In uncertain times, it might feel counterintuitive or even a little brave to talk about business growth. Rising interest rates, shifting consumer behaviour, global supply chain pressures and fast-changing tax policies all make for an unpredictable backdrop.
But many successful businesses do grow in tough climates. The key? Planning for growth in a way that’s flexible, informed, and realistic. As accountants, we work closely with businesses of all sizes, so we know that growth isn’t just about doing more, faster. It’s about knowing how, why and when to take your next step.
Helen Binns, SME Partner at Beever and Struthers, shares a few things to consider if you’re thinking about growth right now.
1. Get clear on your numbers – especially cash flow
Growth often requires upfront investment whether that’s hiring new staff, expanding your premises, increasing stock, or upgrading systems. All of that affects cash flow.
In a volatile economy, maintaining a healthy cash position is more important than ever. Even profitable businesses can run into difficulty if cash is stretched too thin. So, before you press ahead with your next growth move, take a close look at:
Consider running best, worst, and middle-case scenarios. Planning for the “what-ifs” helps you stay calm if the unexpected happens.
2. Timing is everything – pace growth wisely
When opportunity knocks, it’s tempting to open the door immediately. But successful growth often happens in phases.
If you’re looking to scale, take a phased approach with regular checkpoints. This allows you to assess how things are going and change tack if needed.
In today’s economy, agility is a real asset. By testing, piloting, or expanding gradually, you’ll reduce risk while still moving forward. It also makes it easier to manage your people, systems and customer experience without stretching everything too thin.
3. Understand the tax implications of growth
As your business grows, your tax profile can change and quickly. That’s why involving your accountant early is a smart move.
Here are a few tax points to keep in mind:
A bit of proactive tax planning can go a long way especially during times of flux.
4. People and culture matter too
Growth isn’t just about spreadsheets; it’s also about people. Recruiting and retaining the right team becomes even more critical when scaling in a volatile environment.
It’s worth building growth plans around sustainable people practices. That might mean investing in staff development or outsourcing key functions while you scale.
5. Look for smart funding – not just any funding
When borrowing costs are high, choosing the right funding becomes even more important. Your accountant can help assess options such as:
Make sure the funding matches the purpose. Long-term loans for short-term needs can create pressure down the line. A good rule of thumb is to match the life of the asset with the length of the funding.
Final thoughts
Planning for growth in a volatile economy is possible, but it takes care, clarity and curiosity.
Be realistic, but don’t be afraid to be ambitious. Ask questions, test assumptions, and surround yourself with advisers who’ll challenge your thinking. Most importantly, keep a close eye on cash, tax, and timing.
Whether you're looking to expand your team, invest in innovation, or open new doors, we're here to help you plan growth that lasts and avoid costly surprises along the way.
Because growth is great. But growing wisely? Even better.
Beever and Struthers supports organisations of all shapes and sizes whether you’re a growing SME, a large company navigating complex decisions, or an individual planning for your financial future.
For further information, contact Helen Binns on hbinns@beeverstruthers.co.uk or visit www.beeverstruthers.co.uk.
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