A more complicated way is to create branches of the company. In this case, the owner bears the costs of opening them (searching for premises, personnel, advertising and marketing campaigns, etc.). Therefore, before starting to scale the business, it is necessary to organize a head office, from where the work of branches in the regions will be coordinated.
Each branch must have a manager, chief accountant, personnel department, supply department, etc. Branches operate autonomously, coordinating key issues with the head office.
Organization of a branch network
Advantages of scaling your business by opening branches:
Full control over the gcash database company's activities, decisions on opening and closing branches are made by the owner.
Receiving profits from the work of branches in full, independently managing them: they can be directed towards business development, support of a particular point, etc.
Among the disadvantages :
Significant time and financial costs, which fall entirely on the head office (searching for contractors, establishing sales markets, promoting branches, etc.).
Competition within the network. Mergers, acquisitions and other forms of company reorganization are common among branches.
Scaling your business online
Remote work is becoming more and more widespread. Today, to sell a product, it is not necessary to visit an offline retail outlet; it is enough to place an order online. This means that the possibilities for scaling an online business are almost limitless. Delivery of goods to any point can be entrusted to couriers, sent by Russian Post or transport companies. This expansion is easily applicable in the trade sector, but does not always work when providing services. For example, it will not be possible to get a manicure or hair coloring remotely.
Let's look at an example. An entrepreneur opens a beauty salon in a small town with a population of 50 thousand people, promotes his services through social networks. At some point, he decides to make his own website so that neighboring regions will know about his business. However, this will not bring the desired flow of customers, since few people will want to go to another locality for beauty procedures. At the same time, city residents, i.e., the target audience, are already using the salon's services. Thus, in this example, creating a website will not help achieve results and scale the business, which means it is necessary to look for other expansion options (selling a franchise, opening branches).
At the same time, a designer who has declared himself through a website, on the contrary, will be able to attract a larger number of customers for cooperation. His services can be used by residents of neighboring regions and other countries, transferring payment in a convenient way. In the example under consideration, scaling the business via the Internet will bring a noticeable effect.
In addition, a designer can also set up his own agency via the Internet, collaborating remotely with other design specialists.
Read also!