Running your own business isn’t easy, and many business owners get caught in the trap of working ‘in’ the business rather than ‘on’ the business.
It may feel natural to put hours of work into your business, but getting caught in the endless day-to-day can prevent the chance for growth. It’s important to recognise when you’ve become overloaded.
So how do you do that exactly? How do you know when you need to start making investment for growth?
The key signs could include:
Missed sales targets
Are you so busy with admin tasks and day-to-day duties that you can’t find time for the most important job of all, chasing down sales?
A little bit of this is normal, but it will mean you’ve got fluctuating sales income and a hard-to-predict future. Being busy is a good thing, but rather than working heaps of overtime, see it as an opportunity for growth. Hire additional staff or bring in new sales processes so things don’t get out of hand.
Low ROI marketing
If your marketing spend doesn’t seem to be translating to sales and giving you a Return On Investment (ROI), it may be time to make a change. This is especially true if you’re using traditional marketing channels or trying to do everything yourself. That time could be used better if you invested in proper digital marketing support.
You’re delaying things
You can’t do it all. Take time to recognise what you’re strengths are and start building a team around you to deal with the other aspects of the business. Trying to take on too much responsibility generally leads to things not being done – so get some help.
Need more space
Work environment starting to feel cramped? This can have a negative influence on everything that happens there, including the quality of work, team morale and practical concerns such as storage. Knowing when it’s time to size-up is important.
Not enough bodies
If you reach the point where you have to start turning down work or you’re failing to meet your normal levels of service, think about expanding the team.. Just make sure you have enough work coming in to justify their contracts.
Outdated tech? Unreliable tools? Time-consuming manual processes? You might find that you need to invest in new systems to keep up with the competition.
The use of debt finance for investment
If you bring in external investors, you’ll need to reduce your share in the company. Debt finance such as term loans or asset finance can help keep you moving forward while spreading the investment cost. For any investment, it’s important to project how this will impact on revenue and profits.
Spotting these needs for investment will help alleviate short term pressures and can be the catalyst for driving the business on to better things.
How we help.
FSB Funding Platform can help you to consider different funding options. We can help you find the right funding for your business and if the time isn’t right, we won’t push you into taking the step into finance when you are not ready.
We’re 100% independent. Our only interest is in making sure you get the right funding option for your business need.
Want to know more? Speak to us about funding your business.