The Challenges of Rapid Growth for Your Business

In a booming economy, the rapid growth of a business can occur at an alarming rate, which can bring on both obstacles and opportunities.  Whether your business is in the startup stage or well established, you may experience some of the same problems: cash flow, customer service issues, employee shortages, and increased demand for your time. While it’s an exciting time, these unexpected challenges can harm your business in the long term. 

1. Employee Shortages

With rapid growth comes increased demand for your employees’ time. To avoid shortages in your staff, which can hurt productivity and your bottom line, you must partner with a quality recruiting firm to allow you to focus on other issues and efficiently hire the best talent possible. As you select the right recruiting firm, the four most critical factors are industry expertise, a successful track record, a sense of urgency, and options that fit your business needs. A recruiting firm can not only help you hire quality talent but can also help develop job descriptions and provide competitive industry analysis.

2. Cash Flow

As your company experiences significant growth, you may experience cash flow issues and lack enough cash to manage your day-to-day financial obligations. If this is the case, examine and gain control over the aspects of your business that affect your cash flow, such as inventory, capital assets, and receivables.  You should also focus on those channels that produce consistent sales and maximize their contributions: increasing your sales force, providing additional training to your current employees, and possibly realigning territories to target significant growth areas. 

3. Customer Service

Customer satisfaction should always be at the forefront of a successful business. Having the right management team in place and a fully staffed sales force will help prevent customer service issues. Training the sales team as well as the internal customer service staff on the following is essential to the success of your business: 

• How to handle negative feedback

• Dealing with issues on time

• Monitoring customers and online reviews for both positive and negative feedback

If your business is growing, you’ve done something right! Having a proactive approach, outsourcing what you can, and strategic planning can help your business succeed and overcome the challenges of rapid growth.