Small Business Growth 7 Tips to Manage Your Growth Successfully

Fast growth can be seductive; but challenging to manage. All small business owners want growth; and fast growth sounds like it should be a good thing – something to strive for. However, it is important to control your small business growth or risk your business’ future.

One of the most exciting times for small business owners is when they see their sales grow; even more exciting when those sales grow quickly. Sales are often used as a measure of business success. In reality, all business owners should use profit as a key measure of the business’ success because sales growth can require a high price.

Rapid sales growth can be achieved either organically (that is, through activities internal to the business) or inorganically (that is, through activities external to the business). Organic growth typically occurs through the launch of new products or services; by expanding the geographic market; and by starting up a new business – although growth in this case can start slow and then speed up. Inorganic growth typically occurs through mergers or acquisitions.

While inorganic growth is often very fast growth – if you buy a company that’s bigger than you, you’ve more than doubled your size – it is often expensive growth in terms of money, time and resources. Buying growth by buying a company means that you will often purchase the bad along with the good. For example, the bad can be the total cost of the acquisition; purchasing old equipment and/or inventory along with new; acquiring unhappy or high priced labor; a bad reputation; and more. The good can be acquiring the sales book, which is the company’s list of customers; additional services; a larger territory; more staff, taking out a competitor; and more.

The additional considerations for buying or not to buying growth should be how challenging is it to merge the two companies and the two cultures; what synergies can be gained – if any; if the acquisition results in an over-staffing who will be laid off, how will the lay-offs be decided, who will do the lay-offs, what will be the outcome and the environment after lay-offs. Do you have enough in-house human resources support for this type of growth? If not, can you outsource to a competent individual or firm?

The difference between acquiring a company and merging with another company is usually related to either a win-lose proposition (one company is the winner, the other the loser) or a win-win proposition (both companies are motivated to merge successfully for a number of business reasons). Mergers can consume a different resource focus: ensuring that both companies, their staff, their customers and all stakeholders feel that the end result was a win-win.

In either of these inorganic growth strategies, create a checklist approach to ensure that you carefully review all the pros and the cons and weigh the rationale carefully before you move forward on the merger or acquisition path.

Organic growth is typically a slower and more manageable type of growth. However, if your business is growing through a period of fast growth, you need to manage that growth before it overtakes you.

7 Tips for Managing your Growth:

  • have a comprehensive human resources plan to handle fast growth and peaks and valleys in business activity;
  • have job descriptions and a structure for your company;
  • have developed standard operating procedures for your business;
  • have a strong customer service program – so that customers are not negatively impacted by your fast growth;
  • have a strong quality and continuous improvement program;
  • ensure that you have the operating structure (whether that means increased inventories, longer hours of work – moving from a one shift operation to a two shift operation; adding more productive equipment); and
  • have the cash flow to sustain growth (you will need to pay for more supplies and materials, for labor, for transportation, etc.) – unplanned and/or fast growth can have a big, negative impact on liquidity.

Whether you grow organically or inorganically, you need to plan for sustainable growth. Your plan needs to include how you will manage fast growth.

Starting a Home Business Tips 3 Causes of Failure

Lots of people tend to fail when starting a home business due to some few reasons we are going to discuss in this article. After reading this article, you will learn a few thing to avoid when searching for a home based business to begin.

Information Overload – This is of the major causes of failure in a business especially one based online. There are tons of things you need to know or rather there are many things you need to learn. All individuals are not the same, some can fin their way by themselves some needs the help of an experienced teacher. Whenever you find yourself in this kind of situation the best thing to do is take it one at a time. Try to focus on one thing and move on to another when you are done with it.

Bad Product – Picking the wrong product can hinder you from making money. A lot of people have given up the struggle as a result of picking a bad product. There is competition in almost any kind of business you decide to go for. You need to know that there are many others promoting the similar or even better product than yours. To break through the competition you need the right product.

Action – If you have all the information on how to be successful and you do not apply it, you can’t get any result from it. Majority of the home business seekers do not believe they have to work to earn money especially when it has to do with the internet. There isn’t any free money anywhere online or offline, you have to earn it.

There are the 3 causes of failure when starting a home business.

Starting a Home Business Tips

Lots of times, we see people coming into the home business industry with high hopes of making lots of cash and probably retire a zillionaire. Only to be cut shot by unforeseen circumstances which often come from the home business seekers themselves? In this starting a home business tips article, you are going to find out if an online home based business is right for you. A lot is going to depend on you.

What is the primary reason why you are starting a home business? Is it for the money? Surveys have revealed several times that people who ventured into this business because they love what they are doing succeed the most. Nevertheless, you can still be successful if you are after the money but then you need to be pushy.

Do you have any skills? The truth is, all business venture requires expertise or rather idea of how things work. If you don’t have the skills, which a lot of people don’t possess, are you ready to commit yourself to learning the ropes of building your business?

The amount of money you have to invest matters when starting a home business or any other kind of business whether in the online or offline world. However, on the internet, you don’t require much capital. Are you ready to create your own site? Having a site requires you pay a monthly hosting fee of $10 or so. Without a site of your own, you will be limiting yourself in an online home based business. There are other things as well that might require money. The more money you have to inject into a business, the more income you stand to generate. Meanwhile, you can still build a successful business from zero capital. It is only going to take you more time.

