Growing Pains - your experience?

[jlr88]

For a class assignment, I am hoping someone can discuss their experiences... In particular, what sorts of "growing pains" did you experience? How did you address them? Did you have a particular strategy for managing and maintaining a positive cash flow? How did you decide on distribution methods? Whatever information you can provide for my assignment would be helpful. Thanks.

[jlr88]

Bueller? Can anyone spare one minute? Just want to know about how growth may have made things tricky or difficult with your company. Any company.

[creditnet]

A business' resources must be able to increase to meet the growth in business. If you're a small start-up, it's likely everyone involved in the business is there because they've got an invested stake in it. Most of the time, none of you are taking much in terms of payroll, if any. However, now you're going to need, for example, a secretary, a bookkeeper, an account manager, etc. and you're going to want to pay these people with cash as opposed to shares. Shifting from owner-based workers to employees is expensive! Not only do you have payroll expenses (i.e. cost of running payroll, social security and medicare costs, unemployment, etc.), but you also could have health insurance and retirement plan costs as well!

It can be hard for some businesses to realize that sometimes you have to spend money in order to earn it!

Hope that helps even just a little bit!

[jlr88]

Thanks, that was helpful.