| How to Scale a Business Posted: 30 Jul 2017 05:00 PM PDT When you "scale" a business, you commit to growing it. However, scaling requires more than simply increasing your customer base or sales. Instead, you need to proactively plan to handle the increased workload in a cost-efficient manner. Scaling requires a lot of planning, so don't rush into the process. EditGrowing Your Sales - Analyze your current sales. Look at what you're selling each month and each year, on average. To scale the business, you'll need to imagine your numbers doubling or tripling overnight.[1] Work with your bookkeeper or accountant to get the most accurate information.
- Hire an accountant if you don't already have one. You can ask another business owner to recommend their accountant, or you can contact your state's accounting society.
- Focus on what you do best. To really grow, you need to stand out from the competition. Your current business might be doing all kinds of different things. Identify which one you do best.[2] Your ability to effectively compete for clients will depend on identifying your strengths.
- For example, you might run a day spa where you give massages, pedicures, and skin treatments. You might excel in one area, which can be the focus of your growth.
- Create a sales growth forecast. Based on your current sales, estimate where you think you can be within the next year. Break down your forecast by customers, orders, and revenue. Also include a monthly forecast.[3]
- Sales forecasting is an art, not a science, and involves educated guessing.[4] However, you can use your competitors as benchmarks. How large have they grown in a year? Did they double their sales? Triple? Or does your industry grow much more slowly?
- Generate more leads. To grow, you need to find new customers. Study how your competitors find leads. Are they advertising on television or online? Consider the following methods of drawing eyeballs to your business:[5]
- Create a newsletter and have a sign-up box on your website. Put out a newsletter once a month or at least every quarter.
- Start conversations with key people in your industry using social media. Twitter is a great way to connect. As they get to know you, they can sing your praises.
- Reach out to the media. Don't make a PR pitch, but tell your story in an authentic manner. The journalist might write up a story about you, which will increase your visibility.
- Improve your online conversion optimization. More people will visit your website than will buy from you. To grow your business, you need to convert more visitors to paying customers. Consider the following strategies:
- Increase the content on your website. Provide information that is useful, such as how-to articles. For example, if you run a dental office, you can write articles about at-home care. This is a great way to showcase your expertise and give customers some idea about your communication style.
- Get product reviews. Ask your current customers to leave a review on websites such as Yelp, and then feature positive reviews on your website.[6]
- Write and give away a free eBook that showcases your expertise.
- Encourage customers to spend more. Give away free samples of your products or services, or offer coupon discounts to encourage them to return. Also find ways to "upsell" added products or services.[7]
- For example, if you are a dentist, you can ask customers if they want to buy an electric toothbrush, teeth whitening, or veneers.
- If you are a florist, you can ask customers if they want a larger bouquet for just a few dollars more.
- Ensure invoices are collected. With fewer customers, you might have had sufficient time to track down customers who were late with their bills. However, if you grow rapidly, you'll have much less time and many more unpaid invoices. Investigate how you'll improve bill collection.
- Work with a mentor. You might not know how to increase your sales. Find a mentor who is experienced in your industry. Meet with them to discuss your goals and ask their advice about how you can increase your revenue.
- Find a mentor using Micro Mentor or Score Mentoring. These websites connect small business owners with mentors.
- You can also find potential mentors by joining professional or industry associations. Remember to ask them upfront if they are willing to be your mentor.[8] The relationship will be more satisfying if you are clear at the outset about what you need.
EditIncreasing Your Capacity - Draft a detailed expense forecast.[9] Based on your sales forecast, estimate how much you will spend to keep your business running. For example, you might need to double the number of sales associates in order to handle the anticipated increase in sales. Look at your current expenses as a guide.
- Try to be as detailed as possible. Network with people in your industry so that they can help you think of things you might have overlooked.
- For example, you might handle payroll yourself for your two employees. However, if you need to triple the number of employees, you must schedule tripling the amount of time you dedicate to payroll. This is an expense you might not have thought about.
- Upgrade your technology. If you increase your sales by 200%, do you have the resources to deliver on those sales? Probably not. Scaling a business requires that you take a hard look at your current technology and see where you need to upgrade.
- Look for ways to automate.[10] You can automate many parts of a business, such as billing, marketing, and payroll. Automation can save you time and money.
