Key Things You Need to Grow Your Small Business
If you made it through the first phase of your business, you are owed a huge congratulations on a job well done. More than 90% of all businesses that get started, fail within the first 18 months. This is due to a combination of factors that most entrepreneurs discover during the process.
For those that make it through this difficult period, moving into the next phase which is turning your small business into a successful medium-sized business, can also be filled with pitfalls and challenges. There are things that need to be done that are specific to where your business is in its growth cycle. Some of them are continuations of the things that you did with your company as a startup. Others are new things you need to take on that will lead to impressive growth. Use this list to make sure that you are taking the right steps to grow your small business.
One of the smartest things that you can do for your company is to engage a business coaching company to help you move your business to the next level. Business coaches are experts at doing a deep analysis of your company and then helping you determine what your next best moves are. For small companies, moving to the next level is an uncertain exercise that often requires a different look at the business and potentially a different skill-set.
Lots of entrepreneurs find it difficult to do a critical self-analysis of their enterprise in order to lay out and make the best moves. Business coaches are there two assist with this process in a way that is supportive and empowering. They also provide many of the assets needed to move the business forward. Some companies provide all-inclusive services including office space, and access to the top level business machines and business operations software.
Access to Funding Sources
Without fail, every small business seeking to become a larger business will need additional capital. Funding may be required for hiring additional employees, opening new offices or branches, investing in better Supply chains, moving some parts of your business in or out of your house, or other areas that you currently may not even have in your business.
One of your priorities needs to be creating direct access to funding. You should seek to have a variety of funding sources, some that are debt and others that are equity in your business. In terms of debt, look toward personal friends, who might be inclined to loan you money providing you can show specifically how you return their funds with a profit. You should also start the loan process with banks or the lending institutions. It is critical that you create relationships with these types of lenders.
The better they understand your business, the better the chances are that they will lend you the capital you need. You should also look to equity and venture capital funds who are always on the lookout for small companies that have the potential to be larger ones.
Before you take any money in however, fully understand the terms and responsibilities that taking the money will require. You want funding, but you don’t want to add any terms that will disrupt your ability to grow your business.