While growth may be something that you’re working hard for, it can also occur unexpectedly. The situation can be a springboard to success if you capitalize on the opportunity, or it may be a real challenge if you’re unable to keep up with demand. Here are some steps to help you manage unplanned growth:
Fast-track your growth plan
If you expect the growth to be permanent, you need to have a long-term plan. Move quickly on all fronts to develop a strategy so that your processes and resources can meet higher demands.
Use temporary resources
If the growth is only a temporary spike, you may be able to manage it with temporary resources such as outside services or facilities. These can also be a valuable stopgap to meet demand while you look for permanent solutions to longer-term growth needs.
Give yourself more time to gather the permanent resources you’ll need going forward by stretching timelines or temporarily slowing other areas of your business where possible.
Don’t let your business become overextended. Consider investigating alternative sources of cash, such as borrowing, tapping into emergency funds, injecting personal capital or speeding up your billing processes.
To read more about Tip #29 and how to successfully navigate your business growth and other advice, please view Small Business tips and resources online at www.rbc.com/tips
Owning a growing business involves a number of challenges but, when it comes to managing your finances, you’re not alone. Your personal and business finances are tightly connected, requiring you to work seamlessly with both sides of your financial life. RBC Business Advisors are fully qualified to provide both personal and business banking services and advice, and work with you to find a tailored solution that is right for you and your business. For more information or to make an appointment please call 1-800-ROYAL-20 (769-2520)