91香蕉黄色视频

Planning is a vital task for any business. It is also integral to creating an effective and meaningful business growth strategy. You should review your business performance regularly and aim to identify:

• your business performance progress
• key growth areas
• the most likely strategy for growth

Planning for business growth

Complacency can be a major threat to a growing business. Assuming that you will remain successful, simply because you have been in the past, is unwise. You should prepare a business plan for growth and outline the exact direction and activities needed for expansion.

You should also regularly review your ongoing business plan. This will help you to identify what action you need to take to change your business and the way it operates. For example, you may need to:

• change suppliers if you've outgrown them
• renegotiate contracts to take account of increased volume
• train and develop employees, as well as your own role
• update to newer technologies that can 91香蕉黄色视频 your growth

Strategy for business growth

As your business grows, your strategy needs to evolve to suit your new position. For example, you may change your focus from winning new customers to building profitable relationships with existing ones. See how to target your most profitable customers.

On the other hand, there are obvious risks to relying solely on existing customers. Diversifying your customer base or product mix spreads those risks.

Following the same business model, but bigger, is not the only route to growth. There are other strategic growth options that might provide better business growth opportunities. These can include outsourcing or franchising your business.

Minimising the risk of business growth

Your current success doesn't necessarily mean that you will automatically be able to seize new business opportunities. Every major move needs planning in the same way as a new business launch. You should:

• make sure that the new ideas suit your strengths and your vision of where the business is going
• regularly review and manage the risk you face and develop contingency plans

Commit fully to your business strategy, even if it takes you out of your comfort zone. Be prepared to make difficult decisions, if necessary. For example, leaving suppliers you have become friends with. Unless you're prepared to do what it takes, you risk putting your business at a competitive disadvantage.

Help to Grow: Management Scheme

Small and medium-sized businesses looking to grow can access training and mentoring 91香蕉黄色视频 through the Help to Grow: Management Scheme. The scheme is 90 per cent funded by the government and provides access to 12-weeks of learning, 1:1 91香蕉黄色视频 from a business mentor and a chance to develop a bespoke business growth plan to help your business reach its full potential.

Good cashflow control is important for any business. For a growing business, it is absolutely crucial, since financial problems can limit or stop the growth of your business. Overtrading can similarly cause grave issues.

Making the best use of your finances should be a key part of business planning and assessing new opportunities. You may need to pass up certain opportunities if pursuing them would take essential funding away from your core business.

How to manage cashflow during business growth

Growth typically increases costs in a business, often putting a squeeze on the day-to-day finances. Borrowing money may relieve some of the pressures, but it can also put your business at risk.

You should carefully control every element of working capital to maximise your free cashflow during growth. Balance the timing and the amount of money flowing into and out of your business with good practices for:

• credit management
• factoring and invoice discounting
• stock control and inventory management
• supply chain management

Prepare for any shortfalls, if you can. Predict peaks and troughs in your cash balance by preparing realistic cashflow forecasts.

In periods of growth, holding obsolete stock may become a problem. You may want to manage your suppliers to reduce delivery cycles, or switch to suppliers and systems that can handle just-in-time delivery.

Planning ahead helps you to anticipate your financing needs and arrange suitable funding. For many growing businesses, choosing the right finance options -  and possibly bringing in outside investors to finance growth - will be a key decision.

Overtrading and a lack of working capital in the time between investing in business growth and realising the profits can cause serious problems for some growing businesses.

What does overtrading mean in business?

Overtrading happens when a business expands too quickly without having the money to 91香蕉黄色视频 such fast growth. Lack of resources may mean you are unable to deliver on contracts or pay for your company liabilities.

Overtrading can occur if, for example:

• your customers are buying on credit or paying late
• you are overspending (on equipment, materials, etc) before you are able to generate revenue

See what is overtrading.

Typical signs of overtrading include:

• lack of cashflow
• small profit margins
• excessive borrowing
• loss of supplier 91香蕉黄色视频

See an example of overtrading.

As an issue of working capital and cash flow, overtrading can occur even in profitable businesses.

How do you fix overtrading?

