How do you budget for growth?

[maxpete]

Hey everyone!

Thinking about your business and expansion, how do you budget for growth? Did you choose to finance equipment or get funding from partners?

I'm looking forward to reading your replies! 

P.S. If you haven't yet, I highly recommend downloading the Future of Commerce 2024 report. It's packed with amazing insights to give you inspiration, tactics, and tools to future-proof your business.

Also, check out the Roadmap to Expansion: Insights from a Successful Owner webinar for more insights on how to expand your business!

[maxpete]

Tagging a few folks that I'm curious to hear from!

@Eaker, @thewebsitechick, @skipperdipper, @Moodyales, @GoodLotbeer, and @Memnoch!

[Eaker]

We don't really budget for growth to be honest.  If we see a future need or opportunity, we evaluate the cost and ROI.  Based on what we see we make a plan to purchase.  We will either finance or save until we can make the purchase.  

[maxpete]

Makes total sense! I linked to a a great webinar and Future of Commerce report in my post above. I think you'd enjoy it too!

[Eaker]

I will take a look.  Thanks!

[Doran]

 I knew I wanted two new machines over the next 5 years so I bought the first one on credit and when I made my last payment for it.  I gave myself through the winter to have no payments an then got the second.  Still in the process of paying on that one.  It was a great decision.  My business has responded well to the two new treatments I can offer with the technology.  I'm looking forward to the day of no payments but don't regret them at all.  Both I was able to obtain at very low interest/doc fees so it worked well for me. 

[SavoryGourmet]

We financed equipment for our first store over 3 years. Paid it off and purchased all new equipment outright afterwards. We doubled the number of merchandisers over time, but only financed the initial purchase to open the store. On the second location we did similar. Purchased outright when we found deals we could not pass up on great equipment. The rest we financed a portion along with the mortgage for the purchase of the real property for the second location.

[Subport]

I think a great way to budget is to create a savings account and have $X amount of dollars automatically transferred into it from your checking account. This is automatic, and you don't have to think about it. Even $50 every day will be about $1050 every month (business days). That goes a long way if you focus on 1-2 marketing strategies.