1. Stage I
   1. Existence
      1. Organization
         1. owner does everything and directly supervises subordinates
         2. owner is "business"
      2. Stage description
         1. obtaining customers
         2. delivering the product or service
      3. Key issues
         1. Can we get enough customers. deliver our products and provide services well enough to become viable business
         2. Can we expand from that one key customer or pilot production process to much broader sales base
         3. Do we have enough money to cover the considerable cash demands of the start-up phase
      4. Strategy
         1. remain alive
      5. Exit
         1. close business when star up capital run-out
         2. sell the business for asset value
         3. quit if owner cannot accept the demands the business places on their time, energy or finances
2. Stage II
   1. Survival
      1. Organization
         1. owner is synonym for business
         2. Simple structure
         3. Limited number of employees, supervised by sales manager or a general foreman
         4. Neither of them makes major decision independently
         5. Carries out the well defined orders of the owner
      2. Stage description
         1. Business demonstrated that is workable business entity
         2. Enough customers
         3. Satisfies customers sufficiently - to keep them
         4. Main goal
            1. survival
      3. Key issues
         1. in short run - can we generate enough cash to break even and to cover the repair or replacement of our capital assets as they wear out
         2. can we, at minimum, generate enough cash flow to stay in business and to finance growth to size that is sufficient large, given our industry and market niche to earn an economic return on our assets and labour
      4. System development
         1. minimal
      5. Formal planning
         1. cash forecasting
      6. Outcome
         1. remain on survival stage
            1. earning marginal roi time and capital
            2. out of business when owner give up or retire
            3. can be sold if develop enough economic viability, usually at slight loss
            4. fail completely
3. Stage III
   1. Success
      1. Stage IIIa: Expand
         1. Organization
            1. owner deeply involved
         2. Stage description
            1. consolidation and collecting resources for growth
         3. Key issues
            1. existing business stays profitable
            2. hire - develop managers to meet the needs of the growing business
         4. Planning
            1. operational
            2. strategic
         5. outcomes
            1. if successful - next stage
            2. if not
            3. stable stage
            4. survival stage
      2. Stage IIIb: Keep stable and profitable
         1. Organization
            1. owner disengage
            2. alternative owner activities
            3. functional manager take care about the business
            4. managers - competent, but not extraordinary - because corporate goals are not high
            5. professional staff members come on a board
            6. office controller
            7. production scheduler
            8. financial, marketing, production systems - in a place
         2. Stage description
            1. economic health
            2. sufficient size
            3. good product-market penetration
            4. average or above average profit
            5. can be in this stage indefinitely
            6. if market niche will not be destroyed
            7. if management does not reduce companies abilities
         3. Key issues
            1. main concern is about sufficiency cache flow especially by maintaining good and less good periods
            2. owner and company managers - keep status quo
         4. Planning
            1. operational budgets
         5. Outcomes
            1. continue as is
            2. sold
            3. merge for a profit
            4. stimulated to growth
            5. or - because other influences - back to stage surviving company
4. Stage iV
   1. Take-off
      1. organization
         1. owner and business are separated
         2. Delegation
            1. owner - to delegate responsibility
            2. true delegation with controls on the performance
            3. abdication
            4. very often
         3. decentralised, divisionalized (in sales and productions)
         4. highly competent managers
         5. company is dominated by owner's presence and stock control
         6. pivotal period
            1. owner rises - financially and managerially
            2. becomes big business
            3. if not
            4. sold at a profit
            5. often success in stage III - unsuccessful in stage IV
            6. growth to fast, out of cache
            7. not able to delegate effectively
            8. owner as manager - replaced voluntarily or by investors or creditors
      2. Stage description
         1. great demand for cache
            1. tolerate a high debt-equity ration
            2. cache flow - not eroded by inadequate expense controls
            3. avoided ill-advised investment (owner impatience)
      3. Key issues
         1. how to growth rapidly
         2. how to finance that growth
      4. Planning
         1. operational
         2. strategic
      5. Outcome
         1. if not succeeded
            1. continue as successful, substantial company
            2. back to stage III
            3. if problems are to big - back to survival stage
            4. or fail
5. Stage V
   1. Resource Maturity
      1. organization
         1. owber and business are separated - financially and operationally
         2. decentralized management
         3. expand management force
            1. budgets
            2. strategic planning
            3. management by objectives
            4. standard cost systems
         4. systems extensive and well developed
      2. Stage description
         1. advantages of size, financial resources and managerial talent
         2. if preserve entrepreneurial spirit
            1. formidable force in the market
            2. in not - ossification
            3. lack of innovative decision
            4. avoidance of risk
            5. under risk of environment changes and disruptive or other competition
      3. Key issues
         1. consolidation and control financial gains - rapid growth
         2. retain advantages of small firm (flexibility) and enterprise spirit
      4. Planning
         1. detail operational
         2. detail strategic
      5. Outcome
         1. Stability
         2. Regression
            1. Disruptive competitors
            2. Management
            3. lack of innovations