It’s time to kick it up a notch or two

THE economy is showing early signs of turning the corner after a couple of years of high volatility and disappointing growth.

The year ahead holds promise of increased opportunities for local small and medium enterprises (SMES) to shift from survival mode to opportunity-seeking businesses.

Although the winds of change are seemingly blowing in the right direction, levels of uncertainty will stay for a while and not all sectors will benefit.

Retailers, especially those specialising in fast-moving consumer goods, should expect a challenging year ahead as debt-ridden consumers struggle to increase their disposable income.

SMES need to start planning to grow their footprint and production capabilities. This may involve bringing in new skills, hiring more staff or acquiring additional infrastructure. Business owners should also look at their balance sheet to ensure that they have the capital available to expand when opportunity knocks.

Here are a few pointers to assist with gearing up for growth:

Without a roadmap for expansion, it’s easy for smallbusiness owners to get lost and make changes that are either too costly or not well thought out. During planning, business owners should consider what the real demand of their products or services is and projections over two to five years.

They should also look at how to meet that demand and what excess capacity for unusual demands should be, as well as whether they should employ additional staff. The every eventuality during a specific expansion phase.