Everyone who goes through the struggles of starting a business has a vision that it will one day be among the fortune 500 companies or appear in a top companies list on a magazine. Well, we all know that businesses start small and grow to multi-billion dollar empires with thousands of employees. The facts are that you will not skip the small part – what you can change is the rate at which your small business grows and the extent of the growth. It does not matter whether you start from a humble beginning, the time and the resources you pump into the business will determine how fast it will grow. Here are a few tips to get you started on the right foot:
Focus On The Right Market
No matter how good your business is doing, you cannot sell to everyone. This is where market segmentation comes in. you need to pick the right market and build your marketing strategies around it. Large companies spend time and money to carve a corner of a market and invest heavily to own the space. This is how they are able to stay at the top of their game and make millions in the process.
In simple terms instead of focusing on a market that is full of bigger sharks, concentrate on a market you can make your own and beat everyone else as far as sales are concerned. Build your identity and associate it with your target market. The market segmentation involves making a lot of decisions and choices, who will you sell to? Who will you eliminate from your target market? Which market can you focus on to increase your sales and profits?
Get Into Partnerships
Most small business owners will complain every single day of how difficult it is to compete with the larger businesses. The reason why it becomes hard for a small business to make it in any industry is the lack of bridges. If you cannot connect to a larger market because of lack of distribution logistics, growing will be a far fetched dream. In the big league, most corporations have enough money to mobilize any kind of logistics to take their products where they want and this is how they stay relevant.
To solve this problem, you can leverage partnership with a company that will help you in manufacturing or distribution and you will not need to pay a single cent to enjoy these services. The only thing you need to do is give the partner a part of the profit for every item that is sold through their distribution services. The good part is that you will reach a larger customer base and increase your sales which will put you in a position to expand and probably have your own distribution channel.
Plan Your Task
Big businesses have specific time for all tasks that contribute to the smooth running of the company and nothing is left to chance. Small business should not be any different because the operation of a business is still the same; it’s only the magnitude that differs. To grow big, you should treat your business with a professional approach and it will respond in the same way. Set aside time for every task and have a checklist to remind you what needs to be done. Forgetting to do something will just eat into another task’s time and this will slow down the general growth of the business.
It is clear that the large companies have continued to do well through acquisitions. You might think that this is way offline especially because we are talking about a small business. Acquisitions are difficult and a wrong move can break your bank account fast. That said, making the right decision can bring massive profits and help you move your business up the ladder. If you have enough money to make an acquisition, think critically of how it will help your business in growing and what is at stake. Keep in mind that there are many affordable acquisitions and you should not cast a blind eye just because you are a small business; some can actually turn out to be your breakthrough.
Be A Leader
In the world of business, you need to be a leader or do your best to appear like one to attract consumers to your business. You should be able to analyze the industry and make moves that have no competition but with high potential. Consumers are attracted to bold businesses and small as you may be, you will get a chance to grow when you venture into areas without much competition. You should however not go in blindly, conduct market researches and studies to identify what will work and what will not. With that, you will, have all the fuel you need to take your humble start a few notches higher.