10 ways to grow your small business and make it more attractive to buyers

Is your small business doing well, but do you want to grow it even more? Maybe you’re thinking about selling it one day. Many small business owners dream of this, but don’t know how. Don’t worry! Here are 10 easy steps to help you grow your business and make it more attractive to buyers. These aren’t just ideas, they’re proven methods that have worked for many business owners just like you.

10 steps to growing your small business

Follow these steps to turn your small business into a big one that people want to buy from.

1. Improve your business plan
2. Build better working systems
3. Get clarity on your financial situation
4. Find different ways to make money
5. Build a strong brand
6. Get more customers
7. Leveraging technology
8. Build a great team
9. Plan how to sell your business
10. Create a great marketing plan

Let’s take a closer look at each step.

1. Improve your business plan

A business plan is very important. It’s like a map for your business. To grow, you need to understand what’s working and what’s not working with your current plan.

Tip: Think about how you currently make money. Which products or services bring you the most revenue with the least amount of effort? Focus on these. Consider shutting down or automating the parts that don’t generate much revenue.

example: Sarah was a graphic designer creating custom designs for clients. She realized that this work was taking up a lot of her time and left her with limited room for growth. So she started selling pre-made design templates online instead. This way, she could earn more money without adding to her working hours.

2. Build better work systems

To grow your business, you need to work efficiently, which means you need to have the right systems in place. Without a clear way of doing things, things can become confusing and stressful as your business grows.

Tip: Write down how everything works in your business. This includes how you talk to clients, manage projects, and handle day-to-day tasks. Use a tool like Asana or Trello to create step-by-step guides that anyone on your team can follow.

A personal story: When I started my first business, I managed everything in my head. It worked fine when I was alone, but when I started hiring people, it became a problem. It was only when I wrote down all the processes that things started to run smoothly.

3. Get clarity on your finances

If you ever want to sell your business in the future, buyers will want clear financial records. If your financials are messy or unclear, it will be difficult to find someone who wants to buy your business.

Expert advice: Work with your accountant to get your finances in order. Make sure all financial statements are accurate and up-to-date. Buyers will look at your financial statements carefully, so they need to be clear and honest.

TipUse accounting software like QuickBooks or Xero. These tools can automatically track your funds and create reports for you. This will keep your finances organized and give buyers a clear picture of how your business is doing.

4. Find different ways to make money

Relying on just one way to make money can be risky: having multiple income streams makes your business more stable and attractive to buyers looking for a secure investment.

Tip: Look at your current customers. Can you offer new products or services that complement what they’re already buying? Also, think about selling to new types of customers or entering new markets.

example: Mike owned a small digital marketing agency that was primarily SEO work. He noticed that many companies were offering SEO and the prices were coming down. So he started offering content marketing as well. This made his agency more valuable and larger companies became interested in acquiring him.

5. Build a strong brand

A brand is more than just a logo or a slogan. It’s how people think and feel about your business. A strong, consistent brand can make your business even more valuable.

Tip: Reassess your brand. Does your message, look, and customer experience all match? If not, change it. Make sure your brand represents what’s special about your business and is appealing to your target customers.

A personal story: When I started my second business, I focused on branding from the beginning. I hired experts to help me build a strong brand and ensured that everything in my business, from my website to my interactions with customers, aligned with this brand.

6. Gain more loyal customers

Buyers want a business with a lot of loyal customers. If most of your revenue comes from a few customers, buyers may view your business as high risk.

Tip: Focus on satisfying existing customers and finding new ones. Start a loyalty program, talk to your customers frequently, and constantly look for new clients. This will make your income more stable and your business more attractive to buyers.

example: Jane ran a small private investment firm. Initially, 80% of her funding came from just two clients. She knew this was risky, so she worked hard to acquire new clients and offer more services. Over time, she built up a diverse group of clients, and by the time she decided to sell, her business was worth much more.

7. Leverage technology

The right technology can help your small business grow faster and operate more efficiently – automating repetitive tasks, improving customer experience, and enhancing marketing efforts.

Tip: Use a customer relationship management (CRM) system like HubSpot or Salesforce to manage customer relationships and track potential sales. Automate tasks with tools like Zapier and try AI-powered analytics tools to better understand your business performance.

Expert advice: Stay abreast of new technologies in your industry. Using the latest software and exploring new technologies can help you stay ahead of your competitors and make your business more attractive to tech-savvy buyers.

8. Build a great team

Your business is only as good as the people who work there. Buyers aren’t just investing in your product or service, they’re also investing in your team.

Tip: Hire great people and make them happy. Create a positive work environment, pay them a fair salary and give them opportunities to learn and grow. A strong and motivated team will help your business grow and make it more attractive to buyers.

example: Having run a successful online store, John understood the importance of a small but strong team. He worked hard to build a great team culture, provide training, and make his employees feel valued. When John sold his business, the buyer was not only impressed with the financials, but also with the great team that kept the business running smoothly after the sale.

9. Plan how to sell your business

Planning to sell your business isn’t just about finding a buyer — it’s about making sure your business is ready to be sold, which means planning ahead and making sure every part of your business is in good condition.

Tip: Start planning for the sale of your business at least two years before you actually want to sell. This gives you time to improve how you run your business, get your finances in order, and make your business as attractive as possible to a buyer.

10. Create a good marketing plan

To attract buyers, you need to show them that your business has a surefire way to gain new customers and increase sales. A good marketing and sales plan will accomplish this.

Tip: Get a detailed understanding of how your customers find out about your business and make purchasing decisions. Use tools like Google Analytics to see how well your marketing is working and make changes if necessary. Make sure your marketing plan keeps you attracting customers as your business grows.

Expert advice: Review and improve your marketing plan regularly. What worked last year might not work this year, so be ready to change your approach. A strong, automated marketing plan will not only bring in more customers, but it will also show buyers that they can grow their business without your constant attention.

It’s your turn: start growing your business today

Now it’s your turn. Look at your business and decide which of these 10 steps you need to focus on. Start with one small action today: write down your work processes, organize your finances, invest in your team. Set a clear goal of where you want your business to be in a year and start working towards it.

Challenge: Choose one of these steps and work on it for the next 30 days. Record what you do and how it impacts your business.