How does your business grow? While growth is good, too much too quickly—or going about it the wrong way—can actually slow you down. Today, we’re sharing some best practices on when to scale your business and how to do it.
Don’t Scale Too Early Or Too Fast
The most important part of scaling is timing. Out of startups that fail, 70% of them fail because they tried to scale too quickly. We get it. You’re excited to grow, awesome stuff is happening, your customers love you. But when you scale too fast, your burn rate is too high, your runway is too short and your company becomes less flexible..
Hiring new people, renting fancy office space, wining and dining big customers takes money and makes it harder for you to pivot if you need to. None of those things are bad in and of themselves, but focusing on making sure your product or service fits your market and that you have a sustainable model is more important in the early days.
Hire The Right People
When the time does come to hire, hire people that fit your business. Don’t try to fit your business to your hires. Some people just aren’t going to cut it. They may seem perfect with all the experience and charisma, but for a startup, enthusiasm for your company, a willingness to be a changemaker, and an ability to take calculated risks may be more important than a big personality or lots of on the job experience.
Makaylah Rogers is the co-founder of MindShift.money. She is a Thought Leader for her generation, teaching people how to rewrite their “money rules.” With an extensive background in wealth building and personal development, Makaylah’s path has taken her into executive roles in various fields including launching startups, real estate sales and motivational keynote speaking.