It’s a question I get asked all the time “Should we invest in the company to grow?” And I’m sure it’s one many business owners ask themselves. My reaction to this type of question is not always the one you would typically expect as I know all too well what can happen when you get the answer wrong.
I normally answer with a question. “Why do you want to grow?” Is it to increase sales? Venture into new market offering new products or services? Or is it to take advantage of an opportunity that has just arisen?
All these are great reason to grow but be careful not to stretch yourself too thin too quickly and always make sure you check the demand first.
Don’t rush into expanding just because you can. I’m a firm believer in making sure the foundation is set and you get the basics right. Making sure services is as good as it can be, making sure all your customers are satisfied…no! That they are “Raving Fans”, making sure that the market and demand has been surveyed and that its both feasible and viable to grow your organisation.
Often I am asked to help business owners who have made the wrong decision to grow as they have not calculated all these factors and have suffered a large capital loss. Which ultimately has put their business plans back a few years as they have to reorganise the business and possible win back customers due to bad service and build the trust of banks due to not fulfilling their promises.
So if you find that you and your company are in the fortunate position to consider expanding please make sure you have the basics down, you have a solid foundation and that you have done your due diligence.
And if in doubt…Speak to an expert!
*First Published in The Thetford and Brandon Times