Scalability: Do Not Start a Business that Is Not Scalable

Most people love to have their own business because they are fed up of the job they have. They work long hours and make less than what they expect. Therefore, they think if they start their own business, they will have at least two advantages. First, they will be their own boss. Second, they will have time and money freedom.

These are all good expectations from your own business, but they can be achieved only when you don’t become the prisoner of your own business. I mean there is no point to leave a 40 hours per week job to work 80 per week on your own business. Yes, you will be your own boss, but you cannot allow yourself to take a day off because your business has chained you.

The reason of running a business that imprisons its owner is that most people don’t know the difference of a job and business. They think they have a job when they work for someone, but they will have a business if they work for themselves. So, they will be happy when they start a business just because they don’t work for someone else and they have no boss. But sometimes such a business is a lot worse than working for someone else.

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So, here is the most important difference of a job and a business:

In a job, you trade your time, attention, and energy away for money. In a business you make your money work hard to make more money.

When you don’t know this, you leave your job and start a business that resembles the same job except it has no boss. Having no boss is a good advantage, but it doesn’t matter when you become the salve of your own business. Having a boss is a lot better than having such a business.

Am I against starting your own business?

Absolutely not. What I am trying to say is that before you run a business, you should learn how it has to be exactly. Here is what you must do:

You should setup a business that works on autopilot and without your presence. Only a slight supervision from your side should be enough.

Warren Buffet owns 100% ownership of 43 major companies (read this). Do you think he refers to each company every day to manage everything? Absolutely not.

Now you know why most business owners suffer and fail. One of the most important reasons is that they don’t know what a real business is. They have started a business that is their prison. They don’t know how to setup and manage a business that works automatically.

So, before you start a business, just learn not to start a job that has no boss, instead of running a true business.

Is it really possible to run such a business?

Yes, it is, thanks to the Internet.

While even franchise businesses that are the best examples of the successful business models don’t have such a feature, and as a franchisee you must work hard to manage your business, it is possible to start an online business that is even more successful, while it doesn’t have the hassles and headaches of franchise businesses, and above all, it 99% works on autopilot. Read this: Following a Proven Business Plan Is the Success Key

Another big difference of a job and a business is that a job is not scalable but a true business is.

What is scalability?

According to Wikipedia:

Scalability is the capability of a system, network, or process to handle a growing amount of work, or its potential to be enlarged in order to accommodate that growth.

Scalability

That is a very important difference. It proves that most businesses are just boss-less jobs. It means the only difference they have with a job is that the business owner doesn’t have a boss and he is his own boss as the business owner. But the business is not scalable.

Most business owners work so hard to start a business. Only less than 10% of them are lucky enough to make the business profitable or breakeven. But even those who become profitable, have to struggle so hard to keep a constant profit. They cannot expand, grow and increase the profit.

Maybe you say that this is still better than having no business. But there is something that you didn’t consider here: A business that can only have a constant amount of profit will fail if the business owner slows down, or when a stronger competitor comes. I mean it cannot survive and will have to be stopped sooner than later. Either the business owner will get burned out because of working hard, or a stronger competitor comes and attracts all customers.

Maybe you have a business which is not scalable, and so it is not a true business. Such a business is a different version of job. Be careful if your business is not scalable and you have a constant amount of monthly profit. Don’t be happy with such a business. Either make it scalable or run a scalable business before your current business goes down.

Also, if you are thinking about starting a business, you should be worried about its scalability first. Will your business be scalable or not? There is no point to spend time and money on starting a business that is not scalable because it will fail even after becoming profitable.

Struggling Business

Restaurants are the best examples of businesses that are not scalable. The lucky ones can cover their expenses after a while and make some profit. But after a while of promoting and advertising, their profit reaches its maximum level and won’t increase anymore. A restaurant with for example 12 tables has a limited capacity and cannot make money more than a special limit.

However, the restaurant owners who are talented enough create and promote a brand. Once the brand becomes famous, they establish more branches. This is how you can scalable a business that is not scalable at the beginning. Being happy with a fixed profit ends up to bankruptcy.

How many of restaurant owners are lucky and talented enough to scalable their business the way I explained above? Maybe less than 1% of them.

Over 90% of them close their restaurant after a while of struggling and losing money. Less than 10% of them can cover their expenses and become profitable after a while. But many of them cannot keep going because of the new competitors. Only some of them keep making profit for some time, just because luckily no strong competitor starts a restaurant in the same area. But they are always at risk.

This is the limit that physical businesses have. But we have used the Internet to create a system that is 100% scalable. The more people turn on their computers and start using the Internet, the more money our scalable online business system will make.

Not all online businesses are scalable. Many of them are like brick and mortar businesses, but they just use the Internet to offer their products and services. Selling through the Internet doesn’t mean that a business is scalable.

Why Our Online Business System Is Scalable?

First, it works for everybody, even those who cannot do anything more than browsing web pages and reading articles. Second, by adding content to our website, you can make more and more money every month, without having to work more. Above all, you can sell products and services on our website and make even more money without having to work more. Start right now: Join a Great System and Start Making Money 100% on Autopilot

About The LuckScout Team 170 Articles
"Whether you think you can, or you think you cannot, you are right." - Henry Ford

7 Comments

  1. I wish I had this information before I started my freelance designer business, it wasn’t scalable and I worked hard on it only for it to eventually go down and I didn’t make much from it, I ended up with a job without a boss

  2. Yeah so making a business scalable is important for the owner to get the quality of life that they more than likely look forward to. Scaling a business creates the best business for the owner.

  3. A very a educative article, many people just start any business that comes into their minds, they don’t make any research or inadvently, they don’t know what to do to start a business, but they just want to start any business as long one doesn’t stay at home, or does not keep working at that job he/she hates. They therefore, end up failing and losing money and I was also once a victim of this. But, after reading this article, I feel I can even start business consultancy for business startups.! To help these people from making the same mistakes.

  4. Thank you very much for this article for guiding wisely and clearly to know which action to take in starting a business. An excellent article to lead readers to an online business that brings lucrative results has been provided here.

  5. This is very informative and as usual, I like the way you explain things. I always thought about starting a small business for extra income and ‘luckily’ until now I don’t have any idea what to sell. I really hope that your online business system will benefits me greatly.

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