In a previous blog, we discussed the four definitive phases of business growth: Startup, Growth, Scale, and Exit. While we often focus on the excitement of Growth and Scale, the most common reason businesses hit a plateau is simple: they have outgrown their original Startup Phase foundations.
Even if you’re well past your initial launch, your current systems, processes, and even your team may no longer support your complexity.
The solution to overcoming a growth stall or building a solid platform for future expansion is always the same: revisit and re-master the four foundational areas of the Startup Phase.
Here is the essential checklist you must evaluate to ensure your business remains stable and profitable:
1. Money Mastery: Stop Selling Yourself into Bankruptcy
Before you increase revenue, you must have a firm grasp of your financial model. Without it, growth can be deadly.
- Action Required: You must know how to interpret your Profit and Loss (P&L), Balance Sheet, and Statement of Cash Flows.
- Critical Check: Do you know your exact break-even sales number and your current cash gap? If not, you risk running out of cash, regardless of your sales volume.
2. Time (Self) Mastery: Prioritize Your Evolving Role
In a busy business, the concept of time management must be replaced by self-management. This means constantly adjusting your priorities based on the demands of your current business phase.
- Action Required: Properly prioritize your activities and plan your schedule around those priorities.
- Critical Check: As your company grows, are you prioritizing differently? Or are you still spending your time on tasks that should be delegated or systemized?
3. Destination Mastery: Define Your Forks in the Road
Without clear goals, your business is drifting. Your vision gives you the necessary framework to make fast, informed decisions as issues arise.
- Action Required: Maintain clear goals across long-term (5-10+ year), medium-term (3-5 year), and short-term (90-day to 1-year) horizons.
- Critical Check: When facing an unexpected opportunity or challenge, can you reference your goals to make a decision instantly?
4. Delivery Mastery: Capacity Over Speed
This is the least “sexy” but most critical mastery. Nothing is worse than selling beyond your ability to deliver consistently with quality.
- Action Required: Ensure your operational capacity is always running ahead of your sales efforts.
- Critical Check: Do you have the systems and resources in place to maintain quality at double your current volume? If not, stop selling and start systemizing.
The journey from the chaotic Startup Phase to the freedom of the Exit Phase requires a cohesive blueprint that never lets you outgrow your systems. If you’d like to know how the ActionCOACH Business Operating System (ABOS) can help, schedule an intro call and let’s talk about it.
Author: Mark McNulty, Business Coach in Louisville, KY