Most business people want to grow
their business but a question often comes up is, “Am I ready to grow or can I
afford to grow?” Those are big questions
for small business owners because of the time, commitment, and financial resources
it takes to successfully grow a business.
Inventory
The first step towards growth is to
take inventory on your business. Richard Proffer, business development
specialist for University of Missouri Extension, says, “I am not talking about
physical inventory where you count your product but a more mental and financial
inventory to see if you have lined up the right resources to grow.”
For this inventory, the business
owner will need to invest time in analyzing the current situation and work on
redefining the business’s goals. This analysis will allow the owner to make
smarter decisions, be more accurate in the financial projections and move
faster into growth when it happens.
Many business owners face the Red
Queen paradox where they feel the constant strain of working and working and
not getting anywhere but where they started.
This feeling is typical of entrepreneurs who have not done a good job of
planning their business’s future. “Simply doing more of the same thing is
usually not the answer for growing the business,” per Proffer.
How to Plan
The first step in planning for a
business’s growth is taking that inventory and defining where the owner wants
to be in the future with the business. Then the owner plans out what needs to
happen with the business either in sales, employees, financials or marketing to
reach the desired goal. The third step is to start putting into action
processes to reach the goal in the stated time. Finally, goals need to be set
so progress can be measured and the owner knows the right path has been chosen
for success or where to make corrections to the plan.
If business growth is part of your
plans, feel free to contact Richard Proffer at the local MU Extension office at
573-243-3581 or email him at profferrd@missouri.edu. He is available to answer questions on small
business and help make them successful.
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