- Also investigate the newest technology involved in sales management, shipping, and accounting. You might be able to do things faster and more effectively with newer technology. Ask larger businesses what they use.
- Integrate your systems. Your business probably has multiple systems in place that don't work together. For this reason, they increase communication costs and slow down your business. Pursue system integration so that you can handle your growth.[11]
- A typical business has many systems: payroll, accounting, purchasing, order fulfillment, and customer service, among others. With an integrated system, employees in order fulfillment can see when an order is cancelled, and accounting can easily spot the cancellation.[12]
- Hire more customer service representatives. If your sales double or triple, you can't expect the same number of employees to handle the work load. Study industry benchmarks to find out how many customers one representative can handle, and then hire accordingly.[13]
- Increase staff in other areas. Consider your manufacturing, inventory, and delivery staff. Do you need more? Study the benchmarks for what is typical in your industry.[14]
- Don't forget back office functions, either. If you grow so large, would it make sense to hire an internal bookkeeper instead of outsourcing that function?
- Consider outsourcing. Depending on your current size, you might need to outsource jobs as you grow. For example, you might outsource Human Resource functions to a professional employer organization (PEO). Or you might want to hire an inventory and fulfillment center to handle your inventory and delivery.[15]
- Outsourcing is complicated. Often, small businesses outsource most jobs. However, as you grow, it might be more cost-effective to bring in jobs internally. Nevertheless, as you continue to get even larger, it might make sense to outsource again.
- There's no "one size fits all approach." Always crunch numbers to see what is most cost-effective.
- Move your business. You might outgrow your current facility. In this situation, you should plan on renting new commercial space. Work with a real estate agent or search for commercial space on websites like Loopnet.com. Budget how much it will cost to move into a larger space.
- Most commercial space is rented by square foot or by a percentage of your gross sales.
- Always remember to nail down what is included in the rent. For example, some commercial landlords require tenants to pay for taxes, insurance, and utilities.[16]
EditFinding Funding - Update your business plan. After forecasting sales and estimating increased expenses, determine how much extra money you need to fund your expansion. Include this information in your business plan, which lenders will want to see.[17]
- Make sure to update your business plan to reflect your new sales and marketing strategies.
- Also discuss in detail what investments you'll need.
- Fund out of your own pocket. You might not want to borrow money to grow your business. In that situation, consider funding the expansion yourself. There's a few ways you can save enough money to fund your growth:[18]
- Dip into your savings. You might be able to take a loan from your retirement accounts to fund an expansion.
- Do jobs yourself. At least initially, you might be able to do jobs that you plan to hire other people for.
- Be thrifty. Find the cheapest way to do something so that you save money.
- Obtain a bank loan. Visit nearby banks and ask for a business loan to fund improvements. They will look at your business' credit history as well as your personal credit history. Generally, your credit score must be above 600. You might need to put up business assets as collateral for your loan.[19]
- Banks will probably also require that you personally guarantee the loan. This means you're on the hook if your business can't pay the loan back.
- Often, you'll also need to put up some collateral, such as your house. If you default, the bank can seize your home.
- Look into an SBA loan. In the U.S., the Small Business Administration (SBA) guarantees loans for small businesses. You still get the loan from a bank, but the SBA promises to cover a portion of the loan should you default. For this reason, your interest rate will typically be lower.
- Generally, you'll need to have been in business for two years to qualify for an SBA loan.[20]
- Your personal credit score will also need to be above 680.
- Bring on a partner. A partner can provide much needed cash as well as skills. Take an honest look at what skills you lack and find someone with experience in that area. For example, you might not have general management experience, so you can partner with someone who has an MBA.[21]
- You can find a partner by talking to your network and talking to the local Chamber of Commerce.
- Always thoroughly vet a partner before selling them half of your business. For example, you should pull a credit history to make sure they are financially responsible.
- Also meet to talk about their goals for the business. You might find out that you have vastly different visions for where your company is headed. It's better to find this out now.
- Ask friends for a loan. Explain to friends or family how you want to expand your business and how you will pay them back. Your friends or family might hesitate. However, agree to pay interest on the loan and write up a promissory note.[22] This will give your family confidence that you intend to pay them back.
- Scaling your business will require longer hours at work, so don't try to grow unless you can increase your time commitment.[23]
- You also run the risk of alienating existing customers as you grow. For example, you might cut loose underperforming parts of your business, which means you'll lose those customers who used only those services.
