There are no straight lines in nature or business.Verne Harnish
Scaling up your business is a matter of expectation versus reality.
Expectation: It will happen quickly; you’ll make a lot of money and it will be easy.
Reality: It takes time; you will lose money before you make money because your net profit will be down because you are spending money to make money. For example, new team members and new systems. Finding the right team will become your mission, there will be extra work you haven’t accounted for like training your team and setting up systems, and it can be downright hard at some points.
But don’t let that stop you!
As long as you know the reality of what to expect and you do it with your eyes wide open – you can scale your business quickly and with ease (well, as much as possible!).
Why is scaling your business important?
“Scaling your business means setting the stage to enable and support growth in your company. It means having the ability to grow without being hampered. It requires planning, some funding and the right systems, staff, processes, technology and partners.” (www.score.org)
Scaling your business opens the doors for more sustained growth, but you have to set it up that way first.
1. Where do you start when scaling your business?
Get a plan together and get your systems and processes documented and into a workable and easy-to-understand manner and platform.
You want to have a workable business manual – whichever way you decide to accomplish it, such as in an online app or a Word doc.
Start documenting everything you and your team do. You will need this when you grow your team and get new team members on board.
Next, work out your Organisational Chart and the roles you have and those you still need to implement. Who do you need to get on board to help you achieve the growth your desire? Write the position descriptions so you are ready to go when you need them.
From there, get your team on board and start training them; you will be busy, which is why having your systems and processes in place will be a huge benefit and help to you.
At the same time, you need to increase your marketing to get more sales so your team has work!
It’s at this point you may decide you want to quit – your time is stretched and you’re spending a lot more than you ever have before.
NOTE: Depending on your industry, you will spend a lot more time, for example, if you are developing a new product or renting out a bigger space, workshop, or warehouse, your costs could be higher.
If you want to achieve scalability and sustainable long-term growth in your business, you need to push through those fears and barriers that have held you back in the past.
2. What is the Ceiling of Complexity?
To help overcome these hurdles, it’s important that you understand the Ceiling of Complexity.
The reality of scaling is a bumpy road … not a straight line. You will have some wins on your journey, but it won’t necessarily be smooth sailing.
Just when you think you have failed or stumbled or hit the ceiling, you will have a breakthrough that sets you up for the next leg.
You will need to work on your mindset to achieve complete growth and scalability.
3. The 4 decisions for growth you need to make.
Once you know how you will scale your business, it’s time to make some decisions.
There are four areas for growth:
- People – You must attract the right people and create a culture that delights your team and makes them happy.
- Strategy – Truly differentiate your strategy and focus on your vision and what you see for your business in the future.
- Execution – Be proficient and efficient and drive your immaculate strategy forward with every chance you get.
- Cash – Cash flow is the oxygen for all businesses and increases all costs.
Do you want to succeed in scaling your business?
Conclusion: In the long run, you’ll make more money; in the short term, it will cost time and money. That’s the reality of scaling your business.
If this is an area you are struggling with and you’d like to grow your business this year, come and join us at our 10 Hats Webinar.
In the 10 Hats Webinar, we will help you to review your own Organisation Chart to give you clarity of the key functions within your business and who has responsibility for them.
You will leave with a clear picture of how to scale your business and how to start.
If you want your business to be more sustainable, scalable, and ultimately, saleable – stop doing everything in your business and join this webinar.