The Top Four Elements to Grow a New Business

There are arguably hundreds of elements to think about when starting a new business. Some are simply structural in nature such as accounting options, staffing and training, introductory marketing, websites and social media, inventory, suppliers, bank accounts and lines of credit, and a number of capital investments.


Once open and operating, there are four elements that a business should identify and focus on to grow and be successful. Much of this work should have appeared in the original Business Plan.

1. Know Your Competition

Whether the competition is "bricks and mortar" or online, it is important to understand what they offer, how they price their products and what is unique about the way they attract and retain their customer base. Who are their target customers? What are each competitor's potential weaknesses?

2. Introspection

Armed with new in-depth knowledge of your competitors, and before you begin a business building campaign, make sure you have the staff, inventory and service processes to deliver on any new promise. Luring new customers to your business, and then disappointing, is a fatal mistake. Be objective and seek expert input without being defensive.

3. Identify and Leverage Your Existing Customer Base

Which segment of the market might find your proposition more appealing than the competitors’? And what unique products might you offer that the competition does not offer? Answers to these questions should shed some light on your unique sales strategy and business channel. Look for expert advice. Once you begin to identify and build your customer base, never stop working to expand. It is no time to be bashful. Social media, referral programs, sales, re-positioning of products and frequent shopper programs can increase business with existing customers and help you to find new ones.

4."Go Public"

Putting yourself “out there” is an important step in increasing public awareness. Conducting seminars and participating in civic and charitable activities contribute to a higher awareness of your business. Also consider aligning with a larger business to tap into their customer base. A good partnering example might be for a purveyor of healthy pet foods aligning with a successful human health food store. Since the clientele would likely have similar feelings about their pets’ diets, the two businesses can complement each other.

Finally it is important to set aside at least 30 minutes per day, without distraction, to think and examine your situation. This can be the most productive time of your business day.

Jeff Ramson is the CEO of PCG Advisory Group and an authority within the Investor Relations industry.