What does it take to make a business successful? What are some of the key factors that help companies grow? The Business Development Bank of Canada’s (BDC) Research Team has gathered some insightful information on this topic and compiled it in a study called The Scale Up Challenge: How Are Canadian Companies Performing?
The study found that businesses are more likely to succeed in scaling up if they have these characteristics:
- They are more productive than their competitors in the same economic sector
- They invest more significantly in fixed assets
- They are present in at least three Canadian provinces
One of the key strategies that the study recommends is to invest in capital spending and productivity improvements, which would help meet the challenges of increased competition. In addition, business owners are encouraged to expand their operations across Canada to capture new markets, which is a smart strategy before venturing abroad.