When a spreadsheet stops being enough
Most businesses start by tracking customers in a spreadsheet, and that is fine. These are the signs it is time for a CRM.
Leads are slipping
If someone enquired last week and nobody followed up, the sheet is not reminding anyone. A CRM does.
Two people edit the same row
Once more than one person handles customers, you need to see who spoke to whom and when, without asking around.
You cannot answer simple questions
How many enquiries came in this month? Where did they come from? How many became sales? If that takes an afternoon to work out, you have outgrown the sheet.
Start small
A CRM does not need fifty fields. Begin with name, need, next step and date. Add more only when someone asks for it twice.