Full Disclosure: I am a proud affiliate, meaning if you click a link and make a purchase, I may earn a commission at no extra cost to you. My recommendations are based on deep experience with and knowledge of the products I mention and I recommend products only when they are genuinely helpful and useful, not because of the small commissions I may receive. Please don’t spend any money on products I recommend unless you genuinely believe they will help you achieve your goals.

If you dream of turning your side hustle into a money-making machine, then one of the best things you can do for yourself is set realistic business growth expectations.

It’s not easy to be an entrepreneur, but success is possible, especially if you set reasonable expectations.

If you set your sights too high, then you set yourself up for disappointment. That disappointment can lead to a lack of motivation which can stunt your business growth entirely, and eventually lead it to failure.

On the other hand, if you set your sights too low, then you might miss out on potential opportunities.

It’s a bit like “Goldilocks and the Three Bears.” You don’t want to set your sights too high, or too low. You want exactly what’s right for you and your business. 

But how do you know what’s right?

In this article, I’m going to give you 7 key steps you can use to set realistic business growth expectations. Follow these tips and you’ll be well on your way to turning your side hustle into a money-making machine.

By the way, this article is part 4 of a series of articles that are all designed to help you build a successful side hustle / business. For parts 1-3, visit the posts below:

Passion to Profit 101: How to Choose a Passion Project That You’re Truly Passionate About

Passion to Profit 102: How to Do Your Research to Build a Profitable Side Hustle

How to Create a Business Plan (Passion to Profit 103)

7 Steps for Setting Realistic Business Growth Expectations

So how do you set realistic business growth expectations? Here are 7 key steps:

1. Start by assessing your current situation. 

If you’re just starting out, then you may not be generating revenue yet. That’s ok, but you’ll want to reflect on what is realistic before you expect some kind of business return.

If your passion project is just that and nothing more, then revenue may not matter, which is totally fine! However, if you do expect to turn your passion to profit, then you’ll want to reflect on when your business can start generating the profit you expect to see.

If you’re further along, then you may already be generating a profit from your venture. If this is you, then congratulations! Generating any kind of revenue is a huge accomplishment.

Ask yourself the following questions:

How much revenue am I currently generating (if any)? How many customers do I have? What are my expenses? At what point will my business be profitable? Does profit matter to me?

Assess where you’re at today and reflect on where you’d like to be.

2. Consider your resources. 

Your resources can impact what is realistic for your business growth. If you have countless tools and resources, then you can probably grow your business faster. If your time is limited, on the other hand, then business growth may come slower.

The pace doesn’t matter, but what is important is that you’re realistic about what is feasible based on the resources at your disposal.

Some of your resources might include your time, skills, knowledge, technology, money, and network. You may have other resources beyond this list, so reflect on the support that’s available to you.

Ask yourself the following questions: 

How much money and time do I have to invest in my business growth? How much time can I devote to expanding my resources and tools? What resources are currently available to support my business growth?

Yes, your resources even include your strengths, so you may want to take an inventory of your strengths for inspiration. In this case, I recommend reading Strengths Finder.

3. Consider your industry and the overall economic climate. 

Your business growth trajectory isn’t only impacted by your current situation, but also the industry and economic climate as a whole.

If, for instance, the economy is experiencing a recession, then your business growth may not come as quickly, unless you’re in an essential industry (like healthcare supplies during COVID).

You’ll also want to consider your competition. Think about the ways you’ll stand out from the competition in the short and long term.

Reflect on the following questions: 

What is the growth rate for my industry? Are there any economic factors that could affect my business? How is the economy performing currently? Will the economy have an impact on my business growth?

4. Set specific, measurable, achievable, relevant, and time-bound (SMART) goals.

Once you’ve gotten clear on your current situation, the industry and economic climate, and the resources available at your disposal, you can start setting SMART goals for your business growth.

By this point, you should have the information you need to start setting realistic business growth expectations. Reflect on the answers to your questions in steps 1-3 to start building your foundational goals.

For example, you might set a goal to increase revenue by 10% in the next year. You might also decide to add new services or products to streamline your business growth.

