Collaborative Post¦ If you feel as though you are ready to scale your business then you will know what a thrilling experience this can be. With that in mind, you need to avoid these mistakes. If you don’t then you may find that you end up compromising your business, when in reality, all of this could be avoided.
Scaling too Early
Scaling too early can be a fatal mistake. If you are still figuring out your category or even who your target customer is then this indicates that it’s not time for you to scale. If your economics are unsustainable or if you do not have a core team who can support you through the growth period then this indicates that it is not time for you to scale. If you are not getting any pull from your market, it’s best to hold off.
Scaling too Late
On the flip side, scaling too late can also have dire consequences. You may find that you end up missing out on opportunities and that you become inundated with demands. Don’t let competitors who have inferior products steal your share of the market because you can’t provide your customers with what they need. If you do then you may find that this stunts your growth and it can have a major impact on your future.
As a founder, it’s natural that you’d want to delegate as much as possible. As you scale, however, you need to learn how to let go. Trust the people whom you have hired and know that you have worked hard to bring them on board. Give them a level of direction and encouragement and beyond that, let them do their thing. The same concept applies to scaling your core services. Outsource things like your accounting, and even IT support, as it could free up your team so they can deal with more pressing matters.
As you scale, you have to make sure that your infrastructure and your operations scale with you. Take the time to document your core processes and make sure that everything is solid. Invest in HR, and try not to skip out on technology or data tracking. The same applies to your marketing operations and your sales team. If you can avoid accruing too much architectural debt, then this will also work in your favor. After all, this is the foundation on which you have grown your business, so you have to make sure it can stand the test of time.
Getting Stuck with Funding
Funding is a means to an end. Don’t get caught up with meeting the next funding milestone. Instead, stay focused on improving your business fundamentals, economics and more. If you can do this, and if you can make sure that you are always a good fit for the current market then this will bring about the results you are looking for in terms of funding. If you adopt this approach, you will see a major improvement in your business appeal.
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