Growing The Business: tips and how-to

Growing The Business

Developing your business and your business is not a long calm river. It is indeed necessary to invest a significant amount of time and energy in order to see your business development materialize.

Take stock of the situation in order to develop your business

Before developing your business, it may be interesting to make an inventory of your activity, in order to see the different possible areas of development.

It is advisable to ask yourself what are the strengths and weaknesses of your activity, to know the positioning of your activity in relation to competing offers, in terms of price, quality, innovation, the positioning of your company by relation to the market, does your activity meet the needs of the market, also an update on your communication.

It is also essential to take stock of the financial situation of your company.

Once this inventory has been completed, you will know more about the different possibilities for developing your business: rely on the strengths you have identified, improve the weaknesses of your offer.

Choose an improvement strategy to grow the business

Once your inventory has been carried out, you must then put in place a strategy for improving the business.

This can lead to abandoning certain products or services that are too expensive, that do not work or that do not have a high enough profitability compared to your other offers.

One of the possible avenues for improvement also consists in improving your margin on products, or improving your rate of additional sales on which the margin is generally higher. Cost optimization also frees up more cash through increased profit due to optimization.

LBdD advice : There is no secret: there are few possible improvements without investment. So don’t be afraid to invest, whether in time or money, in communication.

You need to take the time to develop a good improvement strategy, and once it is developed, make the necessary investments to give it the means to succeed.

Cost improvement strategy

This consists of reducing costs as much as possible, whether fixed charges or variable charges, in order to be able to offer prices lower than those of the competition. To do this, the company can act on several expenditure items such as supply, by negotiating better prices with suppliers, production costs by trying to improve the production process, while maintaining equal quality, but also for distribution, marketing, etc.

Be careful, however, because this economy of scale strategy cannot be transposed to all companies. It is especially suitable for companies that are already well established on the market, and who are able to negotiate in order to be able to achieve economies of scale due to their production volumes.

The innovation and technology strategy

Technological innovation is a USA Phone Number List in standing out from the competition, and differentiating the services or products of your company. On the other hand, this strategy, depending on your sector of activity and the innovations concerned, quickly represents a significant investment both in financial terms and in terms of time, because it may lead you to recruit new people or assign certain employees exclusively on these missions.

The differentiation strategy

It can sometimes be difficult to differentiate yourself among the other offers on the market. The same is true for customers who sometimes struggle to identify the real particularity or added value of a product compared to a competing product. Adopting a strategy of differentiation then makes it possible to stand out clearly, to propose a unique offer, and whose uniqueness is directly perceptible by the consumer. It is therefore advisable to support the uniqueness of your product through an effective communication campaign.

The cooperation strategy

Contrary to the previous strategy, it is also possible to “combine” with your competitors in order to cooperate, and share the advantages. It is for example possible for each of you to specialize in a particular activity in order to proceed to a distribution of customers.

The financing necessary for the development  of the company

As mentioned above, in order to be able to develop your business, an investment is in the vast majority of cases required.

The investment, in the event that it is financial, can come from several sources: it can come from an increase in the capital of your company, whether this is reinforced by Business Angels, investment funds or by crowdfunding.

In terms of loans, it is possible to turn in a more traditional way to credit institutions, but also to crowdfunding in the form of a loan.

If your investment is linked to research and development, it is possible to use research tax credits, innovation tax credits , or to benefit from the status of young innovative company.

It is also possible to obtain grants from various organizations such as BPI France , or regions…

Finally, some financing hypotheses are directly linked to the need you are seeking to finance, for example, leasing, which allows you to finance investments in equipment.

Prioritization of urgent and important actions

The development of the company also depends on your ability to organize yourself.

Organization is a very important factor, and has several implications: Organization allows you to distinguish between urgent and important activities.

Once you’ve sorted out these tasks, obviously start with the urgent and important tasks, before moving on to the tasks that are important but not urgent.

Finally, as far as possible and depending on the configuration and size of your company, you should delegate tasks that are urgent and not important.

Finally, finish with tasks that are neither urgent nor important.

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