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What To Focus On At Each Stage Of Your Business Growth

Grow your business successfully with these useful tips as you work through each stage of your business.

Jeff Broth

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An entrepreneur’s journey is one full of varying experiences both happy and sad ones. However the greatest experience that each entrepreneur yearns to go through is to see their business move from being a small start-up in their backyards to a fully-fledged regional business conglomerate. The experience is both fulfilling and exciting, but one that requires patient and a lot of focus at each level as you grow your enterprise from a sole proprietorship into a limited liability empire.

As your business grows from one stage to the other, the demands that it has are different and its systems keep maturing over time. In addition, the finances needed to keep the business running and growing also keep increasing over time as your business moves from one growth stage to another. Sources of funding for your business will therefore evolve over time as you grow too.

1. Seed Stage

Seed-stage-of-a-business

At this stage, as an entrepreneur you will be focused more on testing your business idea to see its viability. You will also be involved in a lot of market research to try and validate existence of a market gap that you want to fill using your new product or service.

In addition, you will be focused on planning how the business operations will look like as well as determining the ownership of the business.

Finances needed at this stage will most likely be your own savings, grants from donors or borrowing from family and friends.

Related: 10 Tips for Finding Seed Funding

2. Start-up Stage

starting-a-business

Once you are done with testing your idea and validating the existence of a market gap that you want to fill, you will move to the start-up stage where you shall be focused on establishing your own customer base. With your product ready, your focus now shifts to looking for potential buyers and early adopters.

At this stage you will also be more concerned about customer feedback about your product so that you go back to make changes as necessary and return a polished product to the market.

With a ready product to give to the market, your suppliers can now start offering you credit financing; while you can also capitalise on pre-orders from you customers in order to generate a positive cash flow for your start-up. Other sources of funding at this stage would be crowd funding, sweat capital, incubators, accelerators and angel investors.

3. Growth Stage

business-growth-stage

After tweaking your product to fit the market demand, you will start experiencing high demand for your product or service. This is a clear sign that you have moved up to the growth stage of your business where you will now face rapid growth.

As the entrepreneur leading the business, you now have to start thinking about how to deal with market competition as competitors invade your territory. With high demand and increased production, you will also need to focus on improving your business systems and hiring more employees in order to serve your customers satisfactorily.

At this level venture capitalists will start looking for you if you are on high growth path. In addition you will find it easy to access financing from banks including getting the best business credit cards there is in the market.

Related: Doing Your Finance On The Fly

4. Maturity

business-maturity

The growth stage is followed by an expansion stage whereby your business now moves to different geographical locations. This is considered to be partly as a result of moving to capture new territories that have not been ventured into; but also a strategy to move away from completion in saturated markets.

With stiff competition in the market and little room to expand, your business will eventually reach maturity and the only option on the table will be product diversification. You will also be more focused on cost cutting and trying to get maximise your thin profit margins.

At early stages of this level you will find private equity firms interested in buying a stake in your company.

As you grow more mature you will be more focused on both vertical and horizontal mergers and acquisitions as a strategy to be more competitive and have control along the value chain in your industry.

5. Exit

Finally, once the business is well established in the value chain, you will want to exit the market and retire from actively owing and running it. At this stage you will most likely spend much of your time on road shows looking for external investors to acquire your business or you might need to consider an Initial Public Offering (IPO) and completely exit the company.

Jeff Broth, a business writer and advisor. Consulted for SMB owners and entrepreneurs for 7 years now. Mainly covering finance, stocks and emerging fintech trends.

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How TomTom Telematics Can Keep Your Business Moving Forward

Successful businesses need to find ways to improve their margins while still delivering excellent and efficient customer service. VDM’s CEO, Deon van der Merwe, explains why this wouldn’t be possible in his business without TomTom Telematics’ solutions.

TomTom Telematics

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When TomTom Telematics entered the South African market in 2010, the local team took a deep dive into the different industry verticals they were servicing.

The more they got to know their customers, the more they realised a different solution was needed to address local conditions, and a subscription model was introduced whereby customers didn’t need to invest a large capital outlay into TomTom Telematics’ technology, but would receive the tech and software, including installation, at no extra cost, in exchange for a monthly subscription fee.