Sensible cashflow and good working capital management are the most effective ways to deal with the problem of overtrading. If you're at risk of overtrading, you may want to, for example:

• improve stock control and reduce inventory
• match sales and production cycles
• scale back the rate of growth
• renegotiate payment terms with suppliers
• set new (or better) payment terms for your customers
• use factoring or invoice discounting
• lease assets or buy them on hire purchase, rather than outright
• cut costs or inject new capital to increase your cashflow

See how to avoid the problems of overtrading.

Working capital management

Proper management of working capital is key to your business' financial health during growth.

Lack of working capital is not the same as unprofitability, but the effects can be just as catastrophic. If you don't have enough working capital to cover your obligations, insolvency can result. You may find your business facing legal problems, liquidation of assets and potential bankruptcy.

If you're experiencing periods of negative cashflow, you may try to relieve them by extending payment terms to suppliers, either by taking additional time to pay or negotiating longer terms. Reducing the capital that you take out of the business, freezing salaries and increasing prices may all help to produce some respite.

If problems arise from lack of cashflow, stopping expansion for a short period should enable revenue levels to catch up. Read more about business growth: cashflow management.

Market research isn't something you do as a one-off when you launch your business. Business conditions change continually, so your market research should be continuous too. Otherwise, you risk making decisions based on out-of-date information, potentially risking business failure. Published information can provide useful insights into market conditions and trends, and help you carry out primary and secondary market research.

Customer engagement

As a growing business, your own experience can be even more valuable. You will be able to build up an in-depth picture of what customers want, how they behave and which of your marketing approaches work best.

Taking the time to talk to key customers pays off. Your suppliers and other business partners can be important sources of market information. You should encourage your employees to share what they know about customers and the market. See what you need to know about customer research.

Effective IT systems and processes can also make it easier to analyse key information, such as customers' purchasing behaviour. You may want to carry out extra research as well, eg to test the market and customer reaction to a new product. You might do this yourself or use a freelance researcher or market research agency.

Product and service development

As products and services age, sales growth and profit margins reduce. Understanding where your products are in their product life cycle can help you maximise profitability. You also need to invest in innovation to bring new, profitable products to market. 

Understand your competitor

The more you succeed, the more competitors react to what you are doing. A market-leading offer one day may be no better than average a few months later. Loyal customers can be quick to find alternative suppliers who provide a better deal. It's important to create marketing strategies that take advantage of your competitors' weaknesses, and improve your own business performance. 

Data management and analysis is a key activity in modern businesses. It produces and relies on large volumes of information, including:

• financial records
• customer records and interactions
• growth and sales forecasts
• employee details and communication
• regulatory requirements

Such an amount of data is too difficult to manage without the right systems. Technology can help you to use this information effectively to grow your business.

IT systems for business growth

Management information systems (MIS) can help you delegate responsibilities and tasks as your business grows, allowing you to manage growth effectively. The larger your business grows, the harder it is to ensure that information is shared and different functions work together effectively.

Information systems may include:

• customer relationship management systems
• forecasting and ordering systems
• integrated manufacturing systems

Putting the right IT infrastructure in place is an essential part of helping your business to grow. It is important you carefully plan your IT purchases and align IT with your business strategy and needs.

Business processes for growth

As your business grows, documentation, policies and procedures also become increasingly important. The informality that might work with one or two employees and a handful of customers isn't practical in a growing business. You need proper contracts, clear terms and conditions, effective employment procedures etc.

Many growing businesses find using established quality management standards one of the most effective ways of introducing the best business practices. Quality control systems can help drive improvements and convince larger customers that you can be relied on.

Sourcing the right systems is an investment that will pay off both short and long term. You benefit every day from more effective operations. Moreover, if you ever decide to sell the business, your well-run, efficient systems will be an important part of proving its value.

Entrepreneurs are the driving force behind creating and growing new businesses. Sometimes, they can also be the people holding them back.

Leadership skills

The skills you need to grow your business are not the same as the skills you needed to launch it. Don't overestimate your own abilities. You may need training to learn the skills and attitudes required to lead growth.

Help to Grow: Management Scheme

Small and medium-sized businesses looking to grow can access training and mentoring 91香蕉黄色视频 through the Help to Grow: Management Scheme. The scheme is 90 per cent funded by the government and provides access to 12-weeks of learning, 1:1 91香蕉黄色视频 from a business mentor and a chance to develop a bespoke business growth plan to help your business reach its full potential.

