Your business passes through six stages of business growth cycle. It starts with the “Seed”, i.e. when you get an idea for a new business and ends when you “liberate” yourself from the business and it becomes self-sustaining.
These are the 6 stages of business growth cycle:
- Seed: The first among stages of business growth cycle. This is the discovery stage where you get a business idea and explore the market and its opportunities. You experiments with the idea and tests it through feedback from existing players in the market.
- Start-up: At this stage, you find your first set of customers. You start understanding what works and what does not. As an entrepreneur, you are the entire value of the business at this stage, without you the business will not sustain.
- SME: Your organization starts building at this stage. You try to attract quality people in your business. You feels the need for developing new Systems and Processes as the increasing business leads to chaos with the present outdated processes. Most SME businesses get trapped at this stage and stop growing due to the lack of streamlined Systems and Processes.
- Large Enterprise: Your business grows to this level with the help of good Systems and Processes and is able to attract professional talent. You manages the business by exception and decentralizes the decision-making process. Your entire focus is on growth and business’ future.
- Corporate: Here your business gets a public image. You drive the business through strategic planning and with the help of systems and processes. Processes are consistent across the length and breadth of your organization. Your organization invests heavily on upgrading employees, systems and processes.
- Liberated: This is the last of the stages of business growth cycle. You as an entrepreneur liberate from the business when a board forms with independent professionals to run your organization. Strong governance and ethical practices implemented across your organization. The employees imbibe your philosophy and strive for continuous excellence.
The question to ask yourself is – At what stage is your business from the above stages of business growth cycle? Moreover, what you need to do to go to the next level of growth?