Whether you’re a real estate investor, business owner, or someone mid-career, we all share a similar growth mindset. We also all recognize that growth can come in fits and starts. The important part of maintaining an upward trajectory, however, is to understand when the time is right to change course (sometimes dramatically) and when you’re better off sticking with what’s been tried and true (at least for a while).
This is an important topic for business owners, especially small business owners whose resources may be thin. Below we’ll discuss this conundrum and other considerations small business owners must factor in as they grow their business.
To hear more of this conversation, be sure also to tune in to episode 12 of our podcast Owner Occupied.
To Stay or Grow?
Our business’ physical space is often an indicator of our broader presence in the market and industry in which we inhabit. If we feel restricted and confined in our office, it may feel risky to take on new business. Said another way, having room to grow in the physical sense can also embolden you to grow in the financial sense.
For our company at RL Property Management, we too were feeling the pinch in our former office space. As our lease neared the end of its term, we knew we needed a change if we wanted to continue growing our business. And for us, we made the switch to a warehouse/flex space, rather than a traditional office property.
This has been a good fit for us in many ways – not only does it give our office staff a space of their own, it also allows us to purchase and store materials like cabinets and appliances onsite so we can more quickly deliver items to units during a turnover. Moreover, it gives us ample space for a maintenance workshop, which our staff can use for both business and personal projects.
The choice to move offices, however, was a years-long decision and not something we took lightly. In the end, it was the best choice for us if we wanted to continue growing our business.
A second important decision we needed to weigh heavily as part of our growth strategy was our hiring plan…
How to Hire
There are a few ways to approach staffing needs, but we’ll focus on two – a) you need something to actually do the work, and b) you need a strategic visionary to help push the bounds of your business in the direction you want to grow.
The reality is that these things come at a cost, and that cost can sometimes be hard to swallow, especially when it could be double (or more) what you’re used to paying for employees.
In terms of your overall goals, however, it can be highly valuable to commit to the kind of salary it takes to hire an experienced and competent leader who can take your business in this new direction. While as an entrepreneur, you may be used to doing it all, there comes a point when it’s no longer sustainable and you need to look outside.
As business owners, there’s always tension between taking a leap and trying something new versus staying the course. It can be hard to strike a healthy balance between the two. We’d love to hear from you about your experience with risk-taking and business growth. Feel free to get in touch anytime to share your thoughts with us.