A company’s growth goes through three phases: startup, development, and maturity. Let’s see what they consist of, what obstacles you might encounter, and how to overcome them. You’ve researched, identified your goals, and established a growth strategy. Before starting the operation, it is essential to know the situations in which you could find yourself and how to deal with them. In this post, we will look at the different stages of growth, the related challenges that distinguish them, and ways to overcome them.
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Thanks to your efforts which have paid off, you have reached the first step, the one in which your company has managed to survive. At this point, you’ve probably already had the opportunity to overcome the first and fundamental entrepreneurial challenges, such as:
- Exceed the initial budget
- Find your niche market
- Continue as established by your Business Plan
It, therefore, means that you have already faced the first problems, keeping your head down and moving forward on your way, which will almost certainly involve:
- Careful monitoring of your cash flows
- The achievement of your short-term goals
- Knowing how to adapt to the feedback of your customers
Different from what one might think from the name, this phase does not concern only the most innovative activities (commonly called startups) but all companies.
You’ve started your business, and now you’re starting to see the first concrete results: a regular increase in your revenue and an ever-increasing number of customers. It’s time to prepare for safe and stable growth. The growth phase brings these challenges:
- Meet the needs of increased sales and more customers;
- Manage your time as an entrepreneur between opportunities and problems;
- Continue to grow successfully.
To succeed in all these things, you will necessarily need to:
- Formulate a development plan with an adequate strategy;
- Optimize your working method and make your production processes more efficient;
- Hire competent and motivated people to whom you can delegate some activities, thus dedicating yourself to leadership development.
Your business has now consolidated its presence in the market, and everything runs smoothly, but you can make it grow further. It’s time for bigger and better things, that is, for pursuing even more ambitious goals. This phase of expansion comes with some hurdles, including:
- Gain new market shares;
- Explore new markets;
- Identify alternative profit channels.
- Plan carefully and carry out extensive research;
- Take a realistic approach and evaluate new resources and cost-effectiveness;
- Study the markets and channels complementary to your business to strengthen your business, avoiding potential risks and unreliable solutions.
Go Through The Various Stages Of Growth
Each enterprising action is a case in itself. Sometimes, being happy with protected and progressive development is great without attempting to go excessively far. In contrast, you might take advantage of a surprising chance for an extension in others. The significant thing is to constantly remember where you are and comprehend what any ensuing decision involves. In this manner, you can predict and expect the difficulties that await you at every development stage. We should continue toward a key record, the compass that will direct you along all phases of business development: the Strategy.