How else can you improve your small business’s bottom line? Here are five more ways of growing your business:
Remember the analogy of the big fish in the small pond? That’s essentially how this strategy for growing your business works. The niche market is the pond; a narrowly defined group of customers. Think of them as a subset whose needs are not being met and concentrate on meeting those unmet needs. A nursery, for instance, might specialize in roses.
7. Contain your costs.
Surprised? Bear in mind that when we’re talking about growing your business, we’re actually talking about growing your business’s bottom line. And the difference between pre-tax and post-tax money can make this a very effective growth strategy. There are two main approaches to cutting costs; liquidating your “loser” products and improving your inventory turnover.
8. Diversify your products or services.
The key to successfully growing your business through diversification is similarity. You want to focus on the related needs of your already established market or on market segments with similar needs and characteristics. An artist might also sell frames and framing services, for instance. Or a mountain bike rental business might switch to renting skidoos in the winter season.
9. Franchising.
The stories of entrepreneurs who have become both well known and well heeled due to franchising their small businesses are legion – and not just stories. If you have a successful business and can develop a system that ensures that others can duplicate your success, franchising may be the fast track for growing your business. See Is Franchising Your Business For You? for details.
10. Exporting.
Expanding into international markets can also be a powerful boost to your business’s bottom line. Like franchising, this is a way of growing your business that requires quite a commitment of time and resources, but can be extremely rewarding. 10 Steps to Successful Exporting outlines the process of getting into exporting if this way of growing your business interests you.
There you have it; ten ways of growing your business. Don’t let this list overwhelm you; pick one or two of these ideas that are suitable to your business and your circumstances and get your plan for growing your business underway. Quick-Start Business Planning will get you started. While you probably won’t experience growth right away, whichever way of growing your business you choose, you will see progress if you keep at it, and will successfully transform your business into all you want it to be.
