Each year 4 out of 5 new businesses close. There are a multitude of reasons, but for some, it’s an inability to scale at the right time that causes them to shut down. The business owner becomes too overwhelmed with business tasks, can’t handle everything, and eventually either the finances or the customer experience suffers. All of these struggles can be mitigated by scaling and growing your business in a sustainable way.
Outsourcing
Most entrepreneurs start their businesses solo. They do all the work themselves to maximize their profits, but as they grow, their ability to increase their income is stifled by their ability to do all the work themselves. Smart business owners know that outsourcing and hiring employees is critical for scaling up. Outsourcing means that the entrepreneur focuses on the tasks that require their input and thought, and they hire an individual or company to do everything else. There is no need to be the marketing, HR, creative, and finance departments of your own company. Hiring a specialist ensures the work is done with excellence and you have more time to think about the most important parts of your company.
Cloud Technology
Having all your software on one computer, hosting your own data, and managing your telecommunications in a single office building limits your ability to scale long-term. If you need more space for data, you’ll need to expand your server room size which can cost a huge sum of money. If you want to expand your customer support team and phone services, TEM benefits your team and your long-term business goals. Telecom enterprise management includes cloud technology and saves you money in the long-term.
Automate Processes
Do you remember the days of making paper copies and filing them by hand? Do you remember when you had to enter data one line at a time instead of being able to import entire files? Automated processes are one of the most important factors you need to scale. If you’re running a product-based business for instance, it helps to have a system that approves the sale and sends the order to your inventory system. Instead of hand-counting everything each time, an automated system removes items from your inventory count upon ordering and can even alert you when new items are needed. Automation saves you time, which helps you grow from your garage to a warehouse.
Marketing
A great marketing campaign is worth every penny. Think about how the Harmon Bros upended the look and feel of advertising with a single ad about a squatty potty. Their creativity is genius. While not every marketing campaign will be quite so memorable, marketing is what helps you reach your customers with the right product at the right time. A marketing team is crucial to scalability. And for the most bang for your buck, spend your efforts on email marketing and Google ads.
SEO
Search engine optimization (SEO) is a long game, whether we’re talking about SEO for accountants or SEO for multi-national corporations. It takes time and resources, but the benefits are worth every minute and every penny. It’s how people will find your company and the things you do. While there’s plenty to be said for traditional off-line advertising methods, SEO is how you get your business in front of people who are actively looking for you. Maybe they’re typing “accountants in Seattle” or “the best mattress in a box.” If you’re a Seattle accountant or if you sell mattresses in a box, your search engine optimization strategy can get you there. Part of scaling should include SEO.
Plan Ahead
A good scaling strategy is just that. It’s strategic. It’s a plan. You can’t accidentally scale. While you can grow on accident, scaling means your business is sustainable. That the growth you’ve achieved won’t go away in an instant and that means you’ll be able to build your business to whatever level you desire. Planning is critical for scalability. You’ll look at opportunities through strategic eyes and make decisions based on data and not on emotion. Proper business planning requires the ability to look ahead to what you want and create a path to get there.
