Oftentimes, people are too quick to start up a business. They think all that is required is the impulse to start, not realizing there is more to ventures than starting. Research has shown over time that ventures fail at a rate of more than 50% after five years and more than 70% after ten years. The problem is not far-fetched; the inability to scale up has been the primary reason for the failure of many business ventures. As such, Jason Harward, a serial entrepreneur and e-commerce magnate, stated that “starting a venture is not the problem. Building it into what you want is.” According to him, the majority of startups fail during the scaling phase.
Scaling entails setting the groundwork to enable and support the growth of a venture. It involves the ability to develop without being stifled. It calls for critical foresight, financing, management, and putting the right system in place to support the growth and expansion of a venture. If suitable systems are not put in place to accommodate the growth of a venture, failure is inevitable.
It’s all about capacity and capability when it comes to scaling. Jason Harward posited that business owners must ask critical questions to scale their ventures. First, is it possible for the venture to expand? Will the venture or business systems, infrastructure, and staff be able to handle expansion? These questions are essential and should be sincerely answered.
Hiring the right hands and putting the right system in place becomes imperative. While bad hires can ruin the venture, quality recruitment can lead to the business’s success. As you scale, keep your purpose in mind. Stick to what worked to get your business to where it is now. What do customers claim to desire? Eliminate distractions and be strategic about when and where you invest your already limited resources to scale your venture. Jason Harward is a fast-growing business expert that started as a teenage entrepreneur in Phoenix and currently runs a direct-to-consumer e-commerce company.