Stage 3- Expanding :
You have reached this stage if:
- Your structure is optimized for gross margin
- You are in total control of fixed costs
- You can measure your teams’ performance
- Your business generates enough cash flow and the structure is profitable
- Your production output is maximized and allows for increases in sales
What are the objectives at the end of this stage?
Your business is structured to allow for massive market penetration and increases in your market share, while keeping control of fixed costs and maintaining adequate gross margin. At the end of this stage, the majority of your sales are recurring and you can delegate all of your operational responsibilities.
What are the strategies and growth options to use for this stage?
You need to maximize your sales to current clients by selling more and at a greater rate, by winning their loyalty and by selling to them complementary products or services using the same expertise based on your already stable and profitable business structure.
What are the strategic indicators to monitor at this stage?
You need to be able to determine precisely:
- The profitability of each product or service.
- Your teams’ performance.
- Your production’s performance.
- Your capacity to finance new project
- The performance of your marketing strategies