Daily Archives: May 3, 2016

Addressing the Challenge of a Growing Business

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When a person starts a small business, their goal is to create something that is going to generate revenue. Most small business owners start out with a moderate view of what they want financially from their company. The first few years they realize that they are basically going to be underwater. They are going to be covering expenses that are connected to starting and running their small business. However, after five years into the business, they are going to want to start to see some profit. Many small business owners are content with just seeing their business produce enough profit to allow them to cover their personal expenses, pay their employees, and put a little something away for the future.

However, some small business owners are fortunate enough to watch as their little idea takes off and becomes something bigger. There is a big difference between owning and operating a small business and owning a medium to large business. The personnel required to manage the business, the business strategy that is needed, and the finances needed are drastically different. For many small business owners, seeing their business become a success can be a surprise. They can feel overwhelmed by the new pressures that success brings.

Interestingly, if a small business owner is not ready to address these new challenges they face, they may find their small business growing faster than they can handle. Eventually, they will lose clients and may even lose their business.

Technology has played a large role in helping make the transition from a small business to a large one easier. For example, technology has led to improved communication, which allows business owners to interact in real time from virtually anywhere on the globe with their employees, clients, and customers. Communication is available through multiple channels almost instantly.

Technology has also helped by making it easier for businesses to acquire human capital. A growing enterprise needs people, but they need the right type of people. The Internet allows a business to spread the word about any job openings they have. At the same time, it allows business owners to digitally interview potential employees. They can screen their employees, as well as use social media and other tools to learn about their employees prior to hiring them on.

As a small business grows and expands, it will need to turn to professionals for advice on how to make the expansion work. Companies that specialize in SAP change management can provide a small business owner the positive reinforcement they need to make their growing business a success.