Growth can be good for your business, but smart growth is even better. If you’re thinking about securing a working capital loan to help expand your team, do a bit of analysis to make sure you’re really ready for it. Here are three signs that it’s time to take the next step in hiring by giving your working capital a boost with financing.
1. Your Current Team is Overloaded
The worst thing you can do is overload your current team to the point you risk losing your experienced talent. It’s common for small businesses to have employees have multiple responsibilities, but you also need to be able to meet your company’s demands while still being a good employer. If you and your team can’t keep up with the workload without having regular time off, it’s probably time to increase your staff. You always want to preserve the hard workers who know your business by ensuring their needs are being met. Plus, they’re a fantastic asset when training new employees to your company and work culture.
2. You Need Fresh Expertise
A common mistake made by entrepreneurs is that they try to do everything themselves. The problem, however, is that no one knows everything. While you can teach yourself a lot, it’s often smarter to hire someone with outside expertise to help you bridge your current knowledge gaps. In some cases, your time just might be better spent on sales than other tasks in the business. For example, you might want to hire an HR professional to actually manage the rest of your staff and their needs. Alternatively, you could hire an accountant to take over the books and payroll. A working capital loan can help you outsource these areas to ensure your time is used as wisely as possible.
3. You're Ready for a New Growth Opportunity
As you develop future growth plans, you need to account for the fact that it’s probably going to require more people to make it happen. Think about whether you need more of the same talent or new job descriptions to fill the required roles. Whether you’re opening a new retail location or expanding your sales team, new growth almost always requires new team members.
The Bottom Line
If you relate to one or more of these scenarios, then you’re ready to grow your team. A working capital loan can make that hiring a reality before new revenue streams come in, making it a smart choice for many small business owners.