With the advancements in communication technologies, sole proprietorships have emerged to be among the most favoured small business structures. There are a number of entrepreneurs who are successfully running their one man army even in the most competitive of markets.
Small Businesses managed by a single individual enjoy a number of advantages. Such as, there is freedom of decision making and there are no contradictory views or opinions.
You may take your business in any direction you like without having to convince others. However, there is a limit to the amount of management a single individual can do, which limits the maximum output of a small business and causes a bottleneck in the revenue of the business.
In this scenario, it is important to strategize the expansion of the business so that the output can be enhanced while maintaining full control of the business. This article presents five ways in which you can expand your one man army.
Establish Strong Web Presence
For small businesses, one of the most important and effective ways to reach out to the target market and to expand is by being seen online.
For a one person business, it is essential that you develop a comprehensive web presence by having a dedicated website for your business and by creating networks which allow your business to be viewed from other platforms. This will help you attract new customers to your business which will result in the expansion of your business.
If you believe that your current web presence has hit its bottleneck and additional customers are not being redirected to your business, you should review your web presence strategy. This may be due to lack of fresh content on your website and rising competition.
Develop a Long Term Plan
A well organised business always has a vision, mission, and long term strategy which inform the tactical goals and objectives of the business.
All the successful businesses with an objective to expand follow a long term plan which becomes a benchmark for all the day to day operations of the business and its overall direction. In order to expand your business successfully, it is essential that you carry out the following actions:
- Develop a long term plan which looks ahead five years in the future.
- Create the plan by determining where you want to be with your business in the next five years.
- Develop a clear vision and start building up a plan which includes steps towards your ultimate goal.
- Your long term plan should include all the expansion projects you wish to undertake in the prospective years.
- Include estimated net cash flows in your plan including the costs of expansions and revenues to be generated from the same.
Carry Out Social Media Marketing and Explore New Markets
For a one man army looking for business expansion, interacting with your existing and potential customers is among your primary responsibilities.
An expanding business needs to assess newer markets to target so that the expansion strategy may be determined. Social media marketing can provide you with a great opportunity. To be visible to a wide range of potential customers and to evaluate the potential of new markets.
You should ensure that you are present on all the major social networking websites such as: Facebook, Twitter, Google+, and Instagram. This strategy will give your business a widespread visibility and it will eventually help in expansion of your business.
Inject Capital from Profits
Expansion of business requires injection of additional capital into the business. This additional capital may be acquired through debt financing. However that method can become an unnecessary burden in the long term.
A more effective method for sustainable expansion is injection of capital from the projects generated from the business. Allocate a proportion of your profits for reinvestment in the business and in a reasonable period of time you will have sufficient funds to finance your expansion.
Outsource Small Tasks
As mentioned before, one person businesses face the problem of work overload and bottlenecks which keep them from expanding. Since you need to focus on business planning therefore you cannot afford to give all your time to administrative tasks.
In this situation, you can outsource smaller non-core tasks to freelance contractors. There are numerous contractors available online which can provide you with great services at very reasonable prices. Following are the tasks that take up your time which can be outsourced:
- Management of social media platforms
- Development of copywriting for business website
- Bookkeeping to record cash flows
- Interaction with existing and potential customers
This article presented different ways in which you can expand your one man army while maintaining control of your business. By following the specified strategies, your business can succeed tremendously in a short period of time.