Is your company growing too quickly? Very fast growth can put strain on a small business, and dealing with the rapid changes can be overwhelming. Here are 10 tips for success when your small business is growing too quickly.
1. Focus on Customer Service
When a company grows very quickly, the customer service department can grind to a halt. Your customer service department may become overwhelmed with phone calls and stop providing the level of service you’re known for. If your loyal customers aren’t getting the service they’re used to, they may go elsewhere.
2. Carefully Manage Cash Flow
When a business grows quickly, its monthly expenses can grow out of control. You may need to hire more employees or move to a larger building—with higher monthly rent—to keep up with your growth. As your expenses grow, it becomes even more important to keep a close eye on the amount of money that’s coming in.
3. Learn to Delegate
In a very small company, the owner can be involved with every department, but as the company grows, they need to learn to pass responsibilities off to their employees. When your business goes through a sudden growth spurt, you need to learn to delegate very quickly. With employees looking after your company’s day-to-day tasks, you can focus on being a leader.
4. Invest in Leadership Training
A hallmark of a strong business is strong leadership, and as a business grows, the skills to lead it become more complex. These skills don’t come naturally for many people, which can hold your company back. If you and your management team are feeling the strain of the company’s fast growth, invest in leadership training.
5. Hire More Staff
If your business is growing too quickly, your employees may be feeling stressed and overworked. If your employees are working late or having to pick up extra shifts, bring on more staff to share the workload. Since hiring is a slow process, you may want to work with a staffing agency to immediately bring on temporary workers.
6. Start an HR Department
At small businesses, human resources often takes a backseat to departments that generate revenue. When your company grows quickly and needs to hire more employees, the need for an HR department increases. HR can manage tasks like compliance and employee behaviour to help keep your growing company out of trouble.
7. Find More Suppliers
Are your suppliers having trouble keeping up with your sudden need for more materials? When a business grows too quickly, it can put strain on other companies that it deals with. To get the materials you need, find more suppliers (or start working with a larger supplier) that can keep up with your new volume.
8. Upgrade Your Processes
When a business grows quickly, processes that used to work well can become inefficient. Tasks that didn’t take long when your company was small, like mailing paper invoices to customers, can become an administrative nightmare. These processes should be upgraded so they can be done more quickly. For example, switch to electronic invoices so you can send invoices with a click instead of needing to send out envelopes.
9. Choose Systems That Will Scale
When you upgrade your processes, keep your future growth in mind. To avoid the need for frequent upgrades, choose systems that can scale to support businesses of any size. With a scalable solution, you can be confident that your systems will suit your business for a long time.
10. Remember Your Original Mission
It’s easy to lose sight of your original mission when your small business suddenly becomes a medium-sized business. Your mission is important to both your customers and your employees, and it’s a key part of why you’re now growing so quickly, so don’t lose sight of it. If your business changes too much, you may experience backlash from your customers or employees.