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For a successful business, you need a viable business idea, the skills to make it work and the funding. Discover whether your idea has what it takes.
Forming your business correctly is essential to ensure you are protected and you comply with the rules. Learn how to set up your business.
Advice on protecting your wellbeing, self-confidence and mental health from the pressures of starting and running a business.
Learn why business planning is an essential exercise if your business is to start and grow successfully, attract funding or target new markets.
It is likely you will need funding to start your business unless you have your own money. Discover some of the main sources of start up funding.
Businesses and individuals must account for and pay various taxes. Understand your tax obligations and how to file, account and pay any taxes you owe.
Businesses are required to comply with a wide range of business laws. We introduce the main rules and regulations you must comply with.
Marketing matters. It drives sales and helps promote your brand and products. Discover how to market your business and reach your target customers.
Some businesses need a high street location whilst others can be run from home. Understand the key factors from cost to location, size to security.
Your employees can your biggest asset. They can also be your biggest challenge. We explain how to recruitment and manage staff successfully.
It is likely your business could not function without some form of IT. Learn how to specify, buy, maintain and secure your business IT.
Few businesses manage the leap from start up to high-growth business. Learn what it takes to scale up and take your business to the next level.
What's the best way to scale your business and take it to a whole new level? That is the question. If your business has been well set up and has a sufficiently attractive market proposition, organic growth could take you to new heights.
As the name suggests, "organic growth" means growing your business by increasing your output, creating or introducing new products or services, selling more products or services to new and existing customers, building your customer base and increasing your profits. The driver of growth comes from within.
Organic growth is a long-term strategy and it's less risky and expensive because business growth is continually fuelled by increasing sales. Business growth usually occurs at a steady and manageable rate. However, the rate of business growth may be slower and not to the same extent as you could achieve by other means. And competitors may even enter your market or bite into your market share because they grow at a faster rate.
The other strategic option is "inorganic growth", which usually refers to merging with or "acquiring" other businesses. This can leave your business in a much stronger position, with increased assets, greater revenue and market share. You can also gain knowledge, expertise, capability or reputation by joining or buying another business. Get it right and it can bring significantly faster growth, but the risks are far greater and buying another business can be expensive.
Developing new products and improving your existing products and services could enable you to sell more to existing customers, win new customers and ensure their loyalty. Carrying out thorough product research and having a deep knowledge of your market is essential, of course. You could decide to open up new premises in other locations to increase your reach and revenue. Another strategy that could enable your business to grow could be to diversify, by introducing products or services for which you're not currently known or by targeting new types of customers (or sectors if you sell B2B). This too involves investment and risk.
Your business might be able to use new sales channels, for example, selling online if you're not already doing so (or selling offline if you're an online business). Alternatively, you could sell licenses to others to use your patent or sell your products, but protecting your intellectual property is a must. Depending on what you sell, sales agents, distributors or wholesalers could be among your other sales channel options, but having robust legal contracts is essential (find out more before working with agents and distributors). You may even be able to turn your business into a successful franchise if your business has a strong brand, proven products/service and your success can be replicated by others elsewhere.
Another decision that could seriously transform your business is to target new customers overseas. Organisations such as Open To Export, the Department for International Trade and British Chambers of Commerce offer help to UK firms seeking to grow their business through exports. The EXPORTING IS GREAT website is also worth a visit. You should also find out more about export taxes and relevant legal issues.
A successful merger between two businesses with complementary strengths can allow both businesses to prosper and grow. A newer business with unique intellectual property or a cutting-edge solution, for example, might merge with another more established business that has more money, market reach and clout.
A horizontal merger happens between two companies in the same sector. A vertical merger brings together two or more firms operating at different levels within a supply or value chain.
You may initially decide to continue to operate as separate businesses while working together on specific projects. Alternatively, you could form a separate joint venture or completely merge with another business. The new entity might use one of the existing company names or take on an entirely new one.
The other option, of course, is to buy ("acquire") another business. Strategic acquisitions must be well planned if they are to prove successful and sound due diligence is essential. Often the acquirer is able to buy another business, reduce its operating costs and improve margins.
Buying another business can strengthen your position by giving you access to new markets/customers, products, services, skills, knowledge and valuable assets, while enhancing your reputation and credibility. Although it involves risk and usually requires the investment of a lot of time, energy and money, if you target the right acquisition (guided firmly by your well-considered strategic plan) it can prove to be a major catalyst for growth.