Determine Your Growth Stage
Small business growth has been studied for a long time and there is a well-defined process. Each stage of business growth has specific items that must be achieved before your business moves to the next stage. Knowing what you should be focused on will make your decision process easier as your business grows.
Understanding the specific requirements you must achieve to move to the next stage is an important step toward sustainable and long-term growth for your company.
Stage 1: Foundation
Goal: Get monthly cash flow to the point of consistent breakeven.
Goal: Consistently achieve owner-established profit requirements.
Stage 3: Self-Sustainability
Goal Path A: Sustain the business success created to this point.
Goal Path B: Rapidly grow the business to a large corporation.
Stage 4: Rapid Growth
Goal: Assure that growth doesn’t outpace assets, resources and systems.
Stage 5: Maturity
Goal: To diversify the company by offering related products or services to existing customers or by entering new markets.