What Else Can You Do To Grow Your Business?

It's a crazy economy we're muddling through now. Every now and then we hear that "It's getting better!"... "New jobless claims drop .000001 percent!"... "Happy Days Are Here Again!!

But you know the truth--you experience it every day. You've stripped down, resized, refocused... you may have even been within inches of closing up shop. Sure, it's possible your business is bullet proof, but odds are it has taken a hit over the last few years and you’re struggling to regain your position.

So... what else can you do to grow your business?

1. Cut Wisely. First of all... cuts, if needed, should be in areas that do not create value, or in business areas that are not part of the core business. Investigate outsourcing any operations that aren’t key.

2. Improve cash flow. Sounds simple but increasing sales is not the only way to improve cash flow. A few other ways:

* Factoring your invoices is a powerful way to improve cash flow.

* Negotiate better rates & payment terms from suppliers or switch suppliers.

* Ensure accurate book-keeping. Also audit for abuse and theft.

* Collect accounts receivable early and delay accounts payable without incurring penalties.

* Review payroll and other large expenses and look for cutbacks where possible. 

* Purchase essential items in bulk to save shipping costs and get price breaks.

* Charge customers upfront fees/payments when possible.

3. Think About Your Customer

Customer needs have likely changed through these challenging times. Modify product/service offerings to better reflect these altered needs. An example can be seen in every big company advertisement, where price and value are the selling points. If you’re selling to other businesses, figure out what they need most now. And the key is to provide more value to the customers without sacrificing margins.

4. Budget Wisely
You already know that tough times shouldn’t always equate to decreased marketing spending. But even if you haven’t lowered the marketing budget, you should attempt to use the budget more wisely to increase return and create a stronger brand. Target some of the marketing dollars to go after customers of companies that are going out of business. For the stronger companies, recessions are the best time to gain market share.

5. Develop Sales & Distribution Channels. During lean times, distributors and sales people are hungry. They may be more open to your needs now then in the past. It might be possible to negotiate better terms from your existing channels or get a stronger channel to replace your current channel for a lower cost.