Grow, Because There Is No Other Choice
Growth is basically a choice. Yes, every business owner wants growth, but many of them simply choose not to grow.
They may be satisfied with their company’s size and hence decided not to grow any more. Solo entrepreneurs, for example, may enjoy working alone and don’t want to take on the responsibility of paying an employee.
Consequently, they will not take more work than they can manage. Small business owners who employ 2 – 10 people might assume that they can’t manage any more people. Some people may be earning enough to meet their professional and personal goals. They too may decide not to grow. Growth, after all, is quite challenging. It involves assuming different roles and taking on new responsibilities.
So if growth is difficult, why should you decide to grow? Well, as a business owner you have to choose growth because if you aren’t growing, you are actually shrinking. If your small business does not grow, you will have to deal with the following situations.
Loss of customers
No matter how well you serve your customers, you will still lose some of them every year. People may drift away as their needs may change or your competition will snatch them.
Things change over time, and so do your customers’ buying patterns. If your business does not evolve, you will lose customers.
Costs keep rising and the trend will continue. And if your sales remain the same, your profit margins will decline. This won’t be a good thing.
When new businesses emerge, you will have tough competition. This will also reduce your income. There are also some economic forces that can wreak havoc with the financial stability of your business.
Some businesses want to make more sales, but they don’t want their size to grow. But that still involves engaging in activities which will expand your customer base.
Even if your business enjoys the patronage of your customers, it will still go through trying times. Here are some situations where you have to choose between growth and decay.
- You have just started out and want to build a customer base. When you start out, growth is not a choice. It is the only option you have if you want to survive.
- You’ll have to take on more work, and thus employ more people.
- You have to launch new products to retain your existing customers.
- You have found a great opportunity, but you will need more resources/people to handle it.
- Or you may have to deal with aggressive competitors who are trying to snatch your customers.
Many small businesses decide to stop growing when they reach a point where they have more people on their payroll than they can manage. When you employ several people, you will probably have to hire a manager. This might feel like a loss of control. If you can get around that mental block, you will be able to lead your business to growth and glory.