(EVENT RECAP) GROWTH WITH PURPOSE: HOW TO GROW YOUR BUSINESS WITHOUT IMPLODING
Growth with purpose has been a big focus for 2020, and our Founder and Principal Randy Gerber talked about it with a group of entrepreneurs during Innovate New Albany’s TIGER Talk on March 6.
His presentation was entitled, “Growth With Purpose: How to Grow Your Business Without Imploding” and if you missed it, don’t worry—we’re providing the highlights below! (We have other Growth With Purpose events if you want to check them out!)
What is Growth with Purpose?
Randy explained that while entrepreneurs understand they need to grow to survive, they don’t know how much to grow by. When they grow as fast as they can, it causes financial strain, strain on their people and strain on execution. It can also affect the quality of their product, and the opportunity cost of thinking about their business strategically vs. tactically.
To grow with purpose, entrepreneurs need to:
- Have a written strategic business plan
- Understand your life goals
- Understand the stage of life you are in
- Understand your financial resources
How do you grow at the right rate?
To grow at the right rate, Randy explained that you should strategically align your business plan, understand the cash flow needs of your business today and in the future, and align the compensation of your leadership team with your growth rates.
There are five main benefits to growing your business at the right rate:
- You likely don’t overpay people
- Your hiring plan is easier to execute and less expensive
- You don’t need equity owners because you can finance organically with the bank and cash flow
- You minimize execution risk. You can align operational excellence with marketing and sales
- You can plan for physical growth on a much more thoughtful basis
Growth with Purpose Myths
Randy explained some common myths about growing a business with purpose, and how to dispel them:
- Myth #1: You have to be first to market
- Myth #2: You must raise capital
- Myth #3: Every business grows like a “J Curve”
- Myth #4: You must take advantage of every growth opportunity
Would you like to learn more about how to grow your business without imploding? If so, please reach out!
Upcoming “Growth With Purpose” Events: