When Scaling Your Business
For most new entrepreneurs, after launching their business, growth becomes the primary aim. But it is not a simple task. As per serial entrepreneur Bav Mathija, "Scalability is indispensable to growth. But, it is important to scale up at the right time and pace to be successful. Anticipating the challenges and series of complex decisions that will have to be made is crucial to plan preventative measures in advance." From his vast experience of helping several companies scale and achieve immense success, he shares the top 5 mistakes that entrepreneurs make and should avoid when scaling their business:
Scaling up quickly
While scaling your business seems like an exciting challenge, premature scaling can lead to the company's demise. It is vital to evaluate all aspects and the current situation rather than making a hasty decision based on unrealistic projections or pressure. Develop a clear vision, goals, and plans to accomplish growth. Only after you have achieved consistent profits, obtained loyal clients, and found new avenues apart from your niche market should you consider scaling up.
While scaling your business seems like an exciting challenge, premature scaling can lead to the company's demise.
Going on a hiring spree
With scaling up comes the need to expand your team. Creating a hiring plan is critical to correctly estimate when and how many people to hire and not drain your resources. It also ensures you get ample time to train them, ensuring a smooth growth with any glitch. Have a reliable vetting process in place to hire the right fit. Recruit people who possess the right skills or have experience with startups and believe in the company's visions, values, and culture.
Not letting go and delegating responsibilities
As your company grows, it is necessary to let go of micromanaging. Show confidence and empower your team by delegating responsibilities. Assume the mantle of a leader and participate only in the critical decision-making processes to stay focused and utilize your time effectively on working towards scaling the business.
Not adopting a proper management system
As the number of employees increases, it is essential to establish a robust system to facilitate streamlined operations and maximize efficiency. Incorporate a management system to delegate, monitor, and ensure completion of tasks within the set deadlines.
Not adopting a diversified marketing strategy
It is imperative to diversify your marketing efforts to create further brand awareness and generate new leads from multiple to succeed in your endeavor and fuel your growth.