There comes a time for many businesses where it’s time to expand. Clients are flowing in, revenue streams are high, and there’s a demand for more of your products or services. It’s an exciting time, but growth also comes with a whole host of challenges, as well. It’s essential to prepare for an upcoming expansion with careful planning and strategic oversight.
When you want to expand into a new service area, you must have a solid understanding of the internal factors (like your team and your SOPs) and the external factors (like the market demand and competition).
Let’s look at what you should be considering if you’re planning to expand in the future.
Know your team
A successful expansion must have a strong foundation, which is best found with a great team. You need to be able to trust your employees to be adaptable and productive because growth requires an all-hands-on-deck approach. You can’t go wrong if your team backs you 100%. Let them in on the research you are performing and ask them for help. You’d be surprised how far their networks go, so you may find some useful connections within your team.
On a similar note, you must also be confident in your company values and your employees’ commitment to them. Now isn’t the time for staff members who are unreliable or inefficient. Even if you are carrying most of the travel load, you need to be able to trust that they will keep the office running while you’re in and out.
If you have specific systems and procedures that keep your business afloat, ensure that your team has been cross-trained on them.
Do your research
You can’t go into a new market blindly, so it’s important to take the time to research the new area diligently. Meet with trusted vendors and wholesalers in the community and listen to their recommendations — they will have the best information about the current market demand. It’s also a great way to start building a network of industry peers that can support your growth.
I recommend visiting these peers on location so you can get a feel for their product, their environment, and their personality. Online communication is great, but it will never replace face-to-face networking. In the same vein, it can also help to attend local chamber meetings or networking mixers in the new area if you’re not already familiar with it. This will give you a good idea of the business community and the people who live in the area.
Look at local colleges to see who the local student is along with what the most studied major is. Check out Zillow or another real estate app to find the average house price, which will give you an idea of the average income in the community. Get a feel for how people design and decorate their homes to determine whether it’s the right fit for your company. All of these factors can give you a great idea about your new market, which will ensure a seamless transition into the area.
At the end of the day, you need to have faith in yourself and trust your instincts. You’ve done the research, you have your support system, and you’re a smart business owner — it’s the perfect recipe for success. Remember that you’re not recreating the wheel; you’re merely rolling it into a new location.
Oleta Collins is the owner of Flourishing Art Design Studio, a premier florist and design studio in Bakersfield, California, that specializes in luxury weddings and events. She is also a Certified Floral Designer and an accredited member of the American Institute of Floral Designers.