Effective tips for growing your small business
After investing money, effort and sweat in getting your small business off the ground, you must be wondering now: What’s next?
Well, the next logical move would be to grow your business beyond its status. But how can you do that? This depends on your business type as well as the amount of money and effort you want to invest. However, the possibilities are numerous and today we will share with you a few.
Ways for growing your small business:
Offer your business as a franchise
Franchising is a great way to expand your business without having to worry about cost of equity or risk of debt. It also allows you to allows you to grow your small business with minimum capital investment. Moreover, franchising is one of the fastest ways your company can grow without needing to invest in more time or staff.
However, for franchising to work, you business need to be credible, unique, teachable and provides an adequate return.
License your product or service
Licensing your product or service is another effective and low-cost growth solution. It minimizes your risk, is low cost and can make you good money in upfront royalties and monies. To do this right, you need to look for companies that offer similar products and services. Secondly, you need to find a licensed attorney who specializes in intellectual property. And finally, you need to contact that company and set a meeting to discuss your preposition.
Form partnerships with powerful companies
If you are looking for a way to expand your business quickly, forming an alliance with a similar and powerful company might do the trick. This will help you spread awareness about your products or services and can help you also significantly increase your sales. You can read more here about how strategic partnerships can benefit your small business.
Open another location
Most entrepreneurs think of opening another location as their first (and sometimes only) option for expansion. However, if you don’t do your research and plan carefully, this move can actually backfire. In order to successfully open another location, you need to make sure that you are maintaining a consistent bottom-line profit. Moroever, you need to monitor economic and consumer trends, make sure your teams are ready, prepare a comprehensive business plan and choose the right location based on your business.
Choosing to diversify is an excellent strategy for growing your business. It allows you to have multiple income streams, increases your market presence and broadens your target audience as well. Here are several ideas for diversifying your product or service line:
- Offer complimentary products or services.
- Import or export your products (or other companies’ products).
- Become a paid writer or speaker.
For more details about the advantages and disadvantages or diversifying, click here.
Target new markets
Even if your current market is serving you well, targeting new markets is another way to expand your small business. Just think about your consumer market and where you can find them. So, for example, if your target consumers are students, think of introducing your offerings in schools, colleges and clubs. You could even offer certain discounts to attract new consumers and get them interested in your products or services.
Acquire or merge with another business
Merging with another business or acquiring a new one are also effective strategies for growing your business. They could help you diversify your product or service line, achieve synergy, eliminate competition and increase supply-chain pricing power. However, in order to succeed in this step, you need to focus on customer retention, staff retention and melding technologies.
Expand regionally or globally
Having a regional or international reach is a great way to increase your market share and realize sustained growth. To do this right, you need to prime your product to a regional or international market. You will also need a foreign distributor to carry and resell your product in his domestic market.
Having an effective website is becoming an integral part in the success of any business. With that said, it is no secret that the more visible your site is, the more chances you have for growth and expansion. So think long and hard about design and programming. Also, make sure that you choose an effective content strategy based on user behavior, preferences and researched keywords.
What other strategies and tips can you offer small business owners to expand their businesses? Please don’t hesitate to share them with us in the comment section below.