The 7 Stages of a Business – Small Businesses Look at Bigger Market Grasp

Business is not something that grows or establish within a day. It takes years to establish a business which holds strong position in market. It goes through several stages and after completing the whole process successfully, a business is able to launch in the market. The 7 stages of a business that makes a business into a business are as follows.

1. The Seed Stage: in order to grow anything firstly we have to plant its seed. Same goes with the ages of business, seed stage is the very start of a business. The primary stage when it’s nothing more than an idea that’s trying to gain marketplace acceptance. At this stage new planted seed of business needs to find its niche. This is a time when small amounts of money and time have to go a long way. The owner of a business has to decide if their skills and experience match the niche of the business they want to start as well as work out proprietorship structure. Money is required to start any business and at initial stage investors and loans are the main source of money; usually get from family, friends, government grants and a day job.
2. The Start-up Stage: the second stage of business is an exciting stage when a business exists as a legal entity, working in market and providing it’s services or goods to its customers. At this stage business become a legal entity and start working but money is still in short supply and it’s very necessary to conserve resources. It’s a stage when base of customers develops, as well as a clear market presence and tenet. In addition to the first stage where money comes from family and friends, there is also customers’ money.
3. The Growth Stage: seeds only grow when get enough water, sunlight and appropriate environment. In business stages the growth stage comes at third place. When business survived the startup period successfully, along with increasing sales and growing reputation you have to face the competitors as well. At this stage owner strong sense of responsibility and keen eye on every little matter is very important. Because increased sales for investment makes a lot of demands on time and money. At this time owner of the business needs to learn to delegate and to hire more staff members. At third stage management becomes more formal and to make smooth dealings, accounting needs to be very strong. Unlike prior stages money at this stage comes from profits, franchising options and banks rather than family or friends.
4. The Establish Stage: business is established at this stage and more mature with loyal customers, steady profits and way of working is more professional. After crossing the three stages it’s time to relax and enjoy the profits. But to maintain this enjoyment, it’s necessary to work hard and prepared to face competitors, changing technology, changing tastes and even the odd recessions. To expand business or to get more customers business needs to improve its products and productivity as well as to fine tune business practices and outsourcing.
5. The Expansion Stage: after the strong establishment it’s time to expand the business into new markets and new distribution channels. Most of the small businesses look to grasp a bigger market share and to find new revenue streams. Getting a hold on bigger market is not an easy task; it requires lot of planning and research. It is better or safest to move into areas that complement the business’ existing capacity. To get attention there should be some new products and services or new markets and customers. At this stage money comes from new investors, partnerships, licensing and joint ventures.
6. The Decline Stage: with the rapid change in economy or changing tastes of people may affect the profits and sales. If business is not able to cope long with the challenges, it may be time to exit. It’s better to look for new opportunities, to reduce overheads and find other ways to conserve cash. Source of money here are customers, the owners and suppliers.
7. The Exit Stage: the exit stage comes when the business cashes out and secures the reimbursements of the hard work, or when it simply folds. At this point selling needs a realistic approach. To get a fair price a thorough valuation, competitors and managements as well as a review of business practices can help. There is also a need to be a business transition plan. Money comes at this stage from the sale so, it needs to be handled professionally.

Example: When you are purchasing bank owned apartments for sale turkey or foreclosed property you need to know what you are purchasing because in many cases these homes are dirt, damaged and in need of major TLC. So, before making an offer on a home, ask to take a tour, look through each room, read inspection reports and check the neighborhoods. While flipping a property is simply purchasing the home at a cheaper price, investing in a bit of cleanup and repair and reselling it on a higher price. Before investing you should have clear vision of what type of real estate you want.

Understand the market for better experience. For this purpose look properly at the homes selling in the neighborhood in which you are interested, also look at the surrounding neighborhoods and see how houses of similar size and features are selling. Pay good attention to real estate websites and note market trends.

You need to keep an eye on sales trends in your area and when you see ton of foreclosed homes on the market it means an emblem this can be an excellent Adam Properties investment as there are many buyers to purchase. To make enough profit be prepared to offer a fair bid to improve your chances.

It means you can get guaranteed successful business if you follow the rules I mentioned in this article.