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Nov 06, 2017 at 07:00 AM

Small Business Management - 10 Mistakes Your Small Business Can Make Trying to Expand

By Alexandra Trujillo
Small Business Management - 10 Mistakes Your Small Business Can Make Trying to Expand

It is very likely that once you get you small business up and running, you will want to think about expanding in the near future. While this is a great step to take, it will more than likely come with a few pitfalls. The good thing is that you can try to prepare for these pitfalls by being aware of what mistakes are common. This article talks about 10 mistakes that you should try to avoid. For example, something like not coming up with a credible action plan can set you back when trying to expand. Being aware of these mistakes can help you succeed in the long-run.


You’re a small business and want to expand. It’s true that most small businesses yearn for growth and to become bigger and expand their reach, but expansion is not always without its pitfalls.

It’s not uncommon for small businesses to make some serious mistakes when attempting to expand.

To shed some light on the subject, Small Business Trends caught up with Randy Nicolau, CEO of Poppin, sellers of office furniture and supplies and Roger Edgar, CEO of LUX LED Lighting, a California-based lighting solutions manufacturer to discuss their experiences with business expansion.

Small Business Expansion Mistakes to Avoid

The two CEOs of successfully expanding businesses, provided these tips on how small businesses can avoid making common expansion mistakes.

Failing to Understand Your Customer

One of the biggest mistakes small businesses make when trying to expand is failing to understand their customers and what their customers want. According to Randy Nicolau, the first step in understanding where you want to expand is understanding your customer.

“It’s important to look for pockets in your data sets and have a good commercial, gut sense and think about what you would benefit from in expanding. We had enough e-commerce data to do that and found we were over-indexing in certain markets,” says Nicolau.

Poppin analyzed its own data to find out that its sweet spot is 50 to 2,000 person companies in the Tech, Advertising, Media, and Information sectors who are also experiencing strong growth.

“We felt we could best serve the greater Los Angeles area from Santa Monica riding on the success of our existing showrooms in San Francisco’s SoMa District and New York City’s Flatiron neighborhood — both tech hubs within each city, respectively,” Nicolau told us.

Not Coming Up with A Credible Action Plan

Poppin’s CEO couldn’t overstate the value of creating an action plan that specifies how you will reach customers and achieve a competitive advantage within the new market.


Posted in Managing Your Small Business.

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