Growing a business can be scary. You’re about to take on a new level of demand, increase pressure on your employees, and face all the responsibilities that come with keeping a larger operation under control. The more you think about what awaits your business, you begin to realize that the major investment you seek could completely backfire unless it is accompanied by another crucial addition to your arsenal.
This extra addition will ensure that your expansion will be carried out smoothly and with very little room for error. The system you used to rely on to stay on top of things might have worked in the past but, and this may be a hard pill to swallow, it probably won’t be able to handle the needs of your newly-evolved company.
Here are three things to consider before following through on the most important investments for your business’s future:
1. Do you have the right people in leadership positions?
Small business owners are naturally loyal to their first employees. As the business grows, these employees will likely be promoted several times and trusted with more responsibilities, including managing their own division of workers. One such division will be a result of the batch of new hires you are about to recruit with a small business loan. But is this longtime employee ready to train, guide and oversee these new workers? Sometimes, being an expert in a specific field doesn’t mean you know how to effectively communicate with people working under you and correct their mistakes.
In addition to more manpower, you need someone with the skills and experience to lead them. A new employee in a leadership role requires a sizable salary that shouldn’t be wasted on a longtime employee who isn’t qualified. So before you invest in new hires, enlist the help of someone who will maximize the likelihood of a strong return on your investment and, in the process, eliminate your concern of paying off the small business loans on time.
Alternative business financing companies like United Capital Source offer business funding programs that allow you to take on new hires as soon as you need them and train them so they are prepared for the upcoming jump in activity. You could take your time filling your management position and then bring your new team aboard shortly after since you now have the funds to run your business smoothly throughout this process. With such an experienced leader behind them, this team will produce results and help to pay off debt.
2. Is your HR department up to speed?
New employees bring new employee issues. There’s a good chance not everyone will simply fall in line when it comes to company culture, accountability, discipline, benefits, compensation policies or the training process. You cannot take on a new team without a competent human resources department ready to tackle all employee-related hiccups waiting to arise. These are problems you would have previously solved on your own but it won’t be long before you cannot afford to compromise your focus and won’t have answers for the majority of employees’ questions.
Expanding a business requires 100% of your attention, and with HR staff, you won’t have to waste any time alleviating debilitating concerns of employees along the way. In other words, if a staff increase is in your sights, it would be wise to include an HR department along with your new batch of recruits. These recruits won’t be able to concentrate entirely on their work and produce an impressive ROI if their individual expectations aren’t being tended to.
3. Are you documenting your system?
Documentation doesn’t just refer to metrics or day-to-day tasks. Every business develops its own system for creating products or performing services, and this system is encoded in the employees who developed it. Each of these employees has his or her own process for completing tasks, and one person’s process is typically very different from another’s. This might have worked just fine up until now, when the time has come to train new employees who might not agree with the systems current employees have in place.
Documenting a formal system for how to get things done makes training efficient and effective while exposing inconsistencies that can be improved. So when you are searching for new hires, make sure your employees are putting together a formal system for training that combines everyone’s own methods to create one, clear outline for tasks. Operations will likely slow down while employees are executing this system for the first time but if you let United Capital Source finance your expansion, you’ll have no trouble covering monthly expenses during the slight dip in revenue that ensues. That trend will be reversed much quicker than you expected now that you have a solid training system capable of greatly speeding up your ROI.
Let United Capital Source Take You Into The Future
When you can provide the right answers to these three questions, you will have created an environment in which your new employees can perform to the best of their ability and remind you why you are investing in them in the first place. At UCS, we understand the importance of ensuring a smooth expansion and tailor our business funding programs to allow plenty of time and funding for finding, training, and satisfying the needs of new employees. Our terms can be adjusted based on the length of each process because it’s almost impossible for a business to maintain operations as usual while conquering these obstacles. If something is necessary for your business to continue or increase success, it only makes sense for us to provide enough funding to cover every addition of this nature.