Many small business owners wonder how they can expand while keeping the quality of their work high. Regardless of the type of company you have – whether it's service-based or product-based – you need to follow some basic steps.

It is possible to open a company without these things, but not grow effectively without them.

1. Create a clear company structure: A well-defined structure is essential for the effective growth of a company. Outline and document the various titles and responsibilities of each team member.

As a business owner, you can wear many hats — marketing, sales, quality assurance, customer service — but as your company grows, it's important to hire people for specific roles and hold them accountable for their tasks. The job posting should clearly define what each person is responsible for.

2. Document business processes: Michael Gerber, author of The E-Myth, a must-read for business owners looking to grow, says a common issue in all small businesses is inconsistency and difficulty scaling.

Imagine owning a small bakery and wanting to expand. You will need a process for onboarding new employees and documented best practices. Without these, opening more locations can lead to uneven quality and service. Describe each step in detail: when should employees arrive? What is the first thing they do in the morning? Where are the ingredients stored? A business should run like a well-oiled machine. Adopting structured procedures helps maintain consistency across locations.

3. Train your employees: Creating a business is like crafting art; Having people work together seamlessly is truly artistic. You need motivated individuals with specific skills, but you also need a reliable and repeatable infrastructure.

Without the right ones boarding and training, even if you list best practices, the quality of work will vary, especially if you open multiple locations.

Review best practices with new hires, then let them observe you before they start doing the tasks themselves. Watch them closely at first to make sure they follow the steps correctly. Once you're sure they can do the job, let them work independently.

Related: Are you guilty of poor onboarding? The consequences are worse than you think.

Preparing your business for sale

1. Set aside: If you plan to sell a company, it must function without you. A real company has interchangeable parts and does not rely on its founder. When buying a business, your potential buyer will be looking for order, structure and scalability.

2. Prepare to spend time and money: If you want to sell your business to finally relax and get a return on your investment, I have some bad news for you. Selling a business it is very costly and resource intensive. Understand that not every deal will go through. This is part of the process, so don't be discouraged if it happens.

3. Clear your data: Financial records must be clear, and third-party verified profit and loss statements must be available. Keep detailed records of all costs, including wages and expenses, organized and easy to follow.

Consistent growth over several years is more impressive than sporadic success. Buyers can offer you multiples of your earnings, and a company with strong growth potential can command a significantly higher price. For example, tech companies with steady user growth can command higher multiples than other businesses like restaurants, which can attract lower bids if they don't have valuable assets like equipment or prime locations.

Put yourself in the shoes of the buyer. What will you be looking for? Be ready to discuss your plans for growth. If your sales are flat or declining, show that you have strategies to grow the business.

Related: 5 essential mistakes to avoid for a successful business sale

4. Find potential buyers: If your business is growing, like Digital Silk, you may receive inquiries every week from interested buyers. Don't waste hours on instant chats. Start with a short and simple message – 3 or 4 lines describing your company, mention you're preparing for a sale, and highlight any growth metrics. For example, you could say, “We've grown 20% annually for the past three years and are looking for a suitable buyer. Let's schedule a call to discuss further.”

Hire intermediaries who can market your company to potential buyers, such as private equity firms or larger companies within your industry. You might also consider hiring someone who knows the top players in your field. Intermediaries can ask for a substantial fee, sometimes more than expected, leading to frustration as they do not share the hard work and dedication put into building the company. However, hiring a broker can yield better results than going it alone. Alternatively, hiring a consultant with a small bonus after the sale can be cost effective.

It is essential to consider who pays for third-party audits and legal fees, and it is possible to negotiate these with the acquiring company.

How to negotiate and close the deal

Be transparent. When buyers show interest, they will often ask for specific details. It's common to feel uneasy about sharing this information, especially with a competitor, so they should sign a Non-Disclosure Agreement (NDA) before sharing sensitive data.

Be aware that due diligence is a thorough and lengthy process. Buyers will take their time to consider every aspect, so be prepared and be patient.

Buyers will often want to talk to executives and key staff members. They will also look at your customer base to see their satisfaction levels. Expect them to audit your financials and ask about your growth strategies. They want to ensure that they make a safe investment and that the company will operate stably after the sale. Keeping everything organized and ready for questions can help streamline the entire process and increase the chances of a successful transaction.

Take care of your employees. Most business owners are empathetic and really want to avoid putting their staff in challenging situations. Generally, when a company changes hands, staff don't want to leave simply because of the sale. The acquiring firm usually makes important announcements, creating excitement with promises of improvements. They will highlight how the acquisition will lead to better connections and advancements for the company and its employees. Sometimes, they may offer small incentives to retain top leaders, but more often, discussions center around how joining a larger entity promises a brighter future for all involved. Usually, the acquiring company wants to keep the staff, believing that they will perform better in a more stable environment.

In my approach, I like to set clear goals, showing the team that they will take stock after the sale. It is vital to encourage motivation and support transparency. When the sales prospect arises, word will inevitably spread, making honesty essential.