<img height="1" width="1" style="display:none" src="https://www.facebook.com/tr?id=290086984736480&amp;ev=PageView&amp;noscript=1">
Search
word-map-thumb

The Alternative Board Blog

Awesome Tips on How to Plan for Your Company’s Expansion

Mar. 5, 2019 | Posted by The Alternative Board
Expansion

Successful business growth doesn’t happen accidentally. While there are times when rapid expansion occurs due to unforeseen factors such as large-scale market changes or shifts in demographics, for the most part, a business plans for expansion long before actual growth takes place. This planning helps anticipate potential challenges and roadblocks, as well as define growth opportunities—all so expansion takes place in a hopefully ordered and effective manner.

Here are tips on planning for expansion that can help inform your strategy:

Know why your business should expand.

A key step in the planning process is “to define exactly why you want to want or need to expand,” notes Tweak Your Biz. This initial step sets the tone and pace of your plan, “so take time to do a thorough explanation, in writing, as to the purpose of your expansion.”

Incorporate expansion into your marketing plan.

An effective marketing plan addresses all aspects of potential growth, from target audience research to the funds needed to meet your expansion objectives.

As we’ve noted previously, a solid marketing plan “combines an in-depth knowledge of your target audience with a comprehensive competitive analysis of the marketplace.” With this information, you and your company will have “a keener grasp of what expansion costs will look like over a set period of time.”

Consider a new product launch or product upgrade.

For many businesses, the most obvious path to successful growth lies in expansion of their product offerings. Opportunities for growth in this area include:

  • Upgrade your existing product list.
  • Launch a new product.
  • Boost sales of existing products to current customers.
  • Identify and explore untried customer markets.

In the all-important planning stage, notes AllBusiness, market research should be conducted with “a focus on customer demand for new products and services and your cost to manufacture, deliver, and sell them.” Unsure what the new product should look like? Ask your existing customers for input on “your new product and service ideas, including potential price points.”

Want additional insight? Download Easy Ways to Improve Your Company Culture

DOWNLOAD

Carefully outline prospective hiring needs.

With expansion often comes the need for a larger workforce (and with that, of course, comes additional labor costs). Do you anticipate bringing on additional full-time staff in 2019 or will added part-time workers fit the bill? What about outsourcing some of the administrative tasks engendered by business growth? As part of the planning process, look at ways to meet your expansion goals without incurring unnecessary additional expenses related to payroll, healthcare and other legally mandated benefits.

Explore new funding sources.

Since we’re talking about money, your plan for growth must cover potential sources for financing. Options for small businesses range from loans and financial programs offered by the U.S. Small Business Administration to funding available from banks and credit unions. Also, specialized online lenders can help with key capital loans and other funding needs.

Your detailed plan for expansion will come in handy when you make your case for a business loan.

Talk to your peers about growing the business.

A few months of healthy profits can make even the most cautious business owner eager to expand into new territories. But it’s always a good idea to discuss these goals with others in your business network or with members of a seasoned business advisory peer group. “A strategic plan combined with a peer review board is the guiding compass for any business looking to get and keep a competitive edge,” particularly when it comes to business expansion.

Want to learn more about how to plan for expansion? Download our free TAB white paper, “Best Ways to Secure Capital for Your Business,” for an in-depth look at the best funding options out there.

Read our 19 Reasons You Need a Business Owner Advisory Board

DOWNLOAD

Written by The Alternative Board

Related posts

7 Ways to Market your Business for Next to Nothing
Sep. 11, 2020 | Posted by The Alternative Board
Marketing need not be a mystery or expensive. For many business owners who are tightening their belts and reducing expenses, marketing expenditures are often the first to get trimmed. The truth is,...
How to Prepare Your Clients for a Price Increase
Sep. 3, 2020 | Posted by The Alternative Board
Every business must, at one point or another, share what’s viewed by customers as “unwelcome” news—the need for a price increase for products or services. Some businesses simply set the wheels in...
How TAB Helped A Member Grow During COVID-19
Sep. 1, 2020 | Posted by Phil Spensieri
Since the start of the COVID-19 pandemic, many businesses have struggled to survive. But for some, the pandemic has provided an opportunity to thrive. Garden Connections is one of those businesses. ...
The best piece of business advice I have ever received is…
Aug. 28, 2020 | Posted by The Alternative Board
When you’re a business owner, your best lessons often come from two places: failure or wise words from owners who have been there. There are going to be inevitable ups and downs in every enterprise....
8 Productivity Hacks for Busy Business Owners
Aug. 13, 2020 | Posted by The Alternative Board
Owning your own business can be a time-consuming undertaking. And despite many of us wishing for more hours in the day, time is finite. Everything we choose to spend time on comes at the expense of...
How to Become an Agile Business for the Long-Term
Aug. 4, 2020 | Posted by Phil Spensieri
While every business owner has their own story about how they got started in business, if there’s one thing we all share in common, it’s that we hope our business succeeds. When many of us began our...
10 Creative and Often Overlooked Ways to Find Hidden Money in Your Business
Jul. 16, 2020 | Posted by The Alternative Board
With the strains of rolling shutdowns across the country, many businesses are finding their profits diminished or uncertain. Many leaders are relying on tried and true revenue generating strategies...
What Does Workplace Health and Safety Look Like Now?
May. 14, 2020 | Posted by The Alternative Board
As businesses across the U.S. slowly begin to reopen, there’s renewed focus on what constitutes a safe and healthy workplace. From the start of the COVID-19 epidemic, business owners and CEOs have...
Ready To Reopen Your Business? Here Are 3 Questions to Consider
May. 5, 2020 | Posted by Phil Spensieri
As business owners, we’ve been waiting to receive the much anticipated “green light” to go back to work. As this day inches closer, you’ll need to devise a plan that addresses how your business will...
A Balanced Mindset for Weathering the Pandemic
Apr. 28, 2020 | Posted by Dave Scarola
Never has the entire global economy come to a screeching halt. In past recessions or natural disasters, we have always been able to look to previous and similar events. Even if the latest recession...