Many mistakingly think that Growth and Scaling are the exact same thing. This can be a grave mistake for a business. In this Scaling Resource we are going to first, clarify the important difference between growth and scaling, then we are going to hopefully present you with at least one golden nugget of wisdom that will help you along your business journey.
Growth - Growth is very important for new businesses that are just getting established, as well as long seasoned businesses that have a fiduciary responsibility to their shareholders to make profits and increase the value of the company.
Growth is typically thought of in a linear manner, meaning it usually happens over time as a result of the company increasing resources such as adding more people, utilizing more technology, or spending more capital.
As you can probably imagine, or perhaps know first hand is that the challenge with this is that in order to sustain constant growth, it requires a constant increase of resources.
Scaling - Scaling is also important for companies that are wanting to not just grow linearly, but want to experience hyper-growth by growing exponentially.
Differing from Growth, Scaling normally occurs when there is an increase in revenue without a substantial increase in resources or cost. This is a very sought after option that is able to be achieved for many businesses.
Imagine you have 50 employees and about 2,000 clients, with your annual revenue this year is at about $10 Million dollars. The following year you increase your client base to 7,000 with little to no cost, raising your annual revenue to about $35 Million dollars. This is the allure of scaling your business.
If you utilize the information explained above, you will be well on your way to scaling your business to new heights. If you would like more specific step by step guidance, get your free consultation today by clicking the button below or visit EB.Coach right now. Our team is looking forward to helping you achieve your next level of success.