How much time and effort are you willing to commit to your business? Many people who start a home business often assume that they don’t require much effort. That isn’t true. As a matter of fact, you might find yourself working harder than you did in your day job. On the other side, when you have built your business, you can outsource some of the most difficult aspect of your business, so that you can focus on other things. You might want to ask yourself, do you have at least two to three hours daily to commit to your new online home based business.

As you can see, I asked a lot of questions in this article that only you can answer. The ball is in your court now.

To Your Success,

Tips for How to Start a Home Business

Starting a home business can be a great idea for some people as they will be able to perform their household activities and generate an extra income by working from home at the same time. It is an ideal option for all those mothers who are forced to stay at home to take care of their small kids. According to successful entrepreneurs, starting out a business is the most difficult job to handle. If you are interested to establish your own home business, certain tips and suggestions are given below to guide you in the right direction:

1. Decide which kind of business you can set up in your home. Also consider your skill sets that you can utilize in the business you intend to do. You may be good at cooking, baking or any other similar activity. If you are good at studies and hold a higher degree in education then you can offer home tutorial services to school or college students. You can also use the idea of freelance writing if you can write good English and present yourself well. Try to weigh all these home business ideas carefully so that it becomes easier for you to recognize the business type you would like to set up in your home.

2. Ensure that the home business idea you have chosen for will give you an opportunity to work from home most of the time. If it requires you to leave your home and go to other places to pursue the business activity then it will defeat your purpose of doing a home business. For instance, you have selected bookkeeping service and it requires you to physically venture out to work out papers in different agencies for your client then you will be spending maximum of your time out of home. This could not be the right choice for your home business.

3. Ask for advice from home business consultants and legal experts to know if your home business idea needs to apply for a business license and permit. There are different state business regulations all over the world and it is your local government which will deal with all the local based business matters. In normal cases, if you want to make an extra space in your home for business, you will have to abide by certain local laws. Hence you need to obtain permission from any local governing body.

4. Allocate a space in your home for carrying out your business activity. It does not mean that you will have to build up additional rooms as it may require you to get permission for the local authority. Even the extra space in your living room can be used for business purpose, as long as you can attend to your customers or clients without any disturbance in your household activities.

5. Make space for your business set up. Put the necessary items such as telephones, fax machines, tables and other office furnishings in place. It is necessary that you give a business touch up to the area. If you have kids, don’t let them hang around your home business area especially when you are attending to customers.

6. Structure your home business record system. If possible buy a filing cabinet to store your important business records and confidential documents.

7. Run your business with an objective. Set a target for your revenue and sales and try to achieve it.

8. Behave like a professional while dealing with your customers.

How To Start An Online Business

How does a Web Business work?

This is a subject most first timers touch when they try building an online business. And there a lot of ways you can do this as well. But for the sake of the audience reading this article, I will try and explain one of the many ways it is done, and that’s the way I am doing it right now.

Let me explain broadly how I do it.

First, the key to affiliate marketing is having a product to promote, and building a list to which to promote. And there are many products out there and many websites which ask you to promote them to potential customers. But it is advisable,and this is something that I do, that you choose a product that you know something about, which you think could help those potential customers resolve their problem. You don’t have to, but it is easier to promote a product which you have used.

Ok. So you search the Internet long and wide, and after a while you finally found that product you were looking for. Now what?

Well now, the first thing to do is create a Squeeze Page. What is a Squeeze Page you say? Well, the Squeeze Page is a One Page website in which you only try and convince the visitors to sign up to your list. You will not sell them anything on this page. You will not try to convince them of anything else than to sign up to your list. And that is because you want their addresses so you can promote your product at a later time. And how will you do that?How will you make them give you their email addresses?…By giving them something of value for FREE. Yes, for FREE.

So now they have signed up to your list. They entered their name and email address and pushed the “Sign Up” button. What happens now?

Well, after this, two things will happen:

1. They will be taken to a “Thank You” page in which, well, you thank them for them signing up. you can try and sell them a product in the thank you page but this is not how I do it, as I think as this is coming a little too strong.

2. They will be added to your list.

This list is managed by an online service called an Autoresponder.

But a responder is needed, and even though it is an expense, it is a small one.

Why it is needed? Because as they are reading the “Thank You” page, the autoresponder sends them an email to their inbox. In this email there will be a link, which will send them to your “Download Page”, in which you give them a link to the FREE gift you promised them if they sign up to your list.

Ok. So now you have their name and email address. What to do now? Well, the next thing to do is nurture the relationship you have established with your subscribers by sending them occasional emails, other free gifts, other tips to help them with the problem they came to your site. And it is easy, even if you don’t know anything about the related problem. There are many free sources on the web from which to inspire your answers.

Well, this is the basic model of how A web business works. And i say basic, because there are a few other aspects of a web business you need to understand, as a newcomer to this field, to operate a business online.

Ok. Hope I cleared the fuzz a little for the beginners out there. As I said. There are many ways to start your own Web Business but this is, partly, how I do it, and it works for me.