Expanding Your Business
Should You Expand?
If business is going well, you may be thinking about expanding. Before launching into any new markets, there are some key things you must consider. First you'll want to make sure that the current success of your business is not a fad. Do some forecasting to make sure that the market will keep rising in your new area. You also want to take a very close look at the area you're expanding into. Is there a need for your product or service that hasn't been provided in the past? Make sure another competitor hasn't already gotten the jump on you, established themselves and cornered the market.
A New Market
Once you've established that the market's there, make sure that you're ready for the shift. You'll definitely need to change and expand your original business plan to reflect this move. You need to start running your small business as if it were a big business for a while before you'll be able to tell if expansion will work for you.
Hard Facts
You will also need to consider the logistics of expanding. Do you have the capital you need to expand? Do you have enough trained staff to smoothly transition into a new market? Have you done your research and examined all of the legal considerations involved in expanding?
Are You Ready?
You also need to consider the added stress on yourself. Is it worth it? Many entrepreneurs have expanded their enterprises only to have their business take over their lives. Unchecked expansion may be great for the bottom line, but what are the other costs? When you first started your business, you probably hoped that one day you'd have more time to spend with your friends and family. By pushing to expand relentlessly, you may find your personal life falling apart around you.
Deciding whether or not to expand your business into new markets can be difficult and complicated, make sure you have all the facts before moving ahead.
