Strategy – Assessing the risks of Growth

Financial growth picture, expressed as a plant

Strategy – Assessing the risks of Growth

Posted by In Uncategorized 0 comment

Growing your business will involve risk. As a smart business owner you will want to:

Understand the risks
Minimise risks

One of the ways you can understand better your business risks is by reviewing your business using the Ansoff Matrix.

The Ansoff Matrix:

Assessing risks using the Ansoff Matrix:

Determine existing products (or services) and markets being served – Low risk
Review growth opportunity – is it 3, 4 or 5 below?
New product to existing customers – Medium risk
Existing product to new customers – Medium risk
New Product to new Customers –High risk

A further way to minimise your business risk is to prepare a Financial model to forecast your business, this enables you to run different scenarios and understand the impacts on cash. See our page on Financial Modelling or contact us for more details

Contact vfdnet for a no obligation discussion. vfdnet Finance Directors have extensive experience of working with owners and managers (on a part time or Virtual basis) to produce professional plans, plans which have successfully backed applications for Small Firms Loan Guarantees, Bank overdrafts, business angel investments and grants.

“Peter is a first rate virtual finance director with excellent people skill and an ability to quickly see what is and isn,t working within the finance function and
the business generally and to help put it right. He is hands on and efficient in the projects he undertakes and always delivers on what has been agreed.
I would wholeheartedly recommend him to you.”

Steve Z – MD

“When I was Chairman I worked with our experienced Virtual Finance Director, David between 2012 and 2015, in one of the most difficult business environments for a software business. David was a key member of the team keeping everyone focused on delivering business and driving cashflow. Without David’s clear understanding of the issues, strategic thinking, willingness to address opportunities and problems head on, I believe the outcome would have been very different. David was the cornerstone of the management team.”

James W – Chairman

“I am delighted to say that the Business Sale process ran smoothly and efficiently. Our Buyer actually complimented us on our DD readiness and the ease of the transaction. I am very aware that this transaction would not have been possible without the significant groundwork and system development put in place by Peter & his team. The deal was signed in July 2015. AIthough the acquirer run a centralised finance function based in the USA I understand they have asked Peter to stay on as a consultant to help with the transition to the buyers systems. This sale could not have made without Peter’s substantial efforts. We owe Peter a substantial debt of gratitude.”

Christopher W – Chief Executive

Copyright © 2004-2023 vfd ltd, All rights reserved

Website Hosting and Maintenance by Lightly Salted

Website design by Reborn Marketing