Delegating skills

As well as leadership skills, to grow your business you will also need to learn to delegate properly. This means trusting your management team and giving up day-to-day control of every detail. You could stifle creativity and motivation by interfering too much. As the business becomes more complex, you also need to develop your time management skills and learn to focus on what's really important.

As your growth progresses, you may also need to bring in outsiders to help. You'll want to delegate responsibility for particular areas to different specialists. You could consider recruiting company directors. As you start tackling a new opportunity, someone who has experience in that activity can be vital.

For many successful entrepreneurs, learning to listen to and take advice can be a challenge. But it may also be essential if you are going to make the most of your opportunities. Some entrepreneurs, recognising their own limitations, even appoint someone else to act as managing director or chairperson.

Training your staff

If you're thinking about changing the products or services you offer, you may need to retrain workers. This means giving them the necessary skills for any new processes or tasks they'll have to do.

Investment in employee development increases their engagement with the business and tends to increase productivity, job satisfaction and staff retention. It may also help ease any concerns they have about change. This gives them confidence that you are continuing to invest in them and in the business.

Carry out training and learning needs analysis so that you understand what skills your employees have. This allows you to identify any skills gaps against your business needs, both immediately and for your future plans. See how to identify training needs in your business.

Business growth often leads to more staff, expanding operations or increased production. This, in turn, can easily create a situation where you outgrow your current business premises.

Find larger business premises

Several options exist to help you meet the demands of your growing business. You could, for example:

• rent new property
• buy new property
• extend or alter your current premises

You may need planning permission if you're thinking of extending or altering your premises. The building work may also disrupt your operations and may not always be possible. 

There are pros and cons to both renting and buying business premises:

Buying business premises

Buying requires a major commitment but gives you greater stability than renting. It's often an expensive investment and will require some ongoing funds for repairs, maintenance and similar. Read more about buying business property.

Renting business premises

Renting can provide more flexibility for your business as it grows. Depending on your rental agreement, you may need permission to alter or improve the premises. You may also be liable for the rent for the entire period of the lease, even if circumstances change and you need to move on. However, renting typically ties up less capital than buying and can free up funds that could be used elsewhere in the business. See more on renting commercial property.

When considering your needs for new premises, consider if different ways of working - for example, outsourcing certain processes - could reduce space requirements. You should carefully consider any change in your working practices, eg weigh up the advantages and disadvantages of outsourcing.

Managing the move to new premises

If you decide to move to new business premises, you will want to minimise disruption. Have a clear plan for moving. Provide instructions to staff and create a consistent labelling and packing system. You could hire a professional removals firm. This may minimise legal risks of personal injury or property damage.

For many businesses, growth is a core objective. Bigger sales, higher profits and greater geographical coverage all help your business generate more income for shareholders and employees. However, some businesses may need to limit - or stop entirely - their growth, if it is not in their best interest.

Reasons for limiting business growth

There are several reasons why you may want to control your business growth. You may, for example, grow too large too quickly which can expose you to the risk of overtrading. Other key considerations could be:

• the length of time to reach profitability
• the willingness to accept additional risks associated with growth
• the desire to stay below the thresholds for certain legal requirements
• ensuring the growth is sustainable and within your financial comfort zone

Planning is key to dealing with problems arising from business expansion. You should:

• prepare a business plan for growth and keep it under regular review
• use key performance indicators (KPIs) to assess business performance
• change strategies if you fail to meet your objectives (or stop when you do)
• have an exit strategy in place alongside your growth plan

Read more about strategic planning for business growth.

If you decide to stop growing

If you come across serious problems due to business growth, and you're unable to resolve them, take action without delay. Putting off the decision may only make the problems worse.

Stopping or reversing growth isn't an indication of failure on your part. If you stop your business' growth and successfully consolidate, it is important to learn from the experience before starting afresh. Identify the factors that caused problems and put strategies in place to prevent or tackle problems in the future. Use the expertise, facilities and funding that you have gathered in your business so far, as the basis for the next stage of business development.