Reducing Costs During Business Growth

Every entrepreneur aims for business growth. However, business growth can come at a high cost, which can be unmanageable for many small businesses. Indeed, rushing forward without considering the financial implications of your growth strategy can put your business at risk. Rapid growth can endanger the viability of your company by creating unnecessary pressures. From heavy workloads to hefty expenses, growth is both a blessing and a curse.

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Approaching growth without appropriate preparation could lead to serious troubles, including bankruptcy. So, the first step of growth is to consider sustainability. How can you make the growth process more sustainable when you are working on a limited budget? Reducing pressures, finances and workload, can help create the momentum you need to move your business to the next step.

Expand your storage rather than your office

If your business sells products, you are likely to run out of space in the early growth stages. As tempting as it is to move to a bigger location, the space you need is not for team growth but for product storage.

As a retailer, online or office, warehousing solutions for small businesses is the most cost-effective approach. Dedicated solutions can provide safe storage for your goods at an affordable cost. This also means you don’t have to move your staff to a new office.

Outsource when you need it

There is no need to do everything in-house. Outsourcing certain tasks can be a game-changer when tackling growth. You can save your team a lot of time and effort by looking for specialist contractors who can handle time-demanding tasks on your behalf.

Some of the tasks that add unnecessary workload during growth and that are best suited for outsourcing include:

  • Audience and market research
  • Accounting and tax filing
  • Administrative role
  • Web management
  • Customer service

Go the smart influencer way

Contrary to common belief, working with influencers doesn’t have to break the bank. In fact, reaching out to micro influencers can be not only beneficial for your business but it can also help you tailor your growth. Micro influencers have a small follower base, around 10,000 followers. Some have only one-tenth of this number, depending on the niche and location.

Partnerships with micro influencers can drive engagement rate, brand awareness, and establish new relationships with your target audience. Compared to other marketing activities, micro influencer marketing is more cost-effective, cheaper, and more valuable in the long term.

Automate customer interactions

Of course, you want to be there to help your customers. However, growth can bring customers faster than your team can handle them. So, it can be valuable to automate some interactions, such as investing in a chatbot that can answer common questions.

A chatbot can also capture contact data so your team can get in touch with customers who need to talk to an agent.

Some bots can also make suggestions, such as helping users choose what to buy or directing them to information blog articles on your website. Automation doesn’t have to be meaningless. On the contrary, many customers value helpful interactions and content that an automated tool has provided. In other words, it’s not who says it but what is said that matters to your customers.

Saving costs and effort through growth is no easy task. You have to be prepared for the workload and pressures of growing a business. Indeed, until your business reaches a specific threshold, it will be tricky to invest in recruitment or new equipment. But you can buoy yourself time with the tips we’ve mentioned above!

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