Stop Driving. Start Scaling

<p>Subscribe to receive weekly emails https://aurik.com/businessbuilders/Follow on Linkedin: https://www.linkedin.com/in/pavlophitidis/What does a tractor have to do with scaling a business?A hundred years ago, farming more land meant adding more people, more animals and more hours.Then the tractor changed the economics. One person could suddenly produce considerably more output.That is leverage. And leverage is what separates growth from scale.Growth is addition. Scale is multiplication.Many entrepreneurs grow by continually adding resources. Another customer means another person. More work means more hours. Another location means another manager.Revenue grows, but so do costs, complexity and dependence on the owner.Scale happens when you find your tractor.In your business, that might be technology, machinery, a process, distribution, intellectual property, your brand or a highly capable team. It is whatever allows one person, one hour or one rand invested to produce considerably more output.But there is a trap. Buying a bigger tractor does not make you a bigger farmer.Adding technology, machinery or people without sufficient demand simply creates expensive idle capacity.And eventually, there is another transition every entrepreneur needs to make.First you do the work, yhen you build the systems and people that do the work.Eventually, you have to get off the tractor, because your job is no longer to operate the machine.Your job is to build the farm.In this Business Builders episode, we look at what real scale looks like and three questions every business owner should ask:• Where am I still using my own effort where I could be using leverage?• What is the tractor in my business?• Am I building the farm, or am I still driving the tractor?That is how you build an Asset of Value™.Chapters00:00 What a tractor teaches us about scale00:40 Growth is addition. Scale is multiplication.01:16 What is the tractor in your business?01:55 The trap of expensive idle capacity02:38 Why the owner has to get off the tractor03:22 From doing the work to building the business03:57 Three questions every owner should ask04:33 Build the farm#BusinessBuilders #BusinessGrowth #ScalingBusiness #Entrepreneurship #BusinessStrategy #Leadership #AssetOfValue #PavloPhitidis</p>