When operating a small business, company owners should keep in mind the potential for growth will always be there, waiting to be explored and pursued. Big things often come in small packages. Quite a few of 2017’s Fortune 500 companies started out very small, such is the case with Apple, Starbucks, and even Coors. There are many strategies small business owners can apply as they strive to become market leaders. The key is to try more than one strategy until tangible results can be seen. The Chula Vista commercial insurance experts at American Tri-Star want to share 7 growth ideas business owners should consider.
The biggest names in the pizza delivery business had expansion in mind from the beginning: the founders of Domino’s, Papa John’s, and Pizza Hut set franchising as a goal as soon as they saw sales picking up.
2. Set Goals
Goal-setting is one of the most common strategies because it is usually approached one step at a time. A goal must capitalize on an opportunity. For example, a real estate law firm that sees a major downturn of the housing market can set a goal to aggressively market their foreclosure defense services until they are retained by five clients.
3. Form Partnerships
Small business owners whose companies are already enjoying profits can seek partnerships without having to worry about costs. They can simply offer to share a portion of their profits with prospective partners in sales, promotion, manufacturing, or distribution.
4. Merge with Another Company
This is how big businesses keep getting bigger, and it could be an option for small business owners to a certain extent. Becoming an acquisition target does not have to spell the end of a small business venture. The idea is for the owner to negotiate getting an executive position plus enough equity to still be able to steer the new company toward growth.
One of the best ways to identify opportunities for growth is to interact with industry peers. Business owners need to get a sense of direction as they seek expansion. They should know where they stand compared to their competitors so they can identify where they should go. Desktop research and LinkedIn are not enough. In-person networking is essential for growth.
6. Solve Problems
Providing goods or services is a good start for small businesses, but sticking to this basic strategy does not lead to rapid growth. Business owners pursuing growth should think of themselves as problem solvers. If a gym owner learns that people in the community are driving across three counties for Zumba classes, he or she could solve that problem by hiring instructors and scheduling various sessions each day.
7. Target the Right Segments
It is easier to grow by cornering one segment of the market instead of being a total market leader. There is a good reason why Papa John’s Pizza has a road team that delivers news about the professional rodeo circuit. This is a company that wants to corner the specific market segment of consumers who enjoy the country and western lifestyle.
Whatever the size of your business, make sure you’re covered with adequate insurance. Reach out to Tri-Star Insurance today. In addition to commercial insurance, we also offer home, health, auto, motorcycle, and RV insurance in Chula Vista. Call 619-827-0522 to speak with one of our friendly and knowledgeable agents.