Home Phone

3 Challenges Every Growing Business Faces (And How to Tackle Them)

Growth is an exciting time for a business, but it also comes with a myriad of challenges.

It’s important to be aware of these challenges so that you are prepared to address them head-on when they do present themselves.

Here are three of the most common challenges faced by businesses in a growth phase, along with some tips on how to tackle them.

#1 – Cash Flow

One challenge that businesses face during growth is managing cash flow.

This can be tricky because as your business expands, you often have more Fixed and Variable costs and may not yet have increased revenue to match.

This is part and parcel of the expansion process and does not mean that you are being reckless or overspending, but nonetheless it can put a strain on your cash flow and cause significant stress.

There are a few things you can do to manage cash flow during this time:

●     Review your costs and see if there are any areas where you can cut back, even temporarily, in order to free up some cash.

●     Take advantage of credit products like lines of credit or business overdrafts, which can give you access to funds when you need them.

●     If possible, try to negotiate longer payment terms with your suppliers so that you have more time to generate revenue before having to pay them.

●     By taking some proactive steps, you can help ease the pressure on your cash flow and keep your business running smoothly, even as you invest heavily in growth.

#2 – Quality Control

Another challenge businesses face during growth is maintaining high levels of quality control.

As your business expands, you may need to outsource some work or bring on new team members who are not as familiar with your standards and procedures.

This can sometimes lead to a decline in the quality of your product or service.

There are a few things you can do to combat this:

●     Be clear about your standards from the outset. When on boarding new team members or working with new suppliers, make sure they are aware of your expectations and what you consider to be acceptable quality.

●     Set up systems and procedures that everyone must follow in order to help ensure consistency.

●     Conduct regular audits of your product or service, both internally and externally, to make sure that quality standards are being met.

By taking some measures to proactively manage quality control, you can help ensure that your business continues to produce a high-quality product or service, even as it grows.

#3 – Budgeting

When your business is growing, it can be difficult to calculate and keep track of your budget.

This is because you may have more costs than you did in the past, and your revenue may not yet have increased to match.

As a result, it’s important to be diligent about tracking your budget and making adjustments as needed.

Here are a few tips for managing your budget during a growth phase:

●     Review your budget regularly and make adjustments as needed.

●     Keep track of your actual costs and compare them to your budgeted amounts.

●     Make a forecast for the upcoming months so that you can anticipate any changes in costs or revenue.

By staying on top of your budget, you can help ensure that your business remains financially healthy as it grows.

Final Thoughts

As your business expands, you will likely face a number of new challenges.

But by being aware of these challenges and taking steps to address them head-on, you can ensure that your business continues to grow and thrive.

Next Steps

Learn more about how CFO Coach can help:

I help CEO’s earn higher ROI from FMCG Manufacturing Opportunities through Value Maximization on Profit & Cashflow so you can have the Next level of Success, Impact & Abundance.

About CFO Coach:

Discover the proven methodology that Powers Business Growth Opportunities, Profitability and Cashflow by delivering Outstanding Business Outcomes to position CEO’s, Entrepreneurs and Business Owners for Success as we Leverage our Experience, Expertise and Relationships.


Your ability to create a business that delivers the kind of life you truly desire hinges on your ability to think Strategically to help you generate more Value Creation Opportunities.


✔️ On Demand Virtual CFO

✔️ Strategic Leadership Advisory

✔️ Finance + Business Performance

✔️ Talent + Team Performance

✔️ Business Insights + Intelligence systems

✔️ Growth Opportunities + Advisory

✔️ Profit Maximization + Cashflow Optimization

✔️ Performance Tracking (KPI’s)

✔️ Business + Financial Models

✔️ Raising Debt or Equity Capital

✔️ Corporate Restructuring

✔️ Succession Planning

✔️ Creating a Freedom Lifestyle Business


Our Signature solution, CFO Xcelerate Launchpad™ has been tried and tested to help CEO’s Optimize Cash Flow, Maximize Profit and Grow their Business & Impact

We’ll help you Xcelerate™ in a way you have never thought possible.

Insight Beyond Numbers™


✅Mentorship in Personal Productivity & Proficiency

✅Strategic Thinking Coaching

✅Strategic CEO Mindset Coaching

✅Emotional Intelligence (EQ) Coaching for CEO’s


Get access to the 3 Secret Strategies to Grow & Scale Your Business e-book

Join our Free Facebook Group

Free Complimentary Strategy Call

Ask me: To share my free e-book on Simplicity on Emotional Intelligence.

Coming up in 2022, my New ebooks on Emotional Intelligence for CEO’s, Mastering Emotions, Leadership Guides for C Suite executives and much more




WhatsApp +260967924720


Message me now on LinkedIn with the word XCELERATE to learn more