Entrepreneurial Management

A lot of people think processes and systems are very boring, but once you utilize them in your business, they are the sexiest thing that you will ever do. Once you have them in place, your business will be such a joy to run.

Processes and systems allow you to scale and grow. Remember that what you grow is going to grow. So the good is going to grow and the bad is going to grow. And this is why if you have a system that is producing success, you want to be able to repeat it and grow it at the same time.

There are two ways to scale—either by increasing your price on something or increasing the number of people you sell it to. You may want to add more products, but we recommend you max out your first product before you offer your second. This helps you to dial in the systems on the first one and you can use the meta-skill of creating processes to then scale the second.

We talk with many clients who have success, but don’t know how they did it and are not confident in being able to replicate it, because they didn’t develop any processes along the way.

Without systems in place, you are dependent on people and, as you scale, you’ll scale the problems and the number of people you need to address those problems. Your profit margin won’t increase because you will keep needing resources to meet the demand instead of having clean processes that solve for this.

If you ever want to sell your business, you can’t be people dependent. What you want to do is build a business that can function without you. The only way to do this is by being system dependent instead of people dependent.