Every business owner dreams of growing their business by leaps and bounds and there are so many reasons that one needs to do that. But sometimes, growing must be done in doses and at the right time. Taking this as a lesson, some entrepreneurs choose to slow down the progress of their businesses. As puzzling as it may seem to you at the moment, there are many reasons why this might be the ideal solution for your business at the time being.
- Unwillingness to delegate
Some business owners do not want to let go. While it seems like the logical thing to delegate the work to grow the work, delegating also compromises the quality of the work. This is especially true to the services sector. In the beginning of a business, it may also be quite costly to find employees and reliable persons to delegate the work to. Therefore, some business owners make the conscious decision to not expand their business, therefore giving a higher importance to quality rather than quantity.
- Playing with time
A business requires time to achieve profitability and this is one reason some business “start small” as opposed to expanding within a short period of time. Therefore, before growing, a business needs to have a look at a profitable business model. In order to achieve that, one needs to experience and experiment thoroughly prior to realizing what works best for you.
Some business owners avoid expanding because of the many regulations that come with it. For example, when an organization that has 45 employees grows to become 50, it may be the subject of certain acts and regulations which require thorough book keeping as well as taxes that come with it. Therefore, keeping the business small is one way of avoiding such inconveniences.