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5 Common Business Growing Pains & How to Avoid Them

As you expand your organization, you will likely encounter some growing pains. However, so long as you know what you're up against, you will be able to protect yourself. strategy consulting in Michigan

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5 Common Business Growing Pains & How to Avoid Them

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  1. 5 Common Business Growing Pains & How to Avoid Them As you expand your organization, you will likely encounter some growing pains. However, so  long as you know what you're up against, you will be able to protect yourself.  Let us take a look at some of the most common growing pains businesses face and what  you can do to evade them.        Know More: ​strategy consulting in Michigan  1. Staff become unsure about objectives  As a company grows, the objectives of the business will often change or evolve. That is all  part of developing a business and not an issue in and of itself. However, as a company goes 

  2. through this process, staff can become confused about what their roles are within the new  vision adopted by the Company leadership.  Business leaders can take the following three simple steps to address this problem:  Explain objectives in clear, quantifiable terms. This means giving written or verbal  instructions on any new direction taken by the management.  Communicate and confirm the employees' understanding. This includes asking open-ended  questions so staff explain their comprehension, or giving them a chance to ask questions.  Re-confirm understanding. After your initial conversation, you need to follow up on the new  objectives and check if your instructions have been understood properly!    Know More​: ​Business Brokers in Detroit  2. Difficulty managing finances as you grow  One of the most common business growing pains leaders face is not looking closely  enough at the sums before expanding. Growth for growth's sake is a dangerous strategy  and you need to ensure that your efforts will reap tangible results.  By taking on bigger clients or more work, you will need to invest, perhaps on new staff, a  bigger office space and perhaps marketing expenses. But if your overheads are increasing  in line with your revenue, then you won't see any benefits to your profit margin.  Ben Gold, president of capital providers QuickBridge, told Forbes: "I can't stress enough how  vital it is to set benchmarks, forecast your business's upcoming finances, profits and sales,  and stay organized. That is why it is so important to plan ahead and be prepared to  reallocate finances as and when necessary.  3. Staff become unmotivated  With small and medium organizations, it is easy for staff to feel a personal attachment to  the company. Offices are small, relationships are close and there is lots of contact between  business leaders and staff.  However, when a company expands, this attachment can become diluted. Additional staff  arrive, managers' time is more in-demand, and employees may become unmotivated.  As a business leader, it is your job to keep your staff engaged in the company. Plan time  within your week to chat with staff and make sure they know what they should be doing and 

  3. are aligned with the company's direction. In turn, employees will feel respected and will be  more engaged with the business.  Check: ​CFO Services in Detroit  4. The team stops working together  When businesses grow, it can be difficult for employees to know where they fit within the  company. Long-term members of staff may have changing roles, while new hires will be  trying to find their place.  Here are three strategies to encourage effective teamwork:  1. Create a community. As a leader, you should look to foster a team by creating  shared goals. This will make everyone drive towards the same endpoint.  2. Set individual goals. You should also give individuals their own targets. This should  push everyone to work to their full potential and, therefore, avoid resentment within  the group.  3. Keep up communication. You also need to provide regular feedback to both the  individual and the team. Reward good work when it is justified, and teams will soon  work well together.  5. Unwillingness to pivot  One of the hardest lessons for leaders or entrepreneurs is that your first idea isn't always  your best.  Did you know that YouTube was initially intended to be a dating site?  The idea was that singletons would upload videos introducing themselves and explaining  what they were looking for in a partner. But when no one had uploaded a video in the first  five days, the founders knew they needed to pivot; they opened the platform up to any video.  The alterations you will need to make along the way may be as simple as a price change or  as seismic as switching up your business model. Regardless, it is essential that you stay in  touch with your customers' needs and wants, and that you show willingness to be flexible  and adapt.  Evolution Ventures is a strategic consulting organization, which offers strategy consulting in  Michigan. We have a team of experienced business advisors who offer solutions to various  business problems that a business organization might be facing. 

  4. Evolution Ventures offers multiple services such as Business Brokerage, Financial  Engineering and Bookkeeping, Marketing Solutions and more. Visit our website for more  information.    Read More: ​strategic consulting in Farmington Hills 

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