If you are one of the lucky 10% of businesses that have survived their start-up phase, then take a moment to congratulate yourself. However, that’s all you can afford to take, a moment. Being in a small business start up is an ever-evolving experience that continually needs adjustment if it wants to remain profitable.
Now that you have entered the growth phase of your business plan, it’s time to analyze the best areas that you think offer your company the best chances for expansion. Different growth ideas suit different firms, and there is no cookie-cutter solution, but one of these ten ideas may be able to give you some insight as to where you should be applying your focus.
#1 Open a Second Location
If you own a bricks and mortar location that relies on a local customer base, then consider opening another branch in another part of the city or country. Before you run head-on into signing any lease agreements you should have a well-prepared business plan for your new location. Design your plan around your research of the local demographic and potential customer base, combined with your current experience of founding your first business.
#2 Franchise Your Business
Does your business run on easy-to-follow procedures and policies that are simple to replicate? If so scaling your business using a franchise model may be the ideal growth opportunity for you. Franchises allow you to grow your brand and your business model using competent business owners that are willing to invest into their branch of your business.
#3 License Your Product
If you have an information-based product, then a licensing agreement over the rights to sell your product is an excellent way to boost sales. Licensing agreements can include up-front signing fees and royalties or commissions on all sales of your product, or branded service.
#4 Partner With Other Companies
Do you have weaknesses in your business that could be improved? Partnering with other companies to handle business functions such as marketing, logistics, and administration. Partnering does not have to mean that you need to give up part ownership of your company to the partner firm, you can offset value to each other by exchanging services.
#5 Diversify Your Products and Services
What other goods or services could you add to the ones you currently offer? Think about products and services that have synergy with your current offerings and create new ideas to expand your range.
#6 Look At Other Markets
Researching into another market is an excellent way to tap into new, untouched customer bases that could be worth a fortune. Who currently uses your product? Who else could use your products? What demographic would offer the best potential? Do your due diligence on potential markets to open and create new streams of revenue.
#7 Apply for Government Contracts
Government contracts can be lucrative if you are prepared to handle them. Typically, governments only deal with businesses that have an established track record. However, if you offer a unique product or service that has good value, then you could be in the position to land a government contract.
#8 Company Mergers and Acquisitions
Are their competitors or allies in the marketplace that could benefit your business with a merger or acquisition? This strategy can be used to buy out your competition or leverage certain parts of their business model that may strengthen your own.
#9 Go International
If you want to think big, then examine the opportunities available to your company for international expansion. If your product, service, or brand has developed an interest in another country, then speak to an international business consultant that can introduce you to potential foreign partners and investors.
#10 Develop An Online Presence
If your business does not yet have an online presence, then this is the first place that you should start your growth strategy. The online world has a global reach, and it’s the easiest way to test new markets and expand awareness of your brand or company.
The Final Tip
Finding finance for new business activities may be challenging for new firms that have not yet applied for credit or avoided it in the past. Therefore, your company will have a poor credit score and may suffer finding finance for expansion activities. However, there is microlender that can arrange business loans for bad credit clients without the hassle involved in going to the big banks.
Image from http://smartearn.info/keep-profits-rising-with-these-tips-in-affiliate-marketing-2/