Foolproof Ways to Grow your Business
Your business hasn’t burned to the ground, you got a product out there, and you’ve even got a small posse of fans eagerly waiting for what you’ll do next. Cool, seems like everything’s under control. Now you just need to figure out how to make your business grow.
If your business has hit the point where it can really take off, it’s important to scale it smartly -- otherwise, it’ll end up like a sad, deflated souffle that spent too much time in the oven. These 3 strategies will help take your business to the next level:
1. Focus on long-term opportunities over day-to-day management
A recent study by Harvard Business Review found that a 1% increase in growth rate increases your company’s value by 27%. On the other hand, a 1% impvement in operating margins will only boost your company’s value by 6%. While it’s important that your daily operations run smoothly, don’t forget that you started this business because you have a goal, and goals are achieved by hitting milestones.
2. Give away your job every three months
You might think to yourself, “Okay, three months isn’t that long.” But keep in mind that while you’re sticking around in one spot, your competitors are sprinting ahead and leaving you behind in the dust.
Giving away responsibility to someone else isn’t just a way to overcome career inertia, but it also shows your team members that you trust them. After all, Rome wasn’t built in a day, and great businesses are rarely ever built by just one person. It’s uncomfortable to give away control of something that you’re good at and you care about, but you can also look forward to how you can tap into your potential in new ways.
3. Know your numbers
Entrepreneurs like to trust their gut. It's what makes us dream big, create amazing products and services, and change the world. But that's only half of the business.
The other half is practical and data-driven. Do you think Apple or Amazon are out there winging it? Hell no! They've got a team of data science experts breaking down every number imaginable and top-tier MBAs crafting a strategy around those numbers. The bottom line is, successful businesses aren’t afraid of taking a look at the numbers.
For smaller companies, checking the metrics frequently helps give you an idea of how your business is performing. Be sure to compare your company’s main financials with last month’s numbers so you can get a headstart on planning next month’s strategy.
For more tips on learning + understanding your numbers, try The Sprout Guide to Financials. It can help you understand your financials, know exactly where your company stands each month, and create a plan to grow next month. It's also the same one we use every month to measure our numbers.