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GROWTH WITH PURPOSE: WHY ARE YOU GROWING YOUR COMPANY?

January 22, 2020
 
There's an old saying that's true: You grow, or you die. Entrepreneurs grow their companies because they need to. If they stay stagnant, they'll die for sure. the problem is no one ever tells you at what rate you need to grow.
 
So often entrepreneurs grow as much as they possibly can. They take on every opportunity and push themselves and their staff, while not thinking about their rate of growth. They don't really consider they can "grow too much" and take unnecessary risks. It ends up killing them and their team. When it blows up, they think they're a failure because it didn't work out.
 
Know Your Why
 
Every entrepreneur experiences the ups and downs and highs and lows. To be successful, their growth needs to be aligned with the company's goals. They need to know WHY they want to grow their company. They need to grow with purpose, and this growth needs to be aligned with their life goals.
 
It's much more efficient to get from point A to point B by growing in a somewhat straight line, as evidenced by the green line in the graphic below. This is growth with purpose and is a skill that requires strategic and emotional intelligence, maturity and experience.
 
Source: Randy Gerber
This is a hypothetical example for illustration purposes only.
 
Growth with purpose also takes discipline. It's not a race to the finish. When you grow too fast, you end growing like the orange squiggly line - you'll probably get there eventually, but it will take a lot longer, be way harder, and have tremendously more risk. Whether you get there in five years or seven years doesn't matter, as long as you get to the goal! You have a much better shot at getting there financially by having steadier growth than super volatility along the way.
 
Identify the "right" rate of growth and be very deliberate and strategic about your growth. It's far healthier, safer and usually a better return.
 
How To Grow With Purpose
 
To grow with purpose, you must have a strategic business plan. Understand what your goals and dreams are, and what that costs. Then you can back in to how to get there and figure out how fast you need to grow to achieve your goals. There needs to be integration of your life and your business plan.
 
And another thing: Size matters! Understand the supply and demand of your products and services. You may have to grow faster because an opportunity presents itself. You better understand your capacity and make sure the opportunity is consistent with what you are capable of. When you get to a certain size (that may be a few million bucks in sales, depending on the industry you're in) is when companies really start to have significant growth.
 
We feel so strongly about growth with purpose that we're releasing a whole blog series about it. Follow us to stay up to date with the latest info!
 
What are your reasons for growing your company? How have you experienced growth with purpose? Share with us on Facebook, Twitter and LinkedIn!
 


INDEX
  • THE COVID-INSPIRED SPIKE IN ENTREPRENEURIALISM
  • THE PROS AND CONS OF OUTSOURCING YOUR FINANCE AND ACCOUNTING SERVICE
  • HOW TO SET GOALS IN 2021
  • THE LEADERSHIP EVOLUTION OF YOUR BUSINESS
  • HOW TO GET THE MOST OUT OF YOUR ADVISORY BOARD
  • THE PANDEMIC-INDUCED INNOVATION OF MEETINGS
  • HOW TO USE THE 8 P'S OF MARKETING TO GROW YOUR BUSINESS
  • BEST PRACTICES FOR COLLEGE FINANCING
  • SCALING A BUSINESS - ARE YOU READY?
  • THE HALFWAY POINT: IT'S TIME TO REVISIT THOSE BUSINESS GOALS
  • GROWTH WITH PURPOSE: SUCCESSION PLANNING
  • GROWTH WITH PURPOSE: EVOLUTION OF FAMILY LIFE
  • GROWTH WITH PURPOSE: FINANCIAL RISK
  • GROWTH WITH PURPOSE: INTEGRATION
  • GROWTH WITH PURPOSE: WHY ARE YOU GROWING YOUR COMPANY?
  • GOAL SETTING 2020: HOW TO KEEP YOUR GOALS FRONT AND CENTER ALL YEAR LONG
  • ASK GERBER: HOW TO STAY LASER FOCUSED DURING THE HOLIDAYS
  • Ask Gerber: How to Identify Your Business's Culture When You Don't Think You Have One
  • Ask Gerber: When Should I Hire a Professional Manager?
  • Ask Gerber: Should You Mix Business with Friendship?
  • ASK GERBER: HOW DO I ESCAPE THE ENTREPRENEURIAL SLUMP OF FEELING TRAPPED IN MY BUSINESS?
  • ASK GERBER: HOW CAN ENTREPRENEURS CREATE SHARED EXPERIENCES WITH THEIR CHILDREN?
  • Ask Gerber: How Can I Recognize Permanent Failure as an Entrepreneur?
  • Ask Gerber: How Can I Recognize and Overcome Temporary Failures?
  • ASK GERBER: HOW DO I HELP EASE EMPLOYEE STRESS DURING BUSY SEASON?
  • ASK GERBER: DO I NEED TO HIRE HR?
  • ASK GERBER : DO I NEED A CEO?
  • ASK GERBER: DO I NEED TO HIRE A COO?
  • ASK GERBER: DO I NEED TO HIRE A CMO?
  • ASK GERBER: DO I NEED TO HIRE A CFO?
  • ASK GERBER: HOW DO I KEEP PASSION AND PROFITS TOP OF MIND IN MY BUSINESS?
  • ASK GERBER: WHY DO I NEED TO INVEST IN HOSTING AN ANNUAL RETREAT FOR MY TEAM?
  • ASK GERBER: HOW CAN I ENGAGE WITH MY CLIENTS/PROSPECTS WITHOUT BREAKING THE BANK?
  • ASK GERBER: WHAT IS A CLIENT SERVICE MATRIX? PART DEUX
  • ASK GERBER: WHAT IS A CLIENT SERVICE MATRIX? PART ONE
  • ASK GERBER: THE HIRING PROCESS. WHY IS IT SO DAMN HARD?
  • ASK GERBER: WHY IT'S IMPORTANT TO KNOW AND GROW YOUR COMPANY CULTURE
  • ASK GERBER: HOW DO I ACHIEVE THE WORK/LIFE BALANCE AS A BUSY ENTREPRENEUR?
  • ASK GERBER: HOW DO I PREPARE MY FRIENDS FOR LIFE AS AN ENTREPRENEUR?
  • ASK GERBER: FIRST GENERATION ENTREPRENEURS AND BUSINESS EXECUTIVES, HOW ARE THEY DIFFERENT?
  • ASK GERBER: I PUT SO MUCH OF MYSELF INTO MY BUSINESS THAT I WORRY I AM FALLING SHORT AS A SPOUSE AND PARENT. WHAT CAN I DO?
  • ASK GERBER: ARE CHILDREN OF FIRST-GENERATION ENTREPRENEURS MORE LIKELY TO BE SPOILED?
  • ASK GERBER: WHAT'S YOUR STANCE ON REMOTE ACCESS FOR EMPLOYEES?
  • ASK GERBER: WHEN DO I NEED TO HIRE AN ADMINISTRATIVE ASSISTANT?
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