The 6 Stages of Business Growth
Whether you’re barely paying the bills or grossing $1 million plus annually, if you run a small business and you are serious about growing your business, making more money, and having fun in the process… our fractional services are meant for you. We’ve worked with many business owners just like you and we’ve identified the common patterns and the challenges that hold them back. And we’ve seen that these obstacles evolve as the business grows. Understanding the stage your business is in, allows us to focus on the resources and solutions for the specific problems that you are facing.
Stage Six - Annual Revenue of $5m - $10m+
Your small business is now a midsize company. Take a moment to congratulate yourself on getting to this stage, and then reflect on how you got here. Chances are you have made very smart decisions along the way. It will take that same strategic mindset to sustain your success for the long term.
Take some time to determine what stage your business is in. Then decide whether you are ready—or interested—in taking your business to the next level.
Most business owners realize the need to hire a full-time CEO that will manage all other business functions, and work together with you on the company's business plan and driving it forward. This isn’t an easy thing to hand over, especially because you’ve worked hard to build your business to where it is and you want to continue to see it grow. But, utilizing a fractional CEO will continue to employ your management principles and build your business according to your business plan.
Stage Five - Annual Revenue of $3m - $5m
Congratulations! Your business has really taken off. Your investments and decisions are generating more than $3 million in revenue, you have a lot of moving pieces and you are adding staff regularly. The stakes are much higher now so don’t lose sight of the core principle of making decisions based on concrete data and a clear understanding of the risks involved.
By insourcing your company's CEO or COO, you'll have an A-Team player that will help you handle the management and development of your business as you plan for continued growth. Custom Consulting Group's Fractional Executive Services provides you with a quality leader that will be driven by growing your business, without the expensive cost of hiring an executive full-time. Ultimately helping you build a more successful business, that is growing profitably and even more efficiently.
Stage Four - Annual Revenue of $1.5m - $3m
As you run faster and faster (and face more growth opportunities), you'll soon find yourself driving your business. With the responsibility for several employees, and filling some management positions, now is the time to exercise extreme caution. A poor decision at this point will cause much more serious damage than one you might have made back when you were walking. In order to keep growing, you will likely need to invest a significant amount of time, energy, money and other resources. Insourcing your company's COO will give you FREEDOM. The freedom to do more of the things you want to do, and move on to something bigger if that is the case. Because you’re an entrepreneur. And so you’re always ready for the next challenge!
Your fractional COO and fractional HR team will help run your company's operations according to the business plan you continue to develop and pivot for success. This key member of your staff should be managing your team, ensuring policies and procedures are followed, alerting you of red flags in the business, and most importantly, will be managing to your expectations.
Stage Three - Annual Revenue of $500K - $1.5m
If you’ve made it to this stage, your business is really starting to take off. Be aware that it may start to feel like the proverbial snowball rolling down a hill, as the opportunities to continue growing pop up at a more rapid pace. If you've done your homework, you can decide how to proceed with confidence. Growth can be stressful and put a strain on your cash flow and your ability to deliver products and services, so consider the impact before heading into the next stage.
The program starts with a 12 week crash course. You’ll be assigned a Fractional Executive who will work with you to extract key information about your company and how you can work together to keep your business successfully moving forward.
Stage Two - Annual Revenue of $250K - $500K
When your business becomes your full-time occupation, you are in the walking phase. You have a number of paying customers and are working to make the business self-sufficient. Some business owners like this phase because it offers them an ideal work-life balance. They don't strive to run … they're happy walking.
But if you want to move to the next step, you'll need to consider hiring employees and possibly getting a loan from a bank or another financial institution to grow your company. Don’t make those decisions lightly. This phase of our program begins with an accelerated 6 week crash course. You’ll be assigned to a Fractional Executive who will help you develop critical internal and external policies as well as operating procedures.
Stage One - Annual Revenue of $0 - $250K
The initial stage of a new business is an exciting time. This is when you start flushing out your idea, maybe sell to a handful of customers and do some initial marketing. Business is usually running part time in this phase, as you're not quite ready, either monetarily or mentally, to make the leap.
You’ll start with a 12 week crash course in which you’ll learn the basics of managing a business. Then we will assign you a Chief Executive Officer to help unpack the business plan we help to build in those 12 weeks. You will meet with your assigned Chief Executive Officer about once a month,