How To Manage Rapid Growth
February 9, 2017
A sudden growth spurt of your business is a wonderful thing, but it’s important to be prepared, particularly if your business is experiencing rapid growth. You’ll need to reshuffle a lot of things around to succeed, from people’s roles to potentially all of your processes.
Read on to find out the three areas you’ll need to assess in order to successfully ride the growing wave of your business.
Processes And Systems
During a time of rapid growth, your existing systems and processes simply don’t cut the mustard. Chances are they just weren’t designed to cope with high levels of activity. You need to come up with a new order that will help you give your customers the best experience possible.
When coming up with your new processes and systems, it’s a good idea to have an ethos that aims to create value for the business in the future. These processes and systems should reflect a future vision. Try to set aside time to figure out how to continue to create value for the business moving forward. Ask yourself what a sustainable and flourishing business should look like in the next six months to a year, then build the necessary conditions to make it happen.
When your business grows, it’s essential you fully understand the movements and ebbs of your cash flow. The larger the business, the more complex the cash flow is, so you need to examine everything thoroughly. Once you completely comprehend the movements of your money, you can strategise about how to help your newly expanded business run smoothly
Some factors to consider when reviewing your cash flow include target pricing, and understanding the true costs of each sale. You might notice some services are costing you more money than you thought, or choose to focus your efforts on the most profitable products your business offers. It’s always worth keeping an inventory of your strongest performing products and generally set up a culture of observing your key performance indicators with the mind to replicate their success moving forward.
At this stage, it can be enormously beneficial to partner up with financial experts. Not only can they help a lot with complicated processes like weighing up future investments and cash flow, but they’ve seen and done it all before.
Key Factors provides growing businesses with constant cash flow by releasing the cash tied up in their unpaid invoices. Clients can get up to 80% on the value of their invoices, in as quick as 24 hour by using a Debtor Finance facility.
You absolutely need to consider your staff during periods of rapid growth in a business. How can you ensure your team is equipped to handle big changes in their workflow and fulfil the changing needs of your company? It all boils down to a combination of your recruitment processes, and the culture in your workplace. Stay true to the core cultural ethos of your business, but be flexible and give yourself room to grow as well.
It’s also important to consider team dynamics. As a business grows, the start-up family vibe will inevitably change. A good way to avoid discord is to include your current staff in the hiring process, to ensure everyone gets along and will be able to get the support they need to do a great job.
Want to learn more about how Key Factors can help your growing business? Call 1300 884 100 now