While reaching the Growth Phase is an achievement—only 16% of startups make it this far—it’s just the beginning.
But surviving the Startup Phase is only the first stage in the gauntlet which is business ownership. As your company takes off, you’ll encounter a whole new set of challenges…and opportunities.
Take a moment to congratulate yourself for successfully navigating the challenging Startup Phase, you’ve laid a strong foundation for your business—kudos are in order! As you transition into the Growth Phase, new milestones and challenges await.
Take a look at these key milestones to see where you fall and what lies ahead for your business:
Growth Phase Milestones
In this stage of your business:
- Your business is consistently generating revenue
- Cash flow opens new opportunities
- You’re fine-tuning your business model
- You’re expanding to new markets/channels
Challenges of the Growth Phase
This phase’s challenges include:
- Dealing with increasing sales
- Dealing with increasing customers
- Increasing market competition (pricing, etc.)
- Moving into new markets
- Effective management
- Adding new products/services
- Expanding existing business
Navigating Through Challenges
Here’s what you need to do to navigate through these challenges:
- Evaluate & address your internal expertise needs: As your business grows, you may need to bring in new talent or upskill existing employees to meet the demands of expansion.
- Strengthen & leverage client relationships: Your existing customers are your best advocates. Strengthening these relationships can lead to repeat business and referrals.
- Re-invest in the company, don’t kill the cow: It can be tempting to take profits and run, but re-investing in your company’s growth can lead to long-term success.
To delve deeper into the Business Lifecycle: Rapid Growth Phase and gain insights on navigating this critical stage of your business, tune in to this episode of TurboCharge Your Business. Listen on the International Business Growth Network or wherever you access podcasts.