Planning for Growth

Planning for Growth

Contents
INTRODUCTION...........................................................................................................................1
TASK 1............................................................................................................................................1
P1 Considerations for evaluating growth opportunities..............................................................1
P2 Ansoff Matrix.........................................................................................................................3
P3 Critically evaluating the different alternative sources of funds available to SMEs...............4
TASK 2............................................................................................................................................7
P4 Business plan..........................................................................................................................7
TASK 3..........................................................................................................................................11
P5 Critically evaluating the exit and succession options available to SMEs............................11
CONCLUSION..............................................................................................................................13
REFERENCES..............................................................................................................................14

INTRODUCTION
Growth planning refers to the managerial process of determining growth opportunities and
evaluating multiple opportunities to determine the best possible pursuit for business growth and
development in future (Osiyevsky and et. al., 2013). CafePod Coffee Co. is an independent
company which was founded in the year 2011 and the headquarters of the company are located at
Portsmouth, England. It offers a wide range of coffee products (Cafepod Coffee, 2020). The
report determines growth opportunities for SMEs in United Kingdom and evaluate different
growth opportunities using analytical tools. The report also evaluates the alternative sources of
funding available to SMEs and different exit or succession strategies. A business plan for future
growth and development of CafePod Coffee Co. is also being prepared in the report.
TASK 1
P1 Considerations for evaluating growth opportunities.
Growth opportunity is usually a potential investment opportunity to increase the sales and
revenue of a business organisation that may arise due to external environment factors or internal
strengths and opportunities for the organisation. In United Kingdom, an organisation that
employs fewer than 250 employees with the annual revenue not more than £40 Million is knows
as SME. A very significant contribution is made by SMEs in the economic growth and
development of a country by generation of employment opportunities, bringing in foreign
investment and increasing the pace of development. Hence, opportunities for business growth
and development hold crucial significance for SMEs with combined motive of economic growth
of the country as well as the market favourability and supportiveness for small business owners
in light of the increasing extent of competition in the business environment (Moutray, 2009).
Before evaluation of any growth opportunity, following considerations should be made by the
management of CafePod Coffee Co. or any business owner of SME:
Resources: Determination and consideration of the resources that are essential for
business growth and development is an important consideration to be made by business
managers of SMEs before evaluation of any growth opportunity (Wiklund and Shepherd, 2003).
For example, access to technical and other financial resources is important for leveraging growth
by making investment into business opportunity.
1