As an entrepreneur, you know that in order for a company to grow, it must have adequate capital. And while your business may be thriving now, it’s important to continually evaluate where you are and what your future growth plans are. Stay one step ahead of the competition by having the foresight to recognize when it’s time for business funding before it’s too late.
Not sure how to tell if your growing business could use additional financing? Look for these indicators to help you identify when to seek extra capital for your company:
You Need Additional Employees
Adding employees to the payroll and providing them with necessary training can weigh heavily on your budget. But in order to sustain growth, your company has to have adequate staff members to handle new business. You may need extra staff members if any of the following are true:
- your team is taking longer than ideal to respond to requests or fulfill orders
- your current employees seem overworked or disgruntled
- customers aren’t as satisfied as they used to be
- you have to turn down potential sales because you don’t have enough staff members to help out.
If you’re stretched too thin and don’t have the means to hire the personnel you need, you should consider securing funding. This will ensure you can continue to hire as needed, be able to keep up with demand, and provide the level of customer service that will help your company successful.
Growing Now Would Hurt Your Current Cash Flow
Without a stable, positive cash flow your business cannot sustain growth. In fact, being undercapitalized and not having the cash to maintain operations and be able to grow is the #1 reason small businesses fail. Having a positive cash flow and a strong cash flow forecast are signs of a financially stable company who is ready to grow. But, if you begin spending your cash on growth without first securing additional funding, you may quickly begin to struggle to pay your bills and be unable to properly scale your company.
You Don’t Have Enough Funds to Cover an Unexpected Expense, Opportunity, or Emergency
Natural disasters, equipment failures, cyberattacks, and other emergencies can all cost your business greatly. Growing businesses should have enough funding set aside to be able to cover an emergency situation, or in the event of a limited-time opportunity to score a deal on an equipment purchase or to purchase inventory in bulk. Sometimes acting quickly is the difference between success and failure. Small business funding can give you the cushion you need to seize opportunities and bounce back in the event of a disaster.
You Need Adequate Capital to Grow
At Fundible, we understand small business. Finding the right small business financing options to meet your industry-specific needs doesn’t have to be difficult. Get approved faster than you can walk to the bank!
If you’d like to learn more about how our programs can help your business, contact us today at (855) 784-0008 or apply today to get started!