Young Upstarts

All about entrepreneurship, intrapreneurship, ideas, innovation, and small business.

How To React To A Rapidly Expanding New Start Business

Growth is good in business and this is what all young businesses are attempting to do. But what if you unexpectedly grow at an unexpected rate?

This can be a headache and a bit of a problem as if you are not set up to deal with an unexpected volume of sales then it can actually end up being harmful rather than good for your business. 

Identify If You Have The Staff To Deal With It. 

Do you have the staffing to deal with it? If not then you need to consider what to do? Are your customers going to be willing to wait until you clear the backlog and deliver the product or service later? You can increase your staff levels but then it’s important to consider a couple of things, how skilled do your staff need to be? If you offer installation of a product, for example, fitted kitchens then are the new guys going to work to your system or take a lot of time to be trained? Do you get temporary workers in case the upsurge is temporary? Try to find out where the extra business is coming from before making this decision.

Look At How Much Extra Profit You Can Make. 

Extra sales and cash-flow are all well and good but it’s vitally important to see if this will make enough extra profit to be worth doing. If there is a lot of investment to be able to able to fulfill these orders then sometimes it’s a better idea to hold off, pull back on promotion and deal with your current workload first.

Are Your Premises Suitable. 

What are your premises like? Do you need to start keeping more supplies or stock? If so then you might need to have a careful look at your storage space available. If you are unsure about upsizing straight away, or even are still stuck in a lease then at least think about getting some temporary storage somewhere like Life Storage Springfield where you can keep your extra materials, and the beauty of this is that there are usually no long-term contracts in places like these meaning you can expand and contract the storage used as your needs change.

Think About Out-Sourcing.

If you are not able to get it all done yourself have you considered out-sourcing or sub-contracting some of your extra work. You can easily get a logistics firm to take care of deliveries for you or even get temporary staff or sub-contract whole projects or parts of them to other firms. This flexibility can be invaluable in a changing work world. 

Consider The Risk To Your Reputation.

Nothing is without risk and if you take on too much too soon you may well be risking the of your business by taking on this extra work. If you are making a good profit good reputation already and have a good name to protect think seriously about turning down the extra work and building more slowly.

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Young Upstarts is a business and technology blog that champions new ideas, innovation and entrepreneurship. It focuses on highlighting young people and small businesses, celebrating their vision and role in changing the world with their ideas, products and services.

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