This model gives SMEs affordable access to TomTom Telematics’ solutions, but it’s had another benefit as well: As TomTom Telematics introduces new innovations, existing customers can benefit — without the costs associated with replacing all of their existing technology themselves.

An indispensable tool

For a transport and logistics business like VDM Group, which has more than 160 vehicles on the road, this means they have access to incredible new offerings, without needing to replace their TomTom units themselves.

“TomTom plays a critical role in our business,” says Deon van der Merwe, CEO of VDM Group. “It’s an indispensable tool in ensuring quality customer feedback and the management of KPIs for all supply chain stakeholders.

“Earlier this year, TomTom Telematics launched their New WEBFLEET product. We were very satisfied with what we had, and yet they still approached us and offered to replace all our existing units with new tablets, and they’re covering the installation costs,” explains Deon.

Related: Driving Your Business Growth Towards More Customers

“New WEBFLEET is the result of TomTom innovating their product based on customer feedback from around the world, and the local team wanted to ensure we had access to the additional functionality and innovations that had been introduced.”

Seamless integration with your network

According to Deon, the new TomTom PRO 8275 units seamlessly integrate VDM’s fleet scheduling software with information they extract from TomTom, including individual vehicles’ standing time and arrival notifications.

“The software from TomTom is open API, which means that all our various applications can communicate and interact with each other,” he explains. “From a productivity perspective, we no longer need to manually capture any trip information.

In addition, we have every conceivable piece of data available that will assist us to run a leaner, more cost-effective fleet, enabling us to ensure that we are delivering on all our KPIs — particularly with regards to meeting our customers’ needs.”

Related: Changing The Shape Of What’s Possible

VDM is a large transport business, but Deon believes the benefits for SMEs are as great, if not more so. “Many SMEs don’t have the back-office support that we do. The ability to capture and use this information without a team of admin specialists at your disposal is a huge competitive advantage for smaller businesses,” he says.

Offering you the competitive edge

VDM offers a specialised logistics service that creates custom-made options for clients. In order to ensure the most optimal and cost-effective solutions, while still ensuring top quality delivery, they need to consider special and complex individual customer requirements, from the point of origin to the point of destination, before finalising a customer-specific solution.

“We take into account a host of factors, including inventory carrying costs, volume requirements, product specific factors and route to market,” explains Deon.

“Road transport significantly impacts total supply chain costs, and if not managed properly, can have a severe impact on the sustainability of any particular channel. We try and manage this risk by continuously improving our service through innovative logistical solutions, the use of advanced technology, vertical integration and a team of passionate and talented experts.

TomTom assists in creating differentiators

“This focus has helped us to develop a market offering that includes dedicated and completely flexible inter-modal solutions, which is a big differentiator for us. TomTom Telematics plays a key role in our total productivity, helping us measure the performance of road transport across our supply chain.”

Deon believes that what you don’t measure you won’t know.

“TomTom provides updated fleet statistics that allow us to constantly benchmark our fleet against pre-defined route surveys and, in so doing, enables massive savings in fuel and total turnaround time.

Communicating via the WEBFLEET platform also helps us save time and creates a formal trail of correspondence with our drivers. I don’t believe it’s possible to successfully run a business like ours without a solution like this.”

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Sasfin Continues To Support SME Growth

Sasfin’s equity stake in fintech lender Payabill set to enhance SME growth.

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In another major step forward in supporting growth in SMEs, Sasfin today announced that it has acquired a strategic stake in fast-growing fintech lender Payabill.

Payabill, a 100% digital lending business, provides working capital and/or trade finance to small businesses. The collaboration between Sasfin and Payabill accelerates financing opportunities for customers.

Sasfin, South Africa’s leading business challenger bank, last year successfully launched its digital platform, B\\YOND, for SMEs.

“Sasfin has been investing in fintechs, building digital capabilities (such as B\\YOND) and working with third parties (such as XERO Accounting) for a number of years with the aim of adding value to our business and wealth clients. Payabill has made huge strides in giving businesses access to digital finance and we are thrilled to announce this investment,” says Sasfin CEO Michael Sassoon.

