Business Growth Tools

Focus on Growth

Three keys to Business Growth

Business Growth Tools and Market Development require continuous change, however, we all take comfort in familiarity. How can we balance comfort and growth in our business?

Every networking event attended, every marketing email sent, every penny invested in a website indicates that we want our business to be known, either we are buying or more often selling.

Therefore, we understand the basic principles, however, the real challenge is to achieve the right action which creates the opportunity.

Understanding Growth

Growth for growth’s sake is often a distraction, with bodies chasing everything and winning new business. The foundation of the business does expand, too wide and it strangles productive growth.

These 3 pointers are for those who want to understand when to choose No!

Progression Training

Old wood isn’t deadwood! There never comes a time when you need to stop investing in your team, no matter how experienced.

Consequently, design an annual training and events program that develops the skills and that challenge the individual.

Plan the progress you need them to make and spice it up with a little of what they want to learn.

To achieve the best result, know your staff and then know your marketplace. The cycle of change and progression is then embedded in the development of your business.

Creative Solutions

Don’t reinvent the wheel, or design a new feature. Gadgets and gizmos attract for a while the art of longevity in business focuses on understanding the developing needs of your marketplace.

Creative solutions need to save time, reduce stress and encourage activity. The critical element in developing a creative solution is listening beyond what is said. Ask questions that enable your market development.

Business Planning

Dynamic business planning acknowledges that your guiding document remains alive. The main purpose of a business plan can be to placate the bank or investors.

However, all that work and planning offers the core reasons for your business working. Treat it like actual cash flow when compared with projected income.

Be prepared to set goals for 8 years, 5 years and 3 years. Plot the journey and then decide the pace of travel. Your share of market growth remains dependent on the business infrastructure.

Borrowing too much too soon cripples small businesses. The solution is often in the people you know.

MT Trotter Support services

We know our Business Growth Tools are effective because our challenges change with every new client, with every tender opportunity, with every crisis we are invited to resolve. Our experience shows us that planning, investment, and simplicity are at the heart of sustainable business growth.

Specialists in Health and Social Care working in association with KKS Management Ltd

Expansion: Borrowing to grow

It seems to be about the money

The recent business failures are due to the approach to group expansion.

Thomas Cook Group expanded on a wave of optimism. Servicing the debt would be easy in those market conditions.

The expectation that assets remain stable and creditors won’t get nervous is the common view. However, the reality is that lenders aren’t interested in the long term.

Thomas Cook PLC establishes this, first the banks require an additional £200 million then they increase this to £250 million. This action cascades the demise of the business.

Borrowing versus Investment

My personal approach to expansion has always been pragmatic, never buy another business, it adds to the risk. Use new money to expand, never link it to assets alone. Never borrow from a bank, high street or commercial lender.

A new investor requires some equity or incentive to join the journey. They stand to lose and need to engage to protect the investment. Also, they understand the risk.

Therefore, my approach is self-fund expansion, where that isn’t the option, find the right investor.

The “Right” Investor

  • The investor understands the business
  • The Investor recognizes that they profit from the expansion
  • The investor has a real stake in the success
  • The Investor must be involved

Borrowing against a business plan is viewed as a safe option for business owners. However, actual versus projected performance complicates matters.

Banks protect investor funds, therefore, reducing the risk. Consequently, the Bank is forced to react.

Therefore, cut out the bank!

Expansion through Investment

The need for a clear approach to staged growth and expansion underpins the investment strategy.

Ask simple questions: why the expansion is required? who will gain? how long will it really take?

Therefore, use three lines of projected performance, the:

  • Desired
  • Actual
  • Minimum

Explain the risk factors. Report performance monthly.

Investment Strategy

Consequently, planned expansion needs a clear strategy.

“Like a joke, it has failed when you have to explain the punchline!”

Contact us for more detail on how to attract investors with a powerful Investment Strategy!

Preparation

Preparation
Preparation and planning

Preparation! Winning Tender Writers build a foundation for successful bidding. Therefore, the preparation time is critical.

The Gift

“O wad some Power the giftie gie us

To see oursels as ithers see us!”

Robert Burns

This is the gift described by Robert Burns and business owners can do something about what the Buyer sees.

Although, the public image isn’t the first step in the due diligence process our public reputation can pose a problem.

Check
Check your profile

An example: A Care Provider presents evidence in their bid document that states they respond to and resolve every complaint.

Based on the information they have presented it would appear correct and complete.

However, the local care providers database has a clear complaint about the service, it has been read frequently. The Care Provider has ignored the complaint. Therefore, public evidence contradicts the bid.

As a buyer reviewing your evidence would I be confident that the information presented was accurate?

Consequently when preparing to bid set aside some time to review your public profile. Always do something about outstanding criticism.

Evidence

Proof of competence requires preparation. Take time to gather real evidence.

All of us have encountered academically skilled individuals, however, they lack competence at point of delivery.

On paper, the qualification looked right, in practice, there was still a distance to be traveled.

Therefore, our evidence needs to be gathered over time and from a variety of independent sources. Focusing on Care Providers, one round of surveys provide a snapshot. However, effective preparation ensures access to a wider data set.

Winning Tender Writers know how to present the evidence “what you do”, “why you do it”, “what your existing clients think”. The evidence comes from your customers.

Preparation Never Ends

The key to winning tender writing is constant preparation. Gathering, collating, and presenting evidence of competence of service is never rushed.

The Offer

The team at Mark P Trotter focuses on ensuring that your business is tender ready.

The document review is a simple step but important. (I’ll explain why in another blog”) Public profile, again straightforward enough. Evidence of what you do is relatively easy.

However, combine and present that information for Winning Tenders and the challenge has changed.

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