It’s now easier than ever to secure capital for a business idea, and get your venture up and running. The economy’s started to look up, and revenue growth is much more accessible to fledgling start-ups. While growth is certainly more accessible these days, there are still a number of barriers to it that small business owners are coming up against. Here, we’ll take a closer look at some of these barriers.
Failing to Monitor Indicators
Every business owner wants to see productivity and growth for their operation, but they need to know what kind of form this will take, and whether or not they’re ready to grow in that area. Make sure you’re studying the right business indicators regularly, and monitoring growth opportunities as you go along.
This will include your sales funnel, your conversion rates, and any niche trends that are poised to affect these. Some of the things you should be keeping an eye on include your success in one market or location, and the potential you have to tap into another.
There are many ways in which success in one area of product development opens new doors in other areas, and if you manage to overlook these, you’ll squander your entrepreneurial mindset. Ignore your business indicators, and you’ll have all kinds of opportunities slipping through your fingers!
Failing to Cover Your Risk in the Growth Phase
You’re not going to reap the big rewards in business without taking at least a little risk, especially when you’re trying to stimulate growth. Some of this comes in the form of investments, which can be as cut-and-dry as unified communications and VoIP services or as unpredictable as hiring in guerrilla marketers.
Then there are things like hiring issues, manufacturing disasters, intellectual property theft, and sudden, unexpected cash flow fluctuations. When it comes to all of these risks that are pretty much out of your hands, it’s important to move forward with a “plan B” always on your mind.
Try to be more proactive in identifying threats like these, and finding dependable ways you can fix them, or avoid them completely. It can be tough to develop a dependable safety net for these kinds of things, but it can make the difference between success and failure in some cases.
Forgetting About the Competition
Your competition can be a massive help to your growth, but only if you’re approaching them the right way. There’s no point in making it a priority to be better than the competition if you don’t have firm knowledge of how you measure up to them.
A SWOT analysis [strengths, weaknesses, opportunities, and threats], or some similar model, can be very helpful for determining this. This can also make it easier to uncover any opportunities you didn’t see coming, along with any threats there may be to your plans for growth in the future.
No matter how you go about it, you need to be monitoring where you and your closest competitors stand relative to each other. The aim here is differentiating yourself, and exhibiting the value you can deliver, but they can’t.