Reflect on what matters to you and your business and set SMART goals that will support your business growth.

Psst… I recommend using ClickUp once you’re ready to set your business growth targets. It’s a valuable project management tool that will help you track the progress you’re making toward your goals.

5. Be willing to adjust your expectations as needed. 

Over time, you may see changes to your current situation, resources available to you, the industry and economic climate as a whole, or even your priorities.

It’s natural for change to happen over time. In fact, I remember being extremely proud of the goals I’d set for my social media accounts in early 2020… until it all became irrelevant when COVID hit.

While it might have been impossible to anticipate COVID, it does help to build flexibility into your goals. If you’re no longer able to meet your targets (or even if you’re exceeding them) due to changing circumstances, change your goals accordingly.

There’s no shame in making changes that will support future growth, but it won’t do you any good to be inflexible when your business growth goals are no longer feasible.

6. Remember that business growth is a journey, not a destination. 

Along the way, you’ll likely experience different stages of business growth. This is a totally natural process, so celebrate your successes along the way!

If your goals include building a million-plus-dollar business, then go for it! But remember that the little wins matter too. Celebrating those successes will go a long way toward keeping you motivated on your journey.

Enjoy the process and don’t be afraid to pat yourself on the back for even the little successes.

7. Be patient with your business growth. 

Business growth takes time. Don’t expect to become an overnight success. Just keep working hard and taking steps toward your goals, and you’ll eventually reach them.

You may experience setbacks over time, which is completely normal. Be flexible, patient, and understanding, and when you stay committed to your goals you’ll achieve them.

Moving Forward in Your Business Growth

By the time you’ve set your business growth targets, if you haven’t already, then you’ll want to start tracking the progress you’re making toward your goals. This will help you stay motivated and on track throughout your journey.

While there are many valuable tools that can support your business growth, I personally prefer using ClickUp. 

ClickUp is a cloud-based project management tool that allows you to create tasks, track progress, and collaborate with team members. You can also set deadlines and milestones, so you can stay on track.

How ClickUp can track your business growth.

ClickUp offers a variety of features, including task management, file sharing, and communication tools. You can use the platform to track the progress of your business growth goals by creating a project for each goal and assigning tasks to team members. 

You can also use ClickUp to track the progress against your goals by setting up KPIs and dashboards.

Here are some of the many ways you can use ClickUp to track your business growth:

• Create a project for each of your growth goals.
• Break down each goal into smaller, more manageable tasks.
• Assign tasks to team members and set deadlines.
• Track the progress of each task and make adjustments as needed.
• Set milestones for each goal and celebrate your successes along the way.

ClickUp tips

Here are some tips for using ClickUp to track your business growth expectations:

• Create a separate project for each goal. This will help you keep your goals organized so that you can easily monitor the progress of each one.
• Assign tasks to team members where relevant. This will help ensure that everyone is working towards the appropriate goals.
• Use KPIs to track your progress. KPIs are key performance indicators that measure the progress you’re making. This is a great, unbiased approach to understanding your success.
• Create dashboards to visualize your progress. Dashboards can help you see at a glance how you’re doing so that you can make adjustments as needed.

By using a project management tool like ClickUp to track your progress, you can stay focused on your goals and ensure that you’re making the most of your time and resources.

Conclusion

By setting realistic business growth expectations and tracking your progress, you can stay on track and achieve your goals.

Have you used any of the above steps to manage your business growth? Have you used any other project management tools like ClickUp? Or did you learn something entirely new that you think will level up your business?

Let me know in the comments below. I’d love to learn more about your side hustle and the progress you’re making on your journey!

Best of luck on your journey as an entrepreneur!

Think setting realistic business growth expectations will help you FIRE Your Career? Check out the posts page for more ways to FIRE Your Career and achieve financial freedom.

FIRE Your Career: Achieve Financial Freedom Through Your Career & Spend MORE Time Doing What You Love.

Resources I recommend in this article:

Strengths Finder (book to help you uncover your innate strengths, includes a free personality quiz)

ClickUp (my recommended goal-tracking and project management tool)