Payabill CEO Eli Michal launched the pioneering fintech start up in SA in 2017. Payabill settles suppliers directly for its clients and allows clients to select their own extended payment terms. “We are incredibly excited by the opportunity afforded to Payabill by having Sasfin as an equity and debt partner. Sasfin will provide access to new channels and much needed funding that enables us to support the growth of small business finance in South Africa,” says Michal.

Michal started the fintech as he “wanted to enhance access to finance for small businesses in South Africa. We all know that boosting small business creates jobs and enables growth. Traditional lenders have neglected this segment of the market due to the high costs associated with on-boarding and assessing these customers, as well as managing their credit risk. It made no sense to us that a retail consumer could get multiple forms of credit, almost instantly via electronic channels, but small businesses could not. They were being neglected. With this in mind, we set out to build a completely paperless, digital solution to address this market’s unique requirements.”

Currently, Payabill offers loans of up to R150 000 to businesses. The intention is that with the investment made by Sasfin, Payabill will be able to offer larger loans to SMEs in the near future.

The alignment of Payabill’s aims and Sasfin’s long-term focus on small business in SA made for an ideal partnership. “SMEs can now borrow digitally, via Payabill, and bank via B\\YOND from Sasfin – reducing admin and costs which often stifles small business growth. Both B\\YOND and Payabill are gaining meaningful traction in the SME market and there are a host of additional digital initiatives that we are working on to further help small businesses thrive,” says Sassoon.

“While Sasfin has always offered a trade and debtor finance solution, this was largely for more established businesses. The new offering speaks to smaller businesses that are passionate about growth, and our larger Trade and Debtor Finance offering will be there to support businesses that reach the next phase in their development,” says Sassoon.


Sasfin Holdings Limited (“Sasfin” or “the Group” or “the Company”) is a bank-controlling company listed in the “Financials: Investment Services” sector of the JSE Limited (“the JSE”).  Sasfin and its subsidiaries provide a wide range of complementary banking, financial and related services.

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Driving Your Business Growth Towards More Customers

Designed to help its customers get the most from their businesses through the right telematics solution, New WEBFLEET can help you reach your customers quicker, get more done, improve efficiencies, save costs and boost your revenues.

TomTom Telematics

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Europe’s highly regulated operating environment has made telematics ubiquitous in business. On the one hand, this means industries across the spectrum have become safer, more efficient and highly productive across the EU. On the other, it’s much harder to stand out from the crowd when everyone follows the same best practice standards.

“We don’t have those same stringent regulations in place,” says Justin Manson, Sales Director, Africa at TomTom Telematics. “Our clients have realised what a huge competitive advantage this actually offers them though.

“Locally, everyone understands the role that telematics plays in tracking what your drivers are doing right and wrong, and use it as a tool for encouraging good driving practices, but there’s so much more to this solution, and we’re making it our mission to help business owners really use it to their benefit.

“When deployed across the organisation to its full capabilities, a telematics system can radically improve productivity and workflow. Done correctly, a business can save up to 10% on its bottom line, and redeploy that cash into the company’s growth, thanks to drivers reaching customers quicker and getting more done. The right data also increases productivity and ensures better turnaround times.”

Thomas Schmidt, MD of TomTom Telematics, loves visiting South Africa for this very reason. “Because so many business owners aren’t using telematics to their full extent, there’s such a huge opportunity for us to assist businesses in their growth here,” he says. “We deliver a high-value stack of products that can change the way companies operate, and most importantly help them save money and make money. The challenge for us is educating our customers so that they understand what our solutions offer, and the incredible impact they can have on a business. We consistently improve these solutions based on customer feedback as well, making them very much from customers for customers.

Related: Why Your Fleet Management Plays a Pivotal Role In Your Business

“Anyone can buy a map for less than R100. Why invest in such expensive devices? The answer is because we’ve developed solutions that change lives. With the right data — and access to that data — you increase safety, simplify your business, drive efficiencies, increase your output and customer service, and ensure you are always productive and reliable — across the organisation. And that impact can be measured, and given a real ROI value.