- A financial advisor can be helpful throughout the scaling process. Obtain referrals by contacting your local Chamber of Commerce or asking other business professionals.[24]
EditSources and Citations
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| How to Make Blueberry Cream Cheese Muffins Posted: 30 Jul 2017 09:00 AM PDT Cream cheese goes with almost everything, especially blueberries. This recipe will make a delicious batch of blueberry muffins topped with cream cheese satiate cravings for both, and is much lighter and fluffier than a piece of cheesecake. Read on to make them for yourself! Recipe serves 18 muffins. EditIngredients For the muffins: - 1/2 cup (1 stick) melted unsalted butter cooled at room temperature
- 1 cup granulated sugar
- 1 egg
- 2 egg whites
- 1 tsp vanilla
- 2/3 cup milk
- 2 cups flour
- 2 tsp baking powder
- 1/2 tsp salt
- 2 cups blueberries
For the cream cheese topping: - 8 oz (1 package) cream cheese, softened
- 1/3 cup granulated sugar
- 1/2 tsp vanilla extract
For the streusel topping: - 1/4 cup flour
- 1/4 cup brown sugar
- 2 tbsp cold butter
EditMaking the Muffins - Preheat the oven to 350°F.
- Combine the cooled butter, sugar, and vanilla in a medium-sized bowl and stir well.
- Add the egg and egg whites, and beat them in well.
- Pour in the milk and stir well.
- Combine the flour, baking powder, and salt in a separate bowl.
- Fold the dry ingredients into the medium bowl gently. It will take around twelve folds to properly mix the batter.
- After the ninth fold, add the blueberries and continue to fold.
- Pour the batter into muffin cups, taking care to fill only 3/4 of the cup.
EditMaking the Cream Cheese Topping - Combine the cream cheese, sugar, and vanilla and mix until smooth (cream the mixture).
- Portion 1 tbsp of cream cheese topping mixture on top of each muffin cup full of batter.
- Cut in/swirl the cream cheese mixture gently using a butter knife. The cream cheese should not be swirled all the way through the muffin, but just through the top of the muffin.
EditMaking the Streusel Topping - Combine the brown sugar and flour in another medium-sized bowl.
- Cut butter into the mixture using a pastry knife.
- Sprinkle the streusel evenly over the tops of the muffin batter and cream cheese mix.
- Bake at 350°F for 25 minutes.
- Enjoy your delicious muffins!
EditThings You'll Need - Oven
- Muffin cups
- Muffin tray
- 2 medium-sized bowls
- 2 smaller-sized bowls
- Pastry knife
- Butter knife
- Whisk
- Electric or hand blender
- Rubber spatula
EditRelated wikiHows EditSources and Citations
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| How to Make a Pom Pom Posted: 30 Jul 2017 01:00 AM PDT Pom poms come in a few different varieties. There are the pom poms that are used to accent knit and crochet projects, pom poms that cheerleaders use, and tissue paper pom poms that are used for decoration. You can make one or all three of these types of pom poms with the right materials. EditMaking Yarn Pompoms - Cut out two cardboard circles. Cut out two cardboard circles and then cut out a wedge and a small hole in the middle of each circle so that your disks look like they have keyholes. Remember, the bigger the circles, the bigger your pom pom will be (and vice versa).[1]
- You can cut out a circle freehand or you can use a bowl or glass as a guide to trace the area you want to cut and then cut out the circle.
- Place a piece of yarn between the two cardboard circles. Place a piece of yarn so that it is going around the keyhole and then place the other cardboard disk over the yarn. Arrange the circles together so that the keyholes are lined up.[2]
- This piece of yarn will serve to secure your pom pom later on. Make sure the piece is long enough so that the ends hang out on either side of the keyhole.[3]
- Wind the circles with yarn. Insert the yarn through the wedge and into the center of the circle. Then, begin wrapping the yarn around and around the circle. Wrap the yarn around the circle about 100 times or until the yarn is as thick as you want it to be.[4]
- The thicker your yarn is, the denser your pom pom will be.
- Cut the yarn. Put the scissors in between the two circles of cardboard and cut open the wound thread or yarn around the outer edge. Go slowly and cut evenly.[5]
- As you cut the yarn, hold onto the ends of the extra piece of yarn that you placed between the cardboard circles. This yarn is what will secure the pom pom.
