Management Strategies for Handling Small Business Fast Growth
Every single aspiring business owner dreams of the day they will be able to proclaim to the world that their company is simply thriving in spite of all the competition. It’s a reflection of how your audience perceives your brand, and how authentic your offer is even though your audience likely has a variety of other options to choose from. However, while owners consider growth spurts to be good news, if your company is truly advancing at a head-spinning rate, you need to be able to scale accordingly.
Do you have the resources to meet every client’s needs? Can you pay more employees to join your team in order to deliver optimal customer support? What about manufacturing, delivery, and shipping costs? The list is practically endless, but you can rely on the following set of tips to ensure scalable business growth in full-speed.
Working in a close-knit team of individuals who understand and love your brand is always a treat. However, not every business can build such teams at the same rate at which it grows, hence the need to opt for less conventional solutions that are becoming more popular by the day. One such option is working with freelancers or agencies which will handle a portion of your tasks.
If you specialize in fashion, it makes sense to outsource IT services or social media and marketing campaigns. You can work on a project basis with a skilled professional abroad, or collaborate with experts with a business of their own. Ultimately, this will help untie your hands to handle more brand-related work every day.
Stabilize Your Cash Flow
A growing business requires growing investments, and they most often come from the profit your company makes. However, if you’re having trouble with clients who are often late when it comes to paying their invoices, then you need a solution that will ensure healthy cash flow while you resolve the issue directly with the client.
For example, more businesses rely on factoring in order to keep a steady influx of cash, to maintain their everyday operations, and ensure that they can handle such fast-paced growth. In the meantime, you can assess if you need further refinancing in the form of loans, partners, or investors to tackle this speedy progress.
Refine Your Hiring Methods
Even with all the outsourced workforce, you still need in-house teams to tackle the bulk of your work. That said, you cannot afford a low employee retention rate, whether it’s caused by quick hires without any elimination processes in place, or simply by your changing needs – it will leave a mark on your brand’s reputation.
Instead, work towards a more streamlined method of hiring. Talk to your current employees, as they know what each position entails and they might be able to recommend the right person for the job. Define clear job requirements and train your staff to handle the hiring process effectively, so that you can keep your teams as productive as possible.
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Build a strategy
This is no time to relax, despite the fact that you’re experiencing growth. On the contrary, this is an opportunity not only to justify your current position, but also to make sure you’ll retain it as new brands show up and try to take your throne.
A growth strategy should focus on assessing the market, your audience, as well as projecting your short and long term growth prognosis. Based on all that data, you can determine what you need in order to stabilize your growth rate, scale your business, and protect your reputation in your niche.
Define your goals
Fast growth also comes with a slew of implicit opportunities to cash in, expand, spread awareness, and make an impact. You need to understand the growth of your company in order to be able to make the most of this situation, and make the smartest possible moves that will ensure stable, profitable growth in the future.
As new clients pour in, determine which department needs the most resources, where you need to invest, and which segments of your business offer more room to make a profit. Perhaps you can switch to a virtual office and remote work instead of paying for a large office space rental, or you can divert some of your budget to focus on customer retention instead of attracting new people.
Utilize All of Your Assets
Finally, in all of the rush that comes with fast growth, you may fail to notice that some members of your team are overworked and on the brink of burnout, while others sit idly waiting to be assigned a task. From your brand’s standpoint, this makes perfect sense, as your customer service representatives are likely flooded with requests, while your graphic designer isn’t able to put their talent to good use.
This is a time for difficult decisions. You may need to let go of people who cannot contribute to scaling your business properly, and invest in acquiring more employees in other branches of your business. Interns, temps, freelancers, part-time workers, they are all a viable option for a business finding its feet, so make sure to assess your strengths and detect your weaknesses.
It’s possible to retain control of your growth even when it all seems to be spiraling out of your hands. You need to make sure you’re implementing the right strategies and focusing on making realistic forecasts, and only then can you truly monetize on your potential to grow fast.