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5 Main Challenges of Scaling Your Business and How to overcome them
Scaling a company is a demanding process: only 1 in 10 companies in Europe manages to scale on average by more than 10% annually, over a three-year period. Then, when the growth finally comes, it bring its own set of challenges to manage and sustain it.
While every startup aims to scale, managing that growth effectively is critical for long-term success and sustainability. Growth affects every aspect of an organization, from its internal structure to its culture and processes. Without the right strategies and tools, the growth that is eagerly pursued can quickly lead to chaos and increased risk.
After all - as we already explained in a previous article - Growing a business is about getting bigger, while scaling up a business is about handling growth efficiently. In the previous article, we discussed several successful examples of scaleups in Europe and introduced the concept of the "Transition Moment." This is the phase when planned growth is achieved, but often comes as a surprise, requiring startups to deploy new resources.
In the upcoming sections, we will outline five major challenges that high-growth companies encounter during this transition moment and provide practical advice to address them effectively.