Your business idea has lifted off and it has been a huge success so far, so you’re thinking of expanding. Making a decision this huge means that you need to take a pause first – diving right into it without a clear action plan, or any clear idea of what’s best for your business, will spell disaster. Think about these three things first before you decide to expand.
What is your long-term objective for your business?
In business, this is called the strategic plan. According to Entrepreneur.com, this is where you start when you’re thinking of expanding. You first visualise your end game: what do you want to achieve and by when? Do you want a thousand more people buying your product by next year? Or do you want to be an industry leader in the next 50 years?
What markets are you eyeing?
In order for your business to get more customers, you need to decide first what market is best to expand to, profile your typical customer in this market, and analyse their needs. This includes understanding their age, income, buying habits, and the things that make up their lifestyle.
Afterwards, plan out how your product can address their needs. You could start first by introducing your existing product to a new market profile by offering new ways to use your product.
Are you well-equipped to expand?
Expanding means investing in resources so your business can keep running smoothly after it has grown. Do you have enough people, skills, products and resources to help you run a bigger business? If you don’t right now, do you have the means to acquire them?
Resources don’t only cover raw materials for making your product. They also cover various systems and software like JobLogic that help makes it easier for your business to do its job for its customers. As you expand, for example, you might need software that makes it easier for employees to access information and communicate with each other.
Running a business is admittedly tough work, but it’s at times like these when you’re deciding to expand that it gets exciting too. After you’ve figured out these three things, flesh out your plans and dive right in!