Unlock the Secret to Scaling Your Business: Start with This Key Rule

In my early 20s, my husband and I spent most of our weekends fixing up our house and yard. We had about an acre, and there was always something to improve. One Friday evening after work, my husband asked, “Why can't we ever do something fun for the weekend?” And you know, I didn’t have an answer. What would we do?

He convinced me to take a spontaneous road trip. Now, at that time, spontaneity was not even in my vocabulary — I’m a planner. Just taking off without a plan on a Friday night felt so uncomfortable, but he talked me into it. We didn’t have a destination in mind, and we didn’t have any responsibilities until Monday morning. So, we decided to head east with no plan whatsoever.

We left Greater Des Moines (DSM) on Friday evening, and by Sunday night, we had made it to Pittsburgh, Pennsylvania, and back — about 800 miles, driving 11 hours straight through. It was incredibly spontaneous and so much fun. That trip sparked our desire to keep going on these fun, spontaneous road trips. And we did! We took lots of these trips.

Then, we had our first child. We brought her on a long weekend trip to Niagara Falls — still spontaneous but with a little planning. Then we had another child, and then another, and we kept taking road trips, but you know what? They weren’t as fun anymore. The more spontaneous we tried to be, the less fun the trips became. We had more responsibilities, more variables and more things that could go wrong.

The more we kept trying to do things the old way, the less enjoyable they became. We couldn’t just wing it anymore. There were too many people depending on us, too much that could go wrong. We could either quit taking road trips altogether or keep pushing through, hoping the fun would magically return. But those weren’t the only options.

There’s Another Way

There was a third option: there’s a new way to travel. This new phase required more planning and structure. We couldn’t just fly by the seat of our pants anymore. If we wanted the experience to be better with more people and more at stake, we had to approach it differently. And we could! We had more resources, we could afford to book nice hotels ahead of time, and we could plan better.

This realization ties directly into running and growing a business. It starts out fun and spontaneous, just like those early road trips but as the business grows, it gets more complex.

As a leader, you have more resources, more responsibilities and more that could go wrong. You must acknowledge that you’re at a new level and approach it accordingly. It might feel like you only have two options: give up or keep trying to do things the way you always have — hoping things will magically improve.

But the third option is to recognize that this is the next leadership level.

Stuck in Startup Mode

Many businesses get stuck in startup mode, even when they’re long past that phase. Startups ask questions like, “Who is our customer?” A scaleup asks, “Who are we as a company?” Startups wonder, “Can we find enough customers?” A scaleup is focused on finding the right leaders to take the business to the next level.

The mindset that worked for you in the startup phase won’t work when you’re trying to scale. If you want to grow your business, you need to shift your mindset to reflect the new level you’re at.

You Are the Leader

That’s the first rule of scaling: You are the leader. Yes, there’s a lot of weight and responsibility that comes with that, but there’s also a lot of freedom. When something goes wrong, ask yourself, “What part of my leadership influenced this?” That can feel heavy, but it also gives you the freedom to make changes and do something different.

A couple of years ago, I presented a new strategy to my business partners, and it didn’t go over well. I had proposed splitting the firm, and half the group was on board, but the other half was completely shocked. I had assumed everyone would see how smart and strategic I was, but instead, I felt like a failure. I had broken a lot of trust.

I could have quit. I could have kept going with the same structure, hoping things would eventually work out. But instead, I took responsibility. I realized that my ego had gotten in the way, and I hadn’t considered how others would be impacted by the change. I worked to rebuild trust, and two years later, we split the firm — with a unanimous vote.

It wasn’t because I had the best ideas or was the smartest person in the room. It was because I took ownership of my mistakes and focused on doing better. When you recognize that you are the leader, everything flows from that.

Maybe you’ve reached that exciting yet overwhelming stage where growth feels within your grasp, but the path forward is unclear. Scaling a business comes with a whole new set of challenges, from managing a larger team to staying competitive in your industry. You know there’s potential for more efficiency, clarity, and control, but how do you get there?

Put Your Leadership into Practice

At first glance, recognizing you’re the leader may feel obvious, but there’s much more to this principle than just a title. As a leader, you set the tone, direction and culture of your business. Your decisions, mindset and actions have a direct impact on everything from your company’s growth to your team’s engagement.

Here’s what that looks like in practice:

1. Shift Your Mindset from Reactive to Proactive

It’s easy to get stuck in reactive mode. You spend your days putting out fires, solving immediate problems and dealing with the day-to-day grind. But as you scale, your role needs to evolve. Instead of reacting to what’s happening around you, you need to become more intentional — proactively setting the vision, establishing goals and aligning your team with those objectives.

Your business can’t outgrow your leadership. The best leaders are lifelong learners. They recognize that as their business grows, so must their ability to lead it.

2. Lead with Purpose and Vision

Growth without direction can lead to chaos. It’s your job to define the vision for your organization. Where do you want your business to be in the next year? Three years? What values do you want to uphold as you grow?

A strong leader doesn’t just manage the present — they inspire their team with a clear sense of purpose and direction. This doesn’t mean having all the answers, but it does mean setting the framework for where your organization is headed and empowering your team to take ownership of their part in achieving that vision.

3. Embrace Accountability

Ownership means accountability. When you step into your role as a leader, you’re responsible for the overall outcomes of your business. That doesn’t mean you need to micromanage every detail, but it does mean taking responsibility for the company’s successes and failures.

Part of scaling is building systems and teams that can handle more of the operational details, freeing you up to focus on strategy. But at the end of the day, you’re accountable for those systems running smoothly. Embracing accountability means being willing to learn from mistakes, adapt and continuously improve both yourself and your organization.

The Des Moines Advantage

Des Moines has long been recognized as a hub of innovation and a region where businesses can thrive. From our talented workforce to the supportive community and ecosystem of startups, established companies and resources, DSM has the foundation businesses need to grow.

But even with all these assets at your disposal, there comes a point when growing your business requires more than just a great market and a hardworking team. It demands clarity, structure and an understanding of how to navigate the road ahead.

Whether your company is in tech, finance, agriculture or any other sector, scaling without a plan can lead to setbacks, inefficiencies and missed opportunities.

Ready to Scale?

Scaling a business is about much more than just increasing revenue or hiring more people. It’s about building a foundation that can sustain growth over the long term — and that starts with you, the leader.

The first rule of scaling is owning your role as the leader. From here, you’ll be able to build the systems, strategies and team you need to grow your organization with intention and clarity.

Are you ready to embrace your role as the leader and take your business to the next level?

Attend the Top Five for Small Business: The Scaling Leader event on Wednesday, Oct. 23, 2024 at 9 a.m. The event is free on Zoom. Email Emily McLain with questions.

The Greater Des Moines Partnership celebrates the Greater Des Moines (DSM) entrepreneur community and helps small businesses succeed with one-of-a-kind resources and opportunities for networking. Find out how other entrepreneurs have found success by reading their stories and attending local small business events in the region.