Business Development Strategies are presented here as a measure of how businesses can grow and develop over time. In his book, “Fire, Aim, Ready”, Michael Masterson does a splendid job of explaining the problems, challenges and opportunities connected with each stage of business development.
Stage 1, Starting Out: You have just taken your business from an idea to actively running and developing a positive cash flow. ($0 – $1 million).
Main Problem: You really don’t know what you are doing.
Main Challenge: Making your first profitable sale.
Main Opportunity: Achieving a critical mass of customers.
Stage 2, The fast growth stage: Taking your business from the $1 million level to $2 million a year in profits. ($1 million to $10 million in revenue).
Main Problem: You are breaking even or may even be losing money.
Main Challenge: Creating many additional, profitable products quickly.
Main Opportunity: Increasing cash flow and becoming profitable. Being cost effective is key to profitability.
Stage 3, The adolescent stage: Take your business over the $10 million threshold with profits in the range of $2 million to $5 million. Revenue parameters are from $10 million to $50 million.
Main Problem: Your systems are strained and your customers are noticing.
Main Challenge: Turning chaos into order.
Main Opportunity: Learning how to establish useful protocols and manage processes and procedures.
Stage 4, The Stage of Maturity: Your business has now grown with revenues of $50 million to $100 million or higher.
Main Problem: Sales slow down or even stall.
Main Challenge: Becoming Entrepreneurial again.
Main Opportunity: Getting the business to run itself.
You may find that Business Development Strategies outlined herein may be relevant to you today. You may also find them to be more relevant at another time in your life. It is hoped that you will identify where your business is today and will make plans to deal with the challenges that lie ahead.