Now that you’ve branched off and become your own boss and grown your rent roll, you are starting to feel under the pump with new properties. So what do you do? Do you say no to new business? Hire a staff member? Totally freak out?
Before you start to self-destruct, take a step back and have a think about the following.
Reassess your current situation
Ask yourself the question of why you went into business in the first place. Do you want to grow? What will happen if you do not grow?
Many people that go into starting their own business have a specific reason for doing so, be it to try and make a significant financial gain, for work/life balance or a life goal that they wish to achieve. Has this reason changed for you now that you’re up and running? Write a list of why you want to expand your business or keep it a one-man band.
Expanding your business
So you have decided that you want to grow your business, now what?
Start mapping out your expansion. How much profit do you anticipate you will make? Could you increase the product pricing and do less work? How many hours do you anticipate you will work? Also, how many people will you employ?
Your role in the company will shift the minute you hire someone, as you will need to be their manager as well as your current role. Are you prepared for this? People management skills are vital and where many small companies fail is the poor management of their staff.
Business Expansion Costs
Expansion of any business will always cost money, so it’s important to determine if you can afford to expand, and how long it will take to repay the investment. Think about the extra costs of expanding such as salaries, training, technology and expenses. Always ensure you have an amount set aside for costs that were not predicted. Will you need to relocate? If you’re working from home you may need to consider renting an office space.
Deciding on the future of your one-man band can be both exciting and stressful. If you take the time to plan and project what you want your business future to look like, it will set you in good stead to grow your business (without a dramatic stress-related meltdown).
