Businesses seeking expansion often encounter significant hurdles. Transitioning from a startup to a scale-up demands resources that many SMEs lack.
In light of this, industry experts suggest that selling the business might be a viable strategy to access the resources necessary for scaling.
In today’s rapidly evolving market, the ability to scale is crucial for businesses aiming to succeed. SMEs transitioning into larger entities or scale-ups play a pivotal role in driving economic growth. However, securing the essential resources to support this transition proves challenging for many small and medium-sized enterprises.
Hanson decided to pursue a strategic sale with Sanderson Group PLC to overcome these challenges. The £5.4m deal, completed in October 2013, was timely for One iota, securing the company’s future growth.
This strategic move provided the resources and infrastructure previously lacking, enabling One iota to flourish in a competitive market.
In the tech sector, talent acquisition poses a significant challenge. One iota, originally based in Haslingden, had to navigate these issues.
Establishing a presence in key locations like Manchester allowed access to a wider talent pool. This move demonstrates the importance of strategic location choices in overcoming the talent supply challenge.
By opening a new office at the Sharp Project, One iota could attract the necessary skills for growth.
The experience of SMEs like One iota provides valuable lessons. A strategic sale can offer essential resources to overcome growth barriers.
For startups and SMEs aiming to scale, leadership should remain adaptable and open to transformative strategies. Hanson’s journey illustrates the importance of considering all available options for business growth.
Addressing challenges creatively can lead to success and sustained growth in competitive markets.
As the business landscape evolves, SMEs must continue to adapt. A strategic sale is just one of many pathways to scale. Enterprises must evaluate their circumstances and make informed decisions to secure long-term growth and stability.
Selling a business to scale is a strategy worth considering for SMEs facing growth challenges.
Such decisions can lead to new opportunities and sustainability in a competitive market.