Going for growth

As businesses start planning for the upturn in the economy, many business owners will be thinking about expansion to stay ahead of their competitors - either within their current market or moving into new ones.

However, poorly planned growth can lead to missed opportunities. Follow our tips below to make the most of your growth plans:

  • To maximise your competitive edge, explore and research your options fully and identify the 'five forces': barriers to entry, existing competition, substitutes, customers and suppliers.
  • Put the right corporate structure in place (e.g. company, LLP or joint venture) and take advantage of the tax reliefs available to maximise wealth retention.
  • Have a well structured strategic plan to reflect your aspirations. Are they suitable, acceptable and feasible? This will also be crucial if you are looking to attract investors to fund your expansion or to achieve your exit strategy.
  • Ensure your business has sufficient resources for any expansion e.g. labour, capacity, supply chain matters.
  • Communicate plans to your employees and ensure they are trained and prepared to embrace growth rather than being a barrier to it.

Mike Bird, Managing Director of Breathe Group - a specialist commercial design & build, furniture and workplace services provider, has first hand experience of planning effectively for growth:

"We started off as a Cambridge based business but our growth strategy was always focussed on having a London presence. We are very much a family business so it was important to take the time to find an acquisition prospect with similar values to us. After searching for the right company, we acquired a London based business (Asset Interiors) in November 2009. The addition of Asset Interiors to the Breathe Group significantly increased our turnover and strengthened our expertise; taking our staff levels from approximately 40 to 55. MacIntyre Hudson assisted us throughout the process with pro-active, professional and creative advice. This included putting the most efficient corporate structure in place and advising on integration issues."

For further advice, please contact your local office.