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How to make your business scalable

Here are some tips on how to build a scalable business or make your already established business scalable

  1. You must want to Scale

Is a Scalable Company Right for You?

If your goal is to see your small company grow into a large company, scaling will vastly reduce the amount of time it takes to achieve that status, just like Google and Microsoft.

With the current situation where information and ideas can be easily communicated, business that fail to scale may be “ sitting duck.”

Companies that find ways to grow their service offering exponentially can outmaneuver larger competitors because they are not locked into the same slow growth cost structure.”

Despite this, a small-business growth strategy always comes down to the preference of the owner.

Not every business is suited for exponential growth, and neither is every business owner.

Slow but steady incremental growth may be better suited not only to the nature of the business but also to the temperament of the owner.

  1. Find ways to automate your processes

If you take a hands-on approach to your business, it may be very hard for you think about scaling operations as part of scaling your business.

This is because, in order to scale your business, you have to find ways to automate your processes.

An example is a bakery that has only 6 staff working shifts within the bakery. Of course, there is a manager, accountant, sales people and the rest, the bakery is design in a way that they do not need new staff to increase production.

They currently produce 1000 loafs of bread, 300 meat pies, and other snacks.

The bakery already has the capacity to make 5000 loafs of bread per day.

How? Automation.

Everything from mixing to cutting to packing have been automated.

In business, flexibility and growth do not necessarily go hand-in-hand.

Look at investing in IT support systems and ways you can delegate responsibility for certain necessary tasks.

  1. Identify your competitive edge

The rude reality is that once an idea is out, others will copy it.

So an investor as well as you will need to know what sets your business apart from your competitors.

In order to scale your business, you need to clearly understand what sets you apart in the eyes of your customers.

You also need to understand the core strengths of your business so you can invest in focused growth.

  1. Focus on the right things

Entrepreneurs that are not able to scale their operations are usually focusing on the wrong things in their business.

Yes, there are daily tasks within your business that must be completed. But you must begin to focus on the key activities that will move your business forward in a focused and strategic way.

  1. Build your network

Most entrepreneurs understand that developing your network is key to succeeding in business.

Yes, you also have to continue to develop your skills and clearly understand the value and expertise that you offer your customers.

I personally spend time learning more about how to run a business. I have taken many classes on Entrepreneurship and business management.

You too should look at your business and find resources that will help you grow by optimizing your operations and increasing the value you offer to your customers.

I also do not leave chat groups. I know some can be annoying and distracting but every one of these people are potential customers and investors. When in chat groups, always post important information so that people will take you more seriously. Also be careful the kind of information you share on other social networks. Some investors will check you out and decide on the type of person you are based on your interests.

  1. Ask your employees

Seek ideas for scalable business solutions from your employees. Chances are, they’re eager to participate. Just be sure that they’re thinking in terms of a business that is several times bigger than the current one.

Seek ideas for scalable business solutions from your employees. Chances are, they’re eager to participate. Just be sure that they’re thinking in terms of a business that is several times bigger than the current one.

A couple of years ago, we got a sub-contract to install solar refrigerators in different local government areas in different states. The installation cost was fixed irrespective of location.

When we got the contract, I had only 3 technical staff in employment.

I was not ready to hire more since this will increase overhead cost.

To get the job done, I also joined in the installation. After training the technical staff on the installation process, we decided to form 2 teams since each installation required at least 2 people.

After the about 4 successful installations, we knew that at the pace we were going it was impossible to meet the deadline.

That was when one of my staff suggested we all handle a site individually. This made sense because in each installation, there were always curious people who offered their services for free. So, we knew that there will always be extra hands in each location.

We were able to complete the installations in record time without increasing our operational cost.

If someone suggests an online payroll or accounting software, ensure that it can accommodate a scaled business. Think of these solutions as investments.

 

5 keys to growing a scalable company

  • construct a strong foundation
  • concentrate on business solutions that are scalable
  • Embrace strategic planning
  • concentrate on your key competencies.
  • wait patiently

 

In conclusion

For businesses, the path to success is not found in simply growing but in scaling your business.

To effectively scale your business you must be achieving exponential growth while keeping your costs fairly low.

But truth be told, scaling a business requires a whole new level of skills and systems that many entrepreneurs can’t fully anticipate.

For this reason, some business advisors caution against scaling too quickly.

Over 90 percent of startups fail due to self-destruction, not product, services or competition.

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