Business Growth

Business growth

How do you define business growth?

Business Growth is a stage where the business reaches the point for expansion and seeks additional options to generate more profit. Business growth is a function of the business lifecycle, industry growth trends, and the owners desire for equity value creation. In a growing business to there is expansion in one or more ways. There is no specific tool used to measure growth. Instead, several data points can be used to show a company is growing. These include revenue, sales, company value, profits,number of employees and number of customers. Growing your business is often a necessity for your business’s survival and your economic well-being.

Business Growth can be achieved from:

  1. Existing market – it is easy to convince the existing customers in spending more in your business, so in this case you try convince your existing customers to buy more than what they usually buy and that will increase sales
  2. Target new markets – this is going for new customers , marketing your products in areas where you feel its not known and by this you can hook up new customers which will increase sales and thus growth to the businesses
  3. Increase services – try offer a wide range of products and services to the customers and this will make the business the mother of all customer needs for example if it’s a grocery shop and you include fruits and veggies and also meat it makes it easy for customers because they will have to get all they want in as far as basic grocery is concerned one shop and that can bring up many customers and increase in sales.

 

Small business usually need to grow in order to cement their position in the market and quickly get to a size that is large enough to bring in enough revenue to cover costs and begin to make a profit. And on the other hand big companies may still want to ensure their metrics are going in the correct direction. An increase in profitability, brought about by sales process efficiencies, could help a stable business build liquidity to protect against future risk; even if revenue and sales stays the same.

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