“Imagine the impression companies that operate at that level make on their industries. They stand out from their competitors. There is so much room for growth in South Africa as we deploy these solutions.”

Game-changing solutions

As an organisation, TomTom Telematics is focused on continuous growth and innovation as well, constantly learning from market conditions, its customers and industry needs to improve its product offerings.

The result is the launch of New WEBFLEET in February 2018. “We’ve increased the value we offer our customers,” says Thomas. “We’ve collated data from hundreds of thousands of customers around the world who gave us their feedback through surveys, and New WEBFLEET is a window into easy-to-use, smart fleet management that is a game changer for companies.”

“TomTom Telematics is in the business of helping businesses,” agrees Justin. “Our goal is help our customers master their challenges. The right data at your fingertips will help you change the way you operate. That’s our goal. How much cash is being left on the table in an organisation because of inefficiencies?”

Introducing New Webfleet

The smartest way to manage your vehicles and mobile workforce

tomtom-telematicsTomTom Telematics’ state of the art Software-as-a-Service (SaaS) fleet management solution, with best-in-class user interface, is inspired by two decades of working together with customers to achieve more for better fleet management. New WEBFLEET is everything you need to manage your vehicles in the cloud, in real time. It allows you to monitor reports and dashboards, manage orders/workflow, and improve driving behaviour, safety and service, helping you save fuel and reduce costs.

Best-in-class user interface

  • A future-proof platform with a completely renewed interface, based on the latest HTML5 technology and driven by continuous innovation.
  • Simple and clean interface, with minimised clicks for faster working.
  • Intuitive functionality, means it is more accessible for greater impact across your business.
  • User rights management and state-of-the-art data handing ensures the highest level of data privacy and data security.
  • Fast access to the right information.

Related: Fleet Tools Will Help You Get More Done In Less Time

Map view

Know where your vehicles are and where they have been. Different map options such as Google, Google Street View or satellite map are enriched with traffic information, giving you a more detailed view on what’s happening on the roads. Toggle between different types of information on the map such as traffic, addresses and areas and create specific views, so you only see the information you need.

Dashboard

New WEBFLEET’s dashboard gives an overview of performance at a glance. Up to 27 KPIs can be used to track the performance of vehicles, individuals, benchmark teams or give a simple overview. This helps you to track real-time performance against your pre-defined KPIs.

Reporting

New WEBFLEET gives you instant access to the information that matters, meaning you can spot trends over time and use real-time information to make smarter and more informed decisions. You can instantly download or schedule reports to help you stay on top of everything — from fuel efficiency and legal compliance to quality of service.

Manage on the move

New WEBFLEET is optimised so you can manage your fleet on any device by entering WEBFLEET through a web browser or by downloading the WEBFLEET Mobile app on your smartphone.

Send routes direct to drivers

  • Plan accurate routes in New WEBFLEET by adjusting multiple variables such as location, time of departure/arrival, traffic and vehicle type.
  • Get a choice of alternative routes, as well as suggested fastest route with traffic.
  • Customise your route by simply adding new waypoints, or dragging and dropping existing waypoints on a route. Then choose from guided or forced route* options.
  • Send planned routes directly to a TomTom PRO driver terminal to keep your drivers on the right track.

Related: Time Is Money And It’s Time You Saved Both When Running Your Fleet

Personalised Map views*

  • Create your own saved map view to reach information you need fast.
  • Switch between vehicle groups or areas, without needing to adjust the map filters and zoom levels. n

Personalisation

Many ways to customise WEBFLEET to suit individual requirements from personalised views to adding information to make what you see more informative on one page.

Plan a route the way you want it

Use multiple variables (including waypoints) to give fastest or most efficient routes.

Access WEBFLEET

Across different device types, allowing you to always stay on top of business.

Simple, clean and easy to administer

Toggle between views to get the right information to focus on the task in hand. Get the right information to the right people at the right time, keep data secure and in the right hands.

Send routes to driver terminals

In real time, ensure drivers follow or avoid specific routes.

Visit telematics.tomtom.com/tellmemore and follow us on Twitter @TomTomWEBFLEET

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