They were scaling up technological products. All current network business projects began once with a single enterprise, store, or site. Through the creators" efforts, the project grew, while the competitors remained at the level of local institutions. So why was it successful for the first but did not work out for the latter? How to scale a business correctly? Could you read the new article on our blog?
What is scaling a business?
Scaling a business means enabling and supporting the growth of your company. It means the ability to grow without hindrance. It requires planning, funding, and the right systems, people, processes, technology, and partners.
What is product scaling?
Scaling is gradually making significant changes to a product to ensure it is optimally aligned with your long-term market presence.
Why is scaling important in business?
Properly scaling a business gives you the necessary growth and additional revenue without the extra work. In this way, scaling helps a small business become big without the added cost, complexity, and frustration that usually comes with simple, organic growth.
When should you scale a business?
According to research, companies scale their businesses when revenue increases and operating costs stay low. If a company is increasing its revenue but increasing its costs at the same rate, that business is not scaling.
What is scaling? When can you start climbing a business?
Scaling is an expansion. It should not be confused with adding new sections within the business. For example, expanding a store"s assortment is not scaling, but opening a second and third store in neighboring areas is. So how do you know when that moment has arrived, and you can start conquering markets? There are a few conditions:
-You have a well-established business that works without your involvement. You have free time to think about development strategy, to find partners and investments, about which below;
-Have start-up capital. Bank account, cash in the stocking under the pillow - the amount comparable to the value of your business in its current version. Good if investors are willing to invest in the project;
-Have experience opening and managing at least two or more branches. If you are once in a lifetime opened one store, think about scaling up a little too early. Open a couple more outlets and try to work in this format for a while. So you get used to multitasking and working on several fronts;
-You make a good product and have something to offer the market. Your competitors do not doze off - as your business expands, the competition will increase exponentially.
Pulling up the quality of the product along the way will not work - not enough resources.
One of the factors of scaling: you make a really good product, and you have something to offer the market
For example, you opened a bar. You work with suppliers, you do advertising, and on weekends you get behind the bar to help the bartender handle the flow of customers. Business is going well, there are a lot of customers, and you decide to open a bar in the neighborhood.
Where to start
As is always the case, you have to start with yourself. First of all, scale your brain. You need to change the scale and format of your thinking and take it to the next level. Believe me, and you can not build an empire if you think like a store director. The author of these lines saw directors who checked the expiration dates of products in the fridge of their employees and counted rolls of toilet paper. Such people are contraindicated in serious business. You must attend the appropriate courses, seminars, and conferences, and properly pump up your skills. You"ll get motivation and knowledge, and at the same time, you can meet the right people. You"ll begin to think in different categories - more globally. Now you can go to the next stage.
Think about strategy. The big road starts with the first step. Don"t try to get everything at once - move gradually, allocating resources wisely. If you work well for a city with a hundred thousand people - go to the regional level. If you have mastered the region - move to the neighboring ones. You have learned to work in your own country - try to develop the neighboring countries. Do not try to jump over steps - each stage gives a basis for mastering the next.
Assemble a great team. Alone, building a network business will not work. It would help if you had a couple of professionals in their field and true enthusiasts. Get the proper software, such as eam360, to help you scale. The ideal option would be Makini https://www.makini.io/products/eam360.