From the increase in the cost of goods to supply chain insecurity and even inflation, recent times have been full of challenges for businesses. This landscape of uncertainty is a tough environment for businesses to survive in, let alone thrive in. But with some simple steps, you could see your business move from survival mode to growth.
In simple terms, a business that is surviving is staying afloat. Often, the business isn’t making a profit and there is a lack of growth. In contrast, when a business is thriving it’s growing and proactively meeting challenges head on.
Is your business in survival mode?
It’s very common for new businesses to be in a state of survival when they’re starting out, with most businesses not being profitable in their first year and even making a loss.
Established businesses may also experience phases of survival mode, often due to external conditions such as a recession or the high cost of the workforce.
The problems start when a business can’t get out of survival mode and embarks on a vicious cycle with no chance of growth.
What does a business need to thrive?
A growing business is a thriving one and there are certain conditions that will help your business to grow.
- A long-term vision and a clear strategy for success, setting goals and objectives.
- The ability to adapt and change as needed in response to changes in the market.
- A competent and committed team. Investing in the right people could be the difference between a business surviving and thriving.
- Effective financial management is paramount. Ensure you have control of your income and expenses, be strict with budgets and make sure you’re regularly tracking finances.
- Know your audience and analyse your competition. Giving your customers value and something unique is essential.
- The right marketing strategy could make all the difference. If people don’t know about your product or service, how are they supposed to buy it? An effective marketing strategy is essential in ensuring you’re reaching your audience. Choose the right channels and make the right content.
- Finally, it’s important to be bold and take calculated risks at the right time. No great business has got to where it is today without taking a few risks.
Prepare for the unexpected for added peace of mind
When your business is in survival mode and every penny counts, it’s tempting to cut costs where you can. When times are tough insurance is often the first thing to be sacrificed, but this could see your business in a worse off position. Look at insurance as a business necessity that will keep you protected in times of uncertainty.