Kind of a funny topic, huh?….when so many companies are not growing during these uncertain times. But the majority of the readers of this blog ARE growing. You are the companies that get on and then stay on the INC 500 list of the fastest growing privately held companies. So how is the pace of growth set for you and your company? Maybe…fast growth just happens to you and you feel like you are constantly drinking from a fire hose!
One of my strategic planning clients recently executed a management buyout. Congratulations! They aren’t waiting for something to happen TO them. Like many financial deals these days, a significant portion of the funding for loan repayment must come from increased net profitability of the company. The strategic planning team took another look at the math to determine if their existing plan’s pacing would adequately fund the management buyout. This company already had an aggressive growth plan based on market dynamics, their desire to attract top talent, a need for upgraded technology, and their readiness to go after much larger accounts. In their case, the pacing needed to fund the management buyout is compatible with the growth needed to serve their other goals.
But what if the various dynamics that drive growth (desired ROI, market demands, competition, advances in technology, capacity to attract/retain top talent, meeting the terms of a joint venture, funds needed for product innovation, etc) are not congruent? That is the more typical scenario.
Another strategic planning client’s production department cannot keep pace with the company’s marketing offer, sales promises, and investor commitments. Despite their preference to “go it alone”, they are now in merger and acquisition negotiations. Sometimes, another company with superior production capability is needed on your team. It is not OK to just accept whatever your current production team can deliver or hear “we are working on it” any longer.
Although there are usually several elements that drive the pace for growth, there is usually one dominant premise that takes the lead. Does every member of your executive team know which factor defines the pace of growth for your business?
Known as The Growth Strategist®, Aldonna Ambler built and grew a suite of companies to help midsized B2B companies achieve accelerated growth with sustained profitability® A Certified Speaking Professional (CSP), Ambler has addressed over 2000 audiences and hosted a syndicated online talk show about growth strategies for 9 years. As a growth financing intermediary, Ambler raised over $1 Bil dollars for midsized companies. The winner of over 2 dozen prestigious national and statewide "entrepreneur of the year" awards, Ambler is available to speak about “profitable growth during any economy” and/or serve on the board of a growth-oriented privately-held company.