Starting a small business is always difficult, but knowing when is the right time to try to expand can be even harder. Once you’ve gotten your first phase off the ground, when will you be ready, or will you ever be truly ready, to take the next step and move into another location, another demographic or expand your product lines or services? Part of knowing if it’s a good time for you to expand is knowing if you will be able to make it work financially for your company, and if you will be able to find an investor.
Due to the recovering economy, it is now possible for small businesses to receive loans for business expansion or other start-up related funds at the same success rates that they were having before the recession in 2008. Venture capital firms are also raising more money than ever before to invest into new ideas and small businesses with the ability to make a great impact in their areas. These funding opportunities should not be ignored when you’re thinking about the expansion of your business. This is not only related to investments within the United States, but also in foreign markets as well, which is a good sign for those who may be looking to take their company internationally.
Additionally, as the economy continues to improve and the unemployment rate falls to its regular levels, more people will have disposable income to spend on products and services they may not have been purchasing at the height of the recession. Businesses will also be able to see their profits rise due to increased consumer spending. With healthy business and consumer spending, it is a good sign that you will also be able to find a higher demand for your goods and services that you would be able to meet through growing your small business.
This article was written by Gillian Kruse of Examiner.com for CBS Small Business Pulse.