Hey there! Are you a startup company founder that is growing and becoming more successful every day? That’s, fantastic! Only about 10 percent of startups actual make it and it’s because there are a lot of challenges that startup business owners need to be aware of when they are in the growth stage. Growing is every startup company’s goal, but without the knowledge to handle the growth, they are susceptible to failure. Growth means delegating, decision making, scaling, learning and taking risks.
As a growing business, you are going to work on scaling your company. Scaling is a company’s ability to increase its sales, while maintaining or increasing efficiency at the same time. In other words, if your business gains 3 more clients, but requires you to hire more people to meet the customer’s needs, then you are not running the business efficiently. Scaling is a growing pain that is critical for your success. You just need to push through the challenges and create solutions that will get you through the scaling phase. Growth is a good thing of course; you just need to know how to handle the workload of that growth. Scaling too soon when you are a startup can also be a bad thing. Scaling too fast and too soon can result in a startups failure. It is said that 70 percent of startups scale too early.
You’re Still Learning
So, you are an entrepreneur on your way to success and that’s great! So, you probably realize that building your own startup takes a lot of time and knowledge. Just remember, you still have a lot of learning to do. Being a business owner for the first time, comes with a lot of power and responsibility. Chances are, you do not know everything, and mistakes will be made. Being a startup business owner is all just one big learning process. You may think you know what is best for your company and how to run it but take the time to listen to what your employees have to say. They may have an idea that you haven’t thought of or they may have learned some tricks and tips while working in another similar position that could help you solve problems and make decisions for your business. Also, take a little time to learn about new tech and keep up with your industry’s trends. You will be thankful you did!
Leaving Your Comfort Zone
Your business idea turned into a successful startup and your sales have hit a wall. Your sales may not be decreasing but they are not increasing either. It may be time for some fresh ideas. Being innovative and consistently testing and developing new products and services is important for growth. Innovation comes with a bit of risk taking. Taking risks will set your company up for greater success in the long wrong. Leaving your comfort zone and opening your business to new ideas will keep your company relevant and allow for you to gain a larger customer base. For example, maybe you started selling just one or two product types, then maybe you could look into a product that may reach a different customer base while improving your existing products. A business loan may help you purchase higher quality materials for your products or allow you to develop and test new products for your customers. A good thing may not last forever, that’s why being innovative and keeping up with trends can be important for your growing startup!
Hiring the Right Talent
Building your dream team is a big part of running a business. You don’t want just anyone running your business, right? It is likely that you would want to start by hiring your friends and family, but when your startup starts to grow, you are going to need fresh and experienced talent. Hiring staff takes a lot of time and money! You are going to have to set up interviews and take the time to pick out the candidates with the most potential. Some types of employees you may want to higher would be innovators, leaders, problem solvers and team players. Also, having the right talent will help your company run more efficiently, so that it can keep up with its growing customer base.
Experiencing Fast Growth
So, is your startup booming? Startups that have quickly climbed up the success ladder, may not be prepared financially to handle their newfound growth. This can lead to running low on inventory, not having enough office space or equipment. Startup business loans can help you purchase the necessary inventory or help you move to a larger office space, so that you can manage your growth. It is obviously every entrepreneurs goal to be successful enough to grow and expand their startup, so be prepared when you finally reach that growth stage! In addition to the startup loans, you can also quickly apply for a business line of credit. The business line of credit is great because you can take out what you need and only pay interest on that amount. Expanding your startup so that it is no longer a startup can be done with the right funds available!
So, to wrap things up, the growth of your business can come with a few “pains”, but you can handle it! Learn as much as you can, take risks when you see there is a high reward, hire a dream team and be prepared for any extra expenses that comes with growth. Oh, and congrats creating and managing a successful startup!