Businesses who have continued trading during COVID-19, and are still going strong, are well-equipped to thrive beyond the pandemic’s end. With the experience of navigating a global pandemic under your belt, you may feel ready to expand your operations.
Here’s how to know if your business is ready to grow.
Your current resources are stretched
You may detect that your inventory is turning over much faster than before. Employee functions may be overstretched, with assignments running late. There may be a customer waiting list because your current capacity can’t keep up with demand.
These are clear signs that expansion is necessary – more inventory, new hires, better equipment and possibly more space, all directed towards the aim of increased sales.
Demand for your product or service is consistently high
Assess the overall demand in your sector by researching industry outlooks and forecasts. Consistently increasing demand is a reliable indicator that the time is ripe for expansion.
Also listen to your customers.
Are they asking for solutions to a problem you know you have the power to solve, with a new product or service? Finding a problem that needs solving is one of the primary requisites for success.
Are they so satisfied with your product that they don’t try to negotiate your prices or ask for a discount? This means you have a competitive edge you can exploit.
You have the right leadership team
While you’re applying yourself to growing your business, you need to know that its day-to-day operations will be in safe hands when your focus is elsewhere. This can only happen when you’re confident that you have talented and enthusiastic people in key positions in your team, and your organisation is running smoothly – almost like clockwork.
There are other elements to your team besides your employees. Your contractors and suppliers need to be behind you as well, and completely fulfilling your needs. If not, sort this out before you aim higher.
If there are no challenges in sight, scaling up could be just what is needed to add momentum to your organisation.
We can help you with finance options to support your scale-up
Once you’ve decided that both you and your business are primed and ready for growth, you may need to fund your program with a business credit card (for short-term cash flow management) or a loan for longer term support.
We can help you to assemble the support documents that lenders will want to see when you apply for finance, including:
Previous financial reports (Profit & Loss Statement and Balance Sheet)
A business plan for the future
Cash flow forecasts
We’ll also help you to work out how much you need to borrow and can afford to repay, and advise on the best type of loan to suit your needs.
Get in touch with us, and let us assist you in preparing your business for successful growth.
Original post by Bank of Queensland