- Tie the extra piece of thread. Tie and knot the ends of the extra piece of yarn. Because of where you placed the yarn before you started, it should be in the perfect position to hold your pom pom together.[6]
- Remove the cardboard disks. After you secure the pom pom with the extra piece of thread, you can set the cardboard disks aside. Keep in mind that you can reuse these disks to make more pom poms, so do not discard them.[7]
- Trim the pom pom. Trim around the outside of the pom pom to even out the threads. Keep trimming until you are happy with the look of your pom pom. Trimming will make the pom pom will make it fluffy, dense, and round.[8]
- Make sure that you do not trim the ends of the yarn that you used to secure the pom pom unless you do not need them.
- Use your finished pom pom. You can now use your finish pom pom by attaching it to a knitting or crochet project. Use the yarn tails to attach it to a hat, scarf, sweater, or whatever you want.
EditMaking Cheering Pompoms - Layer 10 trash bags on top of each other.[9] Trash bags are usually only available in white and black, but you may be able to find other colors, too. If you are using different colors, then layer the trash bags so that the colors are alternating if you like or keep the colors together.
- Cut off the tops and the bottoms of the trash bags. Cut off the top 1" or so of the trash bag where the drawstring is. Discard this material.[10][11]
- Fold the trash bags. Fold the trash bags so that the tops and bottoms are lined up. Try to get all of the layers as even as possible.[12]
- Cut the bags along the folded line. Cut the bags along the fold you just made so that you have a pile of 20 trash bag squares. Cut carefully and try not to leave any jagged edges.[13]
- Cut slits in the bag. Start cutting from the edge into the center from the side you just cut. Cut slits in the bags every 1/2 - 1", depending on your preference. Repeat the same cuts on the opposite side. Make the cuts from both ends and stop evenly, leaving roughly 2" uncut at the center.[14]
- Gather the bags. Gather the bags at the center, like holding a bunch of dry pasta, so that your fingers are around the uncut center and the strips you made are hanging. Secure the center by wrapping a bit of tape (electrical tape works best) around the uncut portion of the bags.[15]
- Fluff the pom pom. Next, take the individual strips and begin to separate each piece of plastic. This will give the pom pom its volume. Crinkle the strips of plastic once they're pulled apart to make it even fuller.[16]
- Your pom pom is ready to use! Make another so you have a matching pair.
EditMaking Tissue Paper Pompoms - Lay out eight sheets of tissue paper. Place the tissue paper on a flat surface and make sure that all of the edges are even.
- You can use less tissue paper for smaller pom poms, or more for larger, fuller pom poms.[17]
- Fold length-wise in an accordion-fold pattern. Begin folding at one end of the tissue paper pile and fold the pieces in an accordion-fold pattern. This is when you fold the piece over in one direction first and then in the opposite direction after that. Keep folding in this alternating way until you reach the end of the stack.[18]
- If you want to make a small pom pom, then cut the strip in half after you do the accordion folds. This will give you two shorter strips that you can use to make pom poms.[19]
- Cut both the ends of the folded paper stacks. You can cut the ends so that they are pointed or make them rounded. The look of your pom pom will be different depending on which style you choose.
- Tie the middle of the folded tissue paper. Use a piece of fishing line, a wire, or a thick piece of thread to tie a knot around the middle of the folded tissue paper. Make sure that it is long enough so that you will be able to use it for hanging the pom pom when you are done.[20]
- Open the layers one by one with your fingers.[21] Take your time opening the layers one at a time to avoid tearing the tissue paper. However, keep in mind that a small tear will probably not be noticeable, so you do not need to start over if you tear the paper once or twice.[22]
- Hang the pom pom. When you are finished fanning out the pom pom, you can hang it up to display it. Hang it from a hook on a wall or ceiling.[23]
EditThings You'll Need EditYarn Pom Poms - Cardboard cut into two rounds, to size of project requirements
- Yarn or thread (delicate embroidery projects might require small pom poms of cotton or silk thread)
- Scissors
EditCheering Pom Poms - 10 trash bags
- Scissors
- Electrical tape
- Handle object, such as a spoon, dowel, or other stiff hand sized object (optional)
EditPaper Pom Poms - Tissue paper
- Scissors
- Wire, fishing line, or strong thread
EditRelated wikiHows EditSources and Citations
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