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How to Grow your SMB the Smart Way

Make sure your SMB grows as efficiently and as successfully as possible.

James Douglas Burbank

June 19, 2017

Even though every business is unique and a story for itself, there are certain key moves that will work for the majority of companies. Those successful businesses manage to expand and grow thanks to unconventional thinking, discipline, and unmatched focus.

Many business founders come up with great ideas, but they don’t know how to scale their organizations for growth. Growing a business is more than just a worthy goal, but a necessity for your economic well-being and survival on the market.

We present you with these few essential principles that you can start implementing immediately, as you begin to increase the thrust of your company engine.

1. Embrace new technology

Thanks to innovations in the field of technology and business apps and systems, everyone can leverage this power to manage their business more efficiently. If your business can identify with a true need, then it’s most likely that there is the tech needed to fulfill that need. Technology can help you save money, do your work more efficiently, and provide new opportunities.

Having a quick and wireless access to technologies required to execute a particular business model is a great advantage, and everything comes down to connecting your business model with the use of accessible technologies to create the best operating blueprint. Take your time to learn and understand how it works, and adapt to tech advances (otherwise, it can hurt your business).

2. Upgrade your talent pool

Only skilled people can lead a business to growth, unlike stagnant companies, so not managing to upgrade your talent pool would prevent your company from growing. Small business owners say that they don’t have enough money to bring new talent to the company.

However, the reality is they can’t afford not to bring in anyone, because skilled people are required in order to continuously monitor and evaluate the inherent risks of rapid growth. Otherwise, everything they’re working for will be jeopardized.

3. Hire people who don’t think like you

You don’t need more people like you, but someone you can bounce your ideas off, and who will provide a different perspective on the current matters. You are there to sell your vision, while they are there to practice active listening and thoughtfully challenge your ideas.

Choose smart, intellectual, and capable people, and don’t mix business with pleasure too much. Relationships in the office should be good and people have to trust each other, but you don’t want to make things to fraternal and informal, as it can impair their work ethic and efficiency.

3. Rely only on formal agreements with partners

A growing company, as like by some rule, puts a lot of stress on the management and employees. Today, you may all be good strategic partners, but things may change quickly. It happens that early co-founders drop out of the business due to various disagreements, everyone forgets about them, but they don’t forget the informal agreements that you made.

Later, when the company starts growing and is close on financing, these forgotten partners can come back from the shadow and demand their original shares. To avoid this sort of problems, issue shares to all founders immediately after early discussions.

4. Overspending / underspending

Avoid both. A large investment is not required for starting a business. However, some small business owners feel that they have to spend a fortune in order to purchase the best of everything, from software and equipment to marketing help. What they don’t know is that there are other, equally viable and less expensive options. Be sure to create a business budget and stick to it to avoid overspending.

On the other hand, there are those who refuse to spend much of anything, and fall on the other end of the spectrum. You can start and grow a business with a limited fund pool, but not investing enough in your business can very much limit your potential for growth and success. Avoid spending on unnecessary things, but realize that by always opting for the cheapest options is a recipe for doom.

5. Change your business strategy as you grow

Let’s assume that your initial strategy may prove to be wrong at one point. Many startups pivot their operation and refine their target market a few times during their growth phases. Schedule an adjustment review every 4-6 weeks to plan for strategy changes, and stay flexible and alert at all times.

Things that can shake the ground for you can be sudden and unable to predict, such as a new competitor with a lot of capital, or an economic recession. If it happens that you need to make quick changes, to innovate and take chances, there are companies like ALC Commercial that can supply you with small business loans, and back up those quick and risky endeavors.

Closing Word

Keep in mind that these are just some of the tips that may help you to avoid common mistakes small business owners tend to make repeatedly, to direct you in the right way if you find yourself at a confusing crossroads, and grow your business the smartest way possible.

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