Grow Your Small Business With These Expansion Tips
When someone first starts a new business, it’s not uncommon to operate in survival mode for the first few months or years. Once you’ve reached a stable point, however, it could be time to focus on expansion and growth.
From virtual business addresses that allow you to effortlessly expand into new cities, to franchising, and beyond, these strategies are sure to inspire and motivate small business owners like you. If you're ready to take your business to the next level, these tips will help you get there.
Become comfortable with outsourcing and delegation
In a new business, the owner tends to wear many hats. They’re responsible for marketing, sales, office administration, product development, and more — all in addition to their core competencies.
It’s a surefire recipe for stress and burnout, which quickly leads to decreased productivity. As the business grows, it becomes impossible for one person (or even a small team) to be responsible for everything.
If you want to stay focused, productive, and efficient, you’ll eventually need to outsource and delegate. Some business owners opt to hire dedicated employees. This strategy works great for some companies, but others can’t afford to hire staff or don’t have enough full-time work to justify the investment.
If you can relate to the latter scenario, consider teaming up with a local virtual business services provider. They can help you get the support you need, whether it’s a few hours of extra administrative support each week or someone to answer the phones.
Reduce overhead costs
When it’s time to transform into a bigger business, you’ll want access to as much capital as possible. You’ll need it to hire vendors and new team members, order supplies and equipment, market, and invest back into the company.
There are a few ways to acquire the funds needed to expand, including cutting unnecessary overhead costs.
What can be cut from the operating budget will vary from one business to another, but here are some ideas you can explore to get started:
- Improve inventory turnover.
- Lower production costs.
- Scrutinize your marketing budget and figure out how to reduce customer acquisition costs.
- Rent virtual office space as-needed, instead of signing a lease on an expensive commercial space.
Expand to new markets
Expansion to new markets is critical for business growth because it connects your business to new customers and clients.
If you want to expand, you could start by opening new locations. These could be brick-and-mortar storefronts, but physical space isn’t your only option.
You could open a new website with an online store, for starters. This is an easy way to connect with new customers, and you aren’t limited by geography.
Getting a virtual business address is another virtual option that can help you grow your company. List the address on your website and email signature, then use it to expand your network and attract new customers.
Consider franchising your business
Do you have a “recipe for success”, or a successful business model that can be duplicated through a repeatable system?
If so, then you may have a franchising opportunity on your hands. As a franchisor, you’ll need to license your brand, business model, and process to franchisees who sell your products or services in their own location.
You’ll need more than just a business model, though. A brand that holds appeal across different geographic regions is also necessary. That doesn’t mean you need to franchise across an entire country or continent, but whatever you’re selling does need to be viable across several locations.
Network aggressively and explore strategic partnerships
The right network and partnerships can help your growth rate skyrocket.
There are tons of ways to grow your network and find partnership opportunities with other companies, even in the COVID-19 era.
If you’re used to in-person networking and aren’t sure where to begin, consider becoming more active on a platform like LinkedIn.
Start off by writing thought leadership articles and sharing them with your connections. Next, answer questions in industry-specific groups. Before you know it, you’ll have valuable connections that can